GameStop Shorts Dealt $1.4 Billion Paper Losses in Meme Revival

  • Shares surge as much as 119% in early trading on Monday
  • Stock gains in May reverse drop in year’s first four months
Photographer: Bing Guan/Bloomberg
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Skeptics betting against video-game retailer GameStop Corp. are facing a more than $1 billion loss after the company’s share price roughly tripled this month.

Shares of the meme-stock soared as much as 119% in a raucous open Monday amid a flurry of trading activity that triggered at least eight halts for volatility in the opening hour. With the stock up some 185% in May, mark-to-market losses for short-sellers has ballooned to $1.4 billion, according to S3 Partners data.