An analysis says retail investor-led trading in so-called meme stocks is resurfacing in the U.S. stock market. Meme stocks refer to shares that draw retail investors’ attention through online buzz, and some in the market are discussing the possibility of another speculative rally as retail money flows back in after sharp rises in certain names.

Bloomberg reported on April 17 that Vandatrack, which tracks retail investor trading, diagnosed the recent trend as an early signal of a meme-stock market. It said retail investors are starting to show more interest in using tax refunds than in Middle East geopolitical risks, and are again moving into aggressive buying.

Allbirds was cited as the most emblematic case. The company, known as an eco-friendly sneaker brand, saw its share price jump nearly fivefold intraday after it announced plans to pivot to an artificial intelligence (AI) infrastructure business and change its name. It later fell sharply but is still holding at a level above its year-to-date low.

Retail buying also surged. Vandatrack estimated net retail buying that flowed into Allbirds on April 16 at $5.2 million. That exceeds the $5.0 million recorded on the day of its 2021 initial public offering.

Myceum is another example. Its shares jumped 150 percent in a single day after it announced an AI transition plan. Algorithm Holdings, formerly a karaoke machine company, has also staged a short-term surge by promoting a similar narrative.

Retail investors’ interest is not limited to specific stocks. The market is also detecting flows of money back into what are described as storytelling-heavy names such as Tesla, Palantir Technologies and IonQ.

Cases in which meme-stock surges lasted long were rare. Opendoor Technologies and Beyond Meat, representative meme stocks during the COVID-19 pandemic, have since seen their share prices fall sharply from their peaks.

Concerns about market overheating are also resurfacing. A representative example is a 2017 case in which Long Island Iced Tea’s stock soared after it declared a pivot to a blockchain business. The company later changed its name but ultimately faced a delisting crisis.

Some also see the current market situation as not simply speculation. With expectations of improving corporate earnings and a continuing long-term bull market trend, the analysis said overheating in some speculative names could be a tail-end effect. It said the key question is whether retail money will remain in short-lived theme stocks or spread across small and mid-cap shares based on narratives such as AI transitions. Whether recently surging stocks can prove expectations with actual business results is also cited as an important variable for the market.