21:04 GMT03 March 2021
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    Wall Street short-sellers have lost billions of dollars in recent days after a viral online movement of amateur online traders started buying shares and stock options in the company, prompting GameStop’s market value to increase from $2 billion to $24 billion in just a matter of days.

    Short-seller Citron Research, forced to close out its short position in GameStop this week, revealed on Friday that it would no longer publish short-selling research and would instead shift to writing on companies worth buying.

    “After 20 years of publishing Citron will no longer publish ‘short reports’,” the firm said in a tweet, sharing a video of its editor and institutional short-seller Andrew Left confirming that Citron Research will no longer publish such reports. "As of today, Citron Research will no longer be publishing what can be considered as short-selling reports," Left said in the video. "The Citron narrative is going to change and have a pivot."

    ​“Twenty years ago I started Citron with the intention of protecting the individual against Wall Street, against the frauds and the stock promotions were just all over,” Left said in the YouTube video. “Where we started Citron was supposed to be against the establishment, we’ve actually become the establishment.”

    GameStop shares surged by more than 50% on Friday after trading app Robinhood announced it would permit limited buys of GameStop and other shorted stocks on Friday after reports that it raised $2 billion overnight from investors to conform to federally-mandated capital requirements, the Washington Post reported.

    “Starting tomorrow, we plan to allow limited buys of these securities,” the company said in a blog post. “We’ll continue to monitor the situation and may make adjustments as needed.” 

    In addition to GameStop, speculative traders communication through the use of social media drove up the shares of other heavily-shorted stocks like AMC Entertainment, Blackberry and Bed Bath & Beyond.

    The latest update from Robinhood comes after the popular trading app restricted stock purchases of GameStop and other shorted stocks, a decision that was met with significant backlash and the launch of investigations by several congressional committees.


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