What happened
Shares of Clean Energy Fuels (CLNE -2.74%) jumped as much as 19.8% in trading on Thursday after traders piled into shares. The highs didn't last long, but as of 2:50 p.m. EDT shares of the energy stock were still up 12.9% on the day.
So what
Clean Energy Fuels was trending on Reddit early today and it looks as if meme stock traders have piled into shares. As of this writing, 26.6 million shares have traded hands today, nearly quadruple the 6.8% average daily volume.
Image source: Getty Images.
As big as today's jump is, shares are still down more than 50% from their 52-week high of $19.79. This has become an extremely volatile stock, and for now it's getting attention from some of the investors moving the market on Reddit.
Now what
It's important to note that there isn't any fundamental news out today. Earnings didn't come out, there weren't any new partnerships, and even commodities like oil weren't up today. So, this was a move driven by traders and it can just as easily reverse tomorrow. We've seen this recently with what are being called "meme stocks," like GameStop and AMC, that have skyrocketed only by becoming popular on Reddit.
We don't know yet if Clean Energy Fuels will become popular among this trading crowd, but I don't see today's move as a reason to either buy or sell the stock if you're a long-term investor. Without any news to analyze, the day's move is just noise.
