GameStop short sellers make a comeback as meme stocks buckle

Shares of $AMC Entertainment (AMC.US)$ and $GameStop (GME.US)$ dropped further in early trading on Tuesday, extending declines that have helped short sellers recover more than $1 billion in losses in December.
Both companies were at the heart of the meme stocks phenomenon earlier this year, when individual investors coordinated on online message boards to fuel stunning rallies that cost short sellers billions of dollars.
Theater chain AMC dropped 8% to a new 7-month low at $21.31 and were on track for a fourth day of losses, while videogame retailer GameStop shed 4.3% to $131 – its lowest level since March.