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10 Meme Stocks to Buy After They Leave the Spotlight

10 Meme Stocks to Buy After They Leave the Spotlight

Social momentum is not a permanent driving force. It causes stocks to rise, but it can’t sustain stocks at unprecedented levels all on its own. Once hype dies, meme stocks go down. If a company caught up in this kind of trading isn’t solid on its own, its stock goes down … a lot.

For sustained growth, you need companies with great fundamentals and core growth strategies.

Every so often, companies doing well on their own will have their stock prices inflated when social media gets involved. But even stocks that weren’t doing well initially can be given a second wind by meme traders.

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The common theme is that companies must thrive at some point during their meme status or they’ll go extinct just as quickly as they became WallStreetBet’s favorite new plaything.

Meme Stocks: Social Momentum Is Just a Bonus

There are meme stocks, and then there are meme-boosted stocks — stocks whose meme status elevates them to new levels but isn’t necessary for survival in the long-term.

Unlike the select few stocks that rise and maintain their growth, countless meme stocks rise and plummet in the blink of an eye. These stocks have no other basis for survival. They only get their “last hurrah” in the limelight because social media temporarily favored them.

We’ve covered a number of the meme stocks — those that have all but heard the death knell, as well as those with the potential to thrive in the long-term. When it comes to the latter group, get ready to swoop them up. Because as soon as social media moves onto other stocks, these stocks usually take a hit to some extent.

But these inevitable dips have nothing to do with fundamentals. This makes spotting buying opportunities much simpler than with purely speculative meme stocks.

So basically, the strategy is as follows: find a great company whose stock has attracted meme traders, wait for social media to move on (dropping the price below its inflated level), then buy in and enjoy the company’s future growth.

Here are some meme stocks our team has been keeping a watchful eye on that could be worth picking up soon.

  • DraftKings (NASDAQ:DKNG)

  • Clean Energy Fuels (NASDAQ:CLNE)

  • ContextLogic (NASDAQ:WISH)

  • Tilray (NASDAQ:TLRY)

  • Chewy (NYSE:CHWY)

  • AMC (NYSE:AMC)

  • BeyondMeat (NASDAQ:BYND)

  • TuSimple (NASDAQ:TSP)

  • Bed Bath & Beyond (NASDAQ:BBBY)

  • Canoo (NASDAQ:GOEV)

One word of caution as you read on: there’s no telling how high social momentum can take stocks, or how far they’ll dip after investors who bought on hype look for the exit. Thankfully, the aforementioned companies are solid and should experience solid growth eventually. So, even if you get in at a suboptimal time, wait long enough and you’ll start seeing green.

Solid Meme Stocks to Buy: DraftKings (DKNG)

Draft Kings app

One of our most recent recommendations, DraftKings, is an online sports betting and daily fantasy sports platform.

People love gambling and betting, because they love winning money. Laws all over the world are slowly changing in favor of online sports betting. So we see sports betting taking over the globe, with DraftKings remaining front and center due to its technological advantages and network effects.

Also, Canada could soon open new doors for DraftKings if and when they legalize single-game betting. This could happen very soon.

Why is DKNG stock dropping if it’s a meme stock with a great foundation?

Well, DraftKings’s ascent was halted by Hindenburg Research when they published a short report alleging that a portion of DraftKings business comes from black markets.

This short seller’s negative report drove Redditors to take an interest in DKNG stock, claiming their attack on DraftKings was a direct attack on retail investors. Hindenburg benefits from DKNG stock falling. Their report is inherently biased.

Even if the black market does contribute to DraftKings’s revenue, global legalization of sports betting will eventually disintegrate the “black market.” Then all of DraftKings’s business will be legitimate. There will be no need for such a market within the online sports betting industry.

And for once, Redditors are looking past the desire to hurt short sellers at a company’s future growth potential. Meme traders can attack Hindenburg while also setting themselves up for the kind of long-term gains our team has always been interested in.

We’ve been recommending DKNG for a while. The short-term fear caused by Hindenburg will fade, and the stock will skyrocket uninhibited.

Clean Energy Fuels (CLNE)

Image of a Metro Local public transportation bus on Hollywood Blvd.

Image of a Metro Local public transportation bus on Hollywood Blvd.

Source: ZikG / Shutterstock.com

Clean Energy Fuels got its start over two decades ago. Their network includes over 550 natural gas stations and 1,000 fleet customers, and they sell over 400 million gallons of gas per year.

Since 2013, the company has been leveraging its existing production and distribution capabilities as it shifts to renewable natural gas (RNG). Rather than remain the leader of natural gas, they’re charging headfirst into clean energy. And they have the partnerships and resources to remain the leader throughout their transition. By 2025, Clean Energy Fuels aims to be 100% RNG-based.

Their RNG volumes have grown over 1,000% since 2013, and the potential to grow more is still there. If Clean Energy’s RNG accounts for just 20% of the renewable gas market by the year 2030, their current sales would see at least 1,000% growth. And they could increase sales more than this.

And here’s the real kicker — Clean Energy Fuels will power the companies other people are investing in. These companies could succeed, or they could fail. Regardless of the success rate of these companies, Clean Energy Fuels will sell them their RNG.

As their sales grow, so will CLNE stock. This company’s potential for future market dominance makes them a solid meme stock to hold long-term.

Meme Stocks: ContextLogic (WISH)

The logo and information for the Wish (WISH) mobile app are displayed on a smartphone.

The logo and information for the Wish (WISH) mobile app are displayed on a smartphone.

Source: sdx15 / Shutterstock.com

ContextLogic’s Wish.com may look peculiar on the surface to some, but this value-first mobile commerce platform holds promise.

We’ve said before we think this stock will hit $20, and here’s why.

Wish.com is basically a digital version of a physical flash sale replete with crazy prices, questionable quality for some items and a confusing-at-times assortment of items.

But what makes it strange also makes it beautiful.

People love hunting for treasure at thrift stores and at garage sales, and that’s exactly what perusing this website feels like. You could get a product that overpromises and underdelivers. Or it could be the reverse. In the latter case, you get a steal of a deal.

Super cheap prices and the potential to find gold amongst a trove of pyrite is an addicting, exhilarating experience. It’s like Pinterest (NYSE:PINS) meets thrift store.

Perhaps surprisingly, ContextLogic has a solid team. They’ve got ex-Google and ex-Airbnb execs who accomplished notable things at their previous companies.

This team is more than equipped to expand their “digital garage sale” platform and drive WISH stock higher.

Tilray (TLRY)

photo of a hand holding a marijuana joint that is smoking against a green outdoor background

photo of a hand holding a marijuana joint that is smoking against a green outdoor background

Source: shutterstock.com/Tunatura

Tilray’s case for being a meme stock with great potential is a bit more obvious.

As with all cannabis stocks, relaxing regulations will naturally enable weed companies to further thrive.

Tilray is special because it leads the pack in terms of medical marijuana. It also just merged with Aphria, a leading recreational brand in Canada. These brands combined — as well as Tilray’s other brand-new medical cannabis brand, Symbios — create an unstoppable cannabis force moving forward. They’ve got all their bases covered with their many weed offerings.

This is why Tilray is up about 20% since last month, while ETFMG Altermatove Harvist ETF (NYSE:MJ) is up only about 5%.

We think MJ will continue to rise as marijuana becomes increasingly legal in an increasing number of places. And we think TLRY stock will continue to dominate and experience even larger gains.

Meme Stocks: Chewy (CHWY)

The Chewy (CHWY) logo on a banner at the New York Stock Exchange.

The Chewy (CHWY) logo on a banner at the New York Stock Exchange.

Source: Chie Inoue / Shutterstock.com

Pet e-commerce business Chewy is solid for a few reasons, not least of which was its great first quarter numbers.

But despite smashing Q1 numbers, CHWY stock fell, because management anticipates business to slow more than anticipated throughout 2021.

Don’t worry about Chewy though. Its strong quarter can be attributed to people needing to order pet supplies online, but this doesn’t mean a reopening of society will significantly impact online shopping in the long-term, after 2021. People will likely be disproportionately keen on leaving the house for any reason at all, but only for a short time.

In time, people’s behavior will return to normal, and the online shopping trend will continue to grow.

Couple this with the fact that Americans are spending more than ever on their pets — who they increasingly refer to as their “children” — and we don’t see this stopping anytime soon. No longer must Fido stay outside all day. Now, Fido has several pairs of pajamas, has his own spot on the couch and and sleeps in the bed.

Come 2022, when the trend favoring online shopping continues, Chewy will pick back up. Buy CHWY stock when it’s weak, and it could double or more in the next few years.

AMC (AMC)

AMC is a strange stock. But you already knew that.

For a while there, it looked like AMC was on life support. Theaters were at risk of shutting down forever.

But then meme traders banded together against short sellers and resuscitated the stock. Its unprecedented 2500%+ gains this year helped bring it to the forefront of social media. And then their CEO stepped up his game and started interacting with his newfound “ape” investors in an effective way, clearly. He answers questions and addresses concerns on Twitter, is making investor presentations more accessible to AMC’s retail investors and also has begun offering perks — like free popcorn — to his loyal supporters.

There have been a few dips here and there as the stock experienced varying levels of social media attention from day to day, but the stock has stayed strong. AMC has sold some of their own stock, which caused the price to drop a bit. But AMC’s CEO took to Twitter and explained their rationale — they needed to raise capital to give AMC the best shot at future success. This explanation must have sufficed, because the stock has yet to lose its steam.

With movie theater attendance at least temporarily surging, we expect AMC could raise enough money to survive and even thrive moving forward. There’s a lot of potential for what movie theaters can be. Movie theaters as they are likely won’t suffice, so AMC will still need to strategically utilize the money they raise in order to maintain interest.

With AMC stock, the price could still be super inflated. But if the price drops low enough, it could be worth joining the “apes” on AMC stock.

Meme Stocks: BeyondMeat (BYND)

Image of Beyond Meat (BYND) burger patties on a store shelf

Image of Beyond Meat (BYND) burger patties on a store shelf

Source: Sundry Photography / Shutterstock.com

Beyond Meat has shot up over 35% in the past month, but there will likely be some pullback soon, as we see with all meme stocks.

Wait until that happens, and then buy the dip, because Beyond Meat is an incredibly solid company.

The world is gravitating towards plant-based meat, which is huge for this leading meat substitute producing company. According to a 2019 study, 90% of Americans ate non-meat substitutes, regardless of their dietary choices. There’s a gigantic, growing market for the kind of food Beyond Meat is producing, and Beyond Meat is constantly expanding. They have even collaborated with KFC on plant-based “fried chicken” available in China and California.

And, as society reopens, and people desire to eat out at restaurants again, sales will only improve. While everything was on lockdown. Plant-based meat that wasn’t available before the society closed will now be enticing options for people.

We see BYND stock hitting $200 in 2021.

TuSimple (TSP)

A finger hovering over an "autonomous drive" button

A finger hovering over an “autonomous drive” button

Source: Olivier Le Moal / Shutterstock.com

TuSimple is an autonomous vehicle company that focuses solely on semi-trucks. Because of their more narrow focus compared to competitors, we believe TuSimple has a competitive edge in the AV space.

For one, trucks often drive the same or similar paths, every single day. Whereas an individual commuter could drive countless permutations of the same route depending on traffic, construction and other factors, semi-trucks don’t really mix it up that much.

Because automating semi-trucks far simpler, we see completely self-driving trucks hitting the mainstream market before self-driving cars.

And TuSimple dominates the self-driving truck scene.

They recently sent a truck of watermelons across the country almost entirely autonomously — the driver steered the vehicle only at the beginning and end of the journey. The cargo arrived ten hours earlier than it would have potentially taken a non-automated truck, which is a 42% savings on time.

Quicker deliveries also means fresher food and produce.

And not only do automated trucks make sense from a time savings standpoint, but trucks, unlike humans, don’t need to take breaks. Human drivers also has strict sets of laws that prohibit them from driving too much. This prevents tired, inattentive drivers from taking to the road. But self-driving trucks don’t get tired, and they don’t need snacks or breaks.

They also have some notable investors.

Volkswagon (OTC:VWAGY), Goodyear (NASDAQ:GT) and Union Pacific (NYSE:UNP) believe in TuSimple, so maybe you should too.

TuSimple is set up for long-term success, making TSP stock is one of our favorite growth stocks

Meme Stocks: Bed Bath & Beyond (BBBY)

bed bath & beyond storefront (BBBY)

bed bath & beyond storefront (BBBY)

Source: Shutterstock

This retail chain has great long-term growth prospects and the potential to gain an higher valuation down the line. Bed Bath & Beyond’s management team is putting in the work to turn this company around entirely.

For the longest time, Bed Bath & Beyond operated antiquated brick-and-mortar shops that relied heavily on discount-driven sales. This hurt profit margins, and it didn’t work.

That’s where Mark Tritton, former chief merchandise of Target (NYSE:TGT), steps into the picture.

Mark revitalized Bed Bath & Beyond by revamping stores, improving its e-commerce and just overall improving how the company operates.

These changes worked. Even amidst the pandemic, Bed Bath & Beyond scored three consecutive positive sales quarters. Gross margins, digital sales and adjusted EBIDTA are all going up.

We think BBBY stock could hit $70 within the next few years as this company’s management turns them into an efficient homeware giant.

As long as Bed Bath & Beyond’s management continues to pull all the right strings, we think BBBY stock is a solid stock to pick up that will experience growth long after its meme stock status fades.

Canoo (GOEV)

A Canoo MPDV being loaded with small shipping containers

A Canoo MPDV being loaded with small shipping containers

Source: Canoo media

Revolutionary electric vehicle manufacturer Canoo meets all the requirements for meme stocks, but it’s also been in the news lately due to rumors talks with Apple (NASDAQ:AAPL). Spoiler alert: Apple isn’t going to acquire Canoo. But regardless, GOEV stock is still a solid buy.

For one, Canoo’s innovative multi-purpose platform (MPP) is one of the biggest automotive design breakthroughs in decades. The MPP has a low floor and wide base, and enables Canoo’s EVs to maximize on space.

When it comes to delivery and trucking, having ample space is absolutely crucial. Families also benefit from storage, as there will always be room for the kids, backpacks, toys and sports equipment, kids’ friends and anything else you can imagine.

Perhaps even more importantly, we see Canoo’s spacious interiors as paving the way for the construction of driverless vehicles, which will be here soon enough. Canoo is already approaching “living rooms on wheels” with their EVs.

We think Canoo is pioneering automotive technology and trends that will carry them confidently into the future of the EV industry, and the auto industry in general.

Buy the dip in GOEV stock on weakness and hold for the long-term.

Bottom line: The aforementioned 10 stocks are among some of the best meme stocks to invest in, and long-term, these stocks will score investors big returns. But they’re far from the only high-growth, high-return stocks on my radar today.

In fact, I have more than 40 hypergrowth stocks that could score investors Amazon-like returns over the next few months and years.

These stocks include the world’s most exciting autonomous vehicle startup, a world-class “Digitainment” stock creating the building blocks of the metaverse, a company that we fully believe is a “Tesla-killer,” and many more.

Click here to watch my first-ever Exponential Growth Summit and to subscribe to Innovation Investor today.

On the date of publication, Luke Lango did not have (either directly or indirectly) any positions in the securities mentioned in this article.

By uncovering early investments in hypergrowth industries, Luke Lango puts you on the ground-floor of world-changing megatrends. It’s the theme of his premiere technology-focused service, Innovation Investor. To see Luke’s entire lineup of innovative cutting-edge stocks, become a subscriber of Innovation Investor today.

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Julia Mangels

Julia has handled various businesses throughout her career and has a deep domain knowledge. She founded Stock Market Pioneer in an attempt to bring the latest news to its readers. She is glued to the stock market most of the times and just loves being in touch with the developments in the business world.

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