Meme stocks are popping this week, but Wall Street analysts who study the fundamentals believe big declines are looming.
Speculative trading from retail investors, many active on Reddit's WallStreetBets forum, are taking these meme stocks to new heights. The stocks include AMC Entertainment, GameStop, BlackBerry and Bed Bath & Beyond.
"AMC has survived the pandemic but comes out the other end massively diluted and still over-levered," Alan Gould of Loop Capital Markets said in a note Monday.
"Fundamentally, the exclusive theatrical window has shortened, fewer movies are being released theatrically, industry-wide fewer theaters have closed than anticipated, and streaming has become more pervasive," Gould said. "Eventually the valuation will reflect the fundamentals."
CNBC Pro looked at how much lower the Street predicts prices of nine meme stocks will drop in the next 12 months. Take a look: