Love bombing hits the market in revenge of the DORKs
And maintaining our love of catchy sharemarket monikers (like the term 'magnificent seven' for those large dominant tech stocks), the latest batch of meme shares receiving oversized investor love bombs is the 'DORKs'.
D is for Krispy Kreme (its sharemarket ticker is DNUT), O is for real estate company Opendoor, R is for Rocket Lab (a New Zealand-founded rocket company), and K stands for Kohl's, a struggling US department store chain.
Revenge of the DORKs will make a lucky few – the authors of the frenzy – very wealthy, but if history is a guide, will leave plenty of carnage for those who jumped on the bandwagon too late.
At various points over the past week, each of the above companies has experienced a massive surge in their share prices on the back of social media focus from platforms such as Reddit.
A couple of additional names, such as struggling apparel group American Eagle Outfitters, have also now joined the group – having garnered online attention thanks to an advertising campaign featuring US actor Sydney Sweeney. The stock was down almost 50 per cent before it was 'memed' and rose 25 per cent in one trading session.
Camera company GoPro is another that has caught meme fever last week and jumped 130 per cent in a day.
The meme stocks are marked by being a fundamental counterintuitive choice as investments.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
ABC News
38 minutes ago
- ABC News
Food standards regulator proposes genetically modified definition update
As food companies welcome a proposal to alter the definition of genetic modification in the Food Standards Code, organic producers fear the change could "mislead" the public. Australia's food regulator, Food Standards for Australia and New Zealand (FSANZ), has proposed a change that would allow some foods produced using gene editing techniques to avoid being labelled as genetically modified. Currently, food defined as genetically modified is subject to strict regulations and restrictions, making it difficult for food tech companies to get new products to market. Under the proposed change, food that has been gene edited would not be subject to the same rules, unless "novel DNA" has been introduced. FSANZ defines novel DNA as DNA which, as a result of the use of gene editing, is different in chemical sequence or structure. General manager of public health at FSANZ Christel Leemhuis said the definition change would "remove ambiguity" for businesses and consumers. "The new definition will … improve clarity and predictability for businesses, regulators and consumers, while continuing to protect public health and safety," Ms Leemhuis said. "[The current definition] is outdated and doesn't reflect the new technologies in the market." Ms Leemhuis said an example of what would get through under the definition change were cases where gene editing had been used to remove a gene from corn to change its starch content. "It replicates a change that can occur naturally but does it in a more targeted and efficient way," said Ms Leemhuis. Ms Leemhuis said anything with "novel DNA" would still be subject to the same standards for genetically modified food which apply now. CropLife Australia CEO Matthew Cossey said the change would bring Australian standards in line with those of global trading partners, such as the US and Canada, and open the doors for new technology. "You're not introducing a different or foreign gene, you're simply doing what we've done through traditional breeding … with no difference except in precision and time," Mr Cossey said. Croplife Australia represents innovators, developers, manufacturers, formulators and registrants of crop protection and ag-biotechnology products. Mr Cossey said Australia was lagging behind the rest of the world because the current definition made it "too difficult" to bring new products to market. "The system is antiquated and at the moment you're capturing things that just aren't [GM]," he said. "[Such as] Arctic apples and a range of other products that aren't in the Australian market." The Canadian product was developed through gene editing, to prevent browning when sliced or bruised. Mr Cossey said allergies and other health issues could also be better addressed under the change. "Things like gluten allergy could be addressed here [and] the health benefits are one of the most exciting areas in terms of the [new breeding techniques]," he said. Peak industry body Australian Organic Limited said the change would be "misleading" to the general public. Operations and technical manager Josefine Pettersson said some products created with new breeding techniques like gene editing would not require any labelling, traceability or testing prior to entering the consumer food market. Ms Pettersson said the change to the definition would mean products like purple tomatoes, which are currently being assessed by the regulator, would not need approval to go to market. "They would just be automatically approved because they are a mutation and genetic editing of the same species, tomato DNA," she said. Ms Pettersson said the group was also concerned it would not be mandatory to disclose if products had a genetically modified food in the ingredients list, but Mr Cossey rejected that. "GM foods still have mandatory labelling requirements, all GM foods will continue to have that in Australia," he said. FSANZ said consumers would still have information to ensure informed choice. Food ministers from Australia and New Zealand have until August 3 to consider FSANZ's change definition.
The Australian
7 hours ago
- The Australian
How Qantas Frequent Flyer, Velocity compare to other airline loyalty programs
Analysis of the best frequent flyer programs for Australian travellers has ranked Virgin Atlantic as number one based on the average value of each point earned. Australian Frequent Flyer's Matt Graham and Wilson McTaggart undertook the detailed analysis in an effort to throw some light on one of the murkiest areas of loyalty schemes. It was noted the value of points varied dramatically based on redemptions — with Qantas Frequent Flyer members getting the equivalent of 0.46 cents a point for a gift card, and as much as 3.66c a point for a domestic flight cabin upgrade. Overall, Qantas points were valued at an average 1.8c per point, just ahead of Virgin Australia's Velocity on 1.7c, and behind Virgin Atlantic's Flying Club at 2.1c. Qatar Airways' Privilege Club 'avios' were worth an average 2c a point, and Cathay Pacific and Air France loyalty programs 1.9c a point. At the other end of the scale was Air New Zealand airpoints — estimated to be worth a mere 1c per point, and Etihad Guest and Emirates' Skywards at 1.3c. Mr Graham acknowledged Virgin Atlantic did not fly to Australia, but said the airline offered 'relatively good value redemptions with lower points requirements than other programs for similar flights'. 'In addition, Virgin Atlantic is part of SkyTeam, and there is very good reward flight availability on key routes, including from Australia to Asia with partner airlines such as Garuda Indonesia and Vietnam Airlines,' he said. 'With Virgin Atlantic Flying Club, you can also book trans-Tasman flights on Air New Zealand as well as economy class flights on Virgin Australia.' On the homegrown front, it was noted it was easy to earn large amounts of points with Qantas Frequent Flyer and Virgin Velocity, particularly through points-earning credit cards. But, Qantas points were considered slightly more valuable, partly due to higher airfares with more inclusions and better access to lounges. Mr Graham said there was no question the best use of Qantas points was for business class reward flights between Australia and Asia, closely followed by using points for upgrades and domestic flights. 'For example, a business class redemption from Sydney to Tokyo through Qantas Frequent Flyer would net you around 3.4 cents per point of value, more than seven times the value of a gift card,' he said. 'The same Sydney-Tokyo business class redemption through Velocity Frequent Flyer is worth around 2.7 cents per point.' Velocity chief executive Nick Rohrlach said the program made it easier to earn and redeem points across a wide range of partners, and competitive fares meant members could access rewards sooner. 'While points valuations can vary depending on methodology and timing, we remain focused on providing a rewarding and accessible program that meets the needs of Australian travellers,' said Mr Rohrlach. Loyalty expert Adele Eliseo of The Champagne Mile said the Australian Frequent Flyer analysis showed there was 'value hiding in programs that may not be on most Australians' radar'. 'As a UK-based program, Virgin Atlantic isn't as easy to earn into as Qantas or Velocity but it's accessible to Australians Amex Membership Rewards,' Ms Eliseo said. 'Virgin Atlantic's high valuation is partly built on access to Air New Zealand's premium cabin seats, with standout redemptions like 15,000 miles for business class from Australian cities to Auckland.' She said it was somewhat ironic that while Air New Zealand's own program delivered some of the weakest returns, 'international partners monetised its best inventory'. 'Air New Zealand's own program Airpoints Dollars, is little more than a fixed cash rebate,' said Ms Eliseo. Although there was no question that airline loyalty programs differed considerably, Mr Graham said the best rule of thumb was to not tie yourself down to just one. 'Collecting points with multiple airline programs — or better, flexible credit card reward programs that let you transfer your points out as needed — ensures you can get the best value for your points every time you want to redeem them,' he said. 'It also helps spread the risk, in case a particular airline devalues its frequent flyer program at short notice.' Read related topics: Qantas Robyn Ironside Aviation Writer Robyn Ironside is The Australian's aviation writer, and has twice been recognised by the Australasian Aviation Press Club (in 2020 and 2023) as the best aviation journalist. She has been with The Australian since 2018, and covered aviation for News Corp since 2014 after previously reporting on Queensland state politics and crime with The Courier-Mail. Aviation A 737 aircraft has been severely damaged after becoming detached from a tug vehicle and colliding with it at Melbourne Airport. Aviation The Boeing 747 was being towed for maintenance when the incident happened, leaving an enormous rip in the side of the aircraft.
The Age
16 hours ago
- The Age
Love bombing hits the market in revenge of the DORKs
Call it Reddit revenge or investor amateur hour, but the return of the meme stocks is in full swing again with a new collection of clapped-out US long-shot stocks off and racing on markets. And maintaining our love of catchy sharemarket monikers (like the term 'magnificent seven' for those large dominant tech stocks), the latest batch of meme shares receiving oversized investor love bombs is the 'DORKs'. D is for Krispy Kreme (its sharemarket ticker is DNUT), O is for real estate company Opendoor, R is for Rocket Lab (a New Zealand-founded rocket company), and K stands for Kohl's, a struggling US department store chain. Revenge of the DORKs will make a lucky few – the authors of the frenzy – very wealthy, but if history is a guide, will leave plenty of carnage for those who jumped on the bandwagon too late. At various points over the past week, each of the above companies has experienced a massive surge in their share prices on the back of social media focus from platforms such as Reddit. A couple of additional names, such as struggling apparel group American Eagle Outfitters, have also now joined the group – having garnered online attention thanks to an advertising campaign featuring US actor Sydney Sweeney. The stock was down almost 50 per cent before it was 'memed' and rose 25 per cent in one trading session. Camera company GoPro is another that has caught meme fever last week and jumped 130 per cent in a day. The meme stocks are marked by being a fundamental counterintuitive choice as investments.
