Please ensure Javascript is enabled for purposes of website accessibility

Why Clean Energy Fuels Stock Jumped 19.8% Today

By Travis Hoium - Jun 3, 2021 at 3:12PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Could this be the next meme stock?

What happened 

Shares of Clean Energy Fuels (CLNE -1.21%) 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. 

Natural gas truck driving on the highway.

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. 

Travis Hoium has no position in any of the stocks mentioned. The Motley Fool recommends Clean Energy Fuels. The Motley Fool has a disclosure policy.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Clean Energy Fuels Corp. Stock Quote
Clean Energy Fuels Corp.
CLNE
$8.17 (-1.21%) $0.10
GameStop Corp. Stock Quote
GameStop Corp.
GME
$40.74 (3.27%) $1.29
AMC Entertainment Holdings, Inc. Stock Quote
AMC Entertainment Holdings, Inc.
AMC
$24.44 (-4.01%) $-1.02

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning analyst team.

Stock Advisor Returns
389%
 
S&P 500 Returns
125%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 08/12/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.