Clean Energy Fuels caught in Reddit memestock mania as shares surge in pre-market deals

Clean Energy Fuels Corp (NASDAQ:CLNE) seems set to be the latest stock to benefit from the latest Reddit-inspired ‘memestock’ trading frenzy as the value of the natural gas supply company rocketed in pre-market deals on Wall Street.

In trading ahead of the opening bell on Wednesday, the company’s shares were up 31.7% at US$13.14, its highest level in over two months.

READ: Clover Health soars as it becomes new Reddit ‘memestock’ darling

The upsurge in trading appears to have coincided with increased chatter about CLNE on Reddit forum r/wallstreetbets, which is widely credited as sparking similar buying frenzies in the shares of firms such as GameStop Corp (NYSE:GME) and AMC Entertainment Holdings Inc (NYSE:AMC).

According to sentiment tracking website SwaggyStocks.com, the company’s ticker was the third most discussed in the forum over the last 24 hours, with some members arguing that CLNE is poised to benefit from the Biden administration’s push towards green energy.

At the heart of this, according to some posters on the forum, is the company’s focus on Renewable Natural Gas (RNG), which is created by converting methane from various forms of organic waste and livestock emissions into a cleaner form of gas.

As a result, CLNE’s technology has many on the forum thinking the company could be a key winner in the shift to green energy, with one user, u/HxMythh, saying the stock is “a no brainer in terms of being undervalued currently”.

Story by ProactiveInvestors