CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 84% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

IronNet shares soar on Reddit interest

By Joyanta Acharjee

13:37, 7 September 2021

Cover page of 2021 IronNet investor presentation
IronNet investor presentation – Photo: IronNet

Shares in cybersecurity firm IronNet soared as high as 142% in pre-market trading Tuesday, as retail investors from social media website Reddit may have found a new target.

As at 11 am EDT on the NYSE, IronNet (DFNS) shares were up 62% at $27. Earlier Tuesday, shares rose up as much as 142% to $39.99 in pre-market trading. The company’s shares closed at $16.52 last Friday.

IronNet provides cybersecurity using artificial intelligence (AI) and is staffed by many former National Security Agency (NSA) cybersecurity professionals. This should come as no surprise as IronNet was founded in 2014 by Keith Alexander, a retired four-star US Army general who was the director of the NSA from 2005 to 2014.

Network detection and response services

The company provides network detection and response services powered by behavioural analytics. IronNet has partnerships with companies such as CrowdStrike, Palo Alto, Splunk, Amazon Web Services and Microsoft Azure to ensure its services can integrate with diverse corporate IT networks and ecosystems, some of which may be hosted in the cloud while others could be hosted on company premises.

IronNet listed on the NYSE in late August after a $927m SPAC deal with LGL Systems Acquisition. SPACs are shell companies that raise funds to acquire private companies with the goal of taking them public. In 2020, SPAC deals raised $79.9bn.


0.52 Price
-0.050% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 21:00 (UTC)
Spread 0.00405


27,080.70 Price
-0.080% 1D Chg, %
Long position overnight fee -0.0616%
Short position overnight fee 0.0137%
Overnight fee time 21:00 (UTC)
Spread 60.00


14,557.80 Price
+0.640% 1D Chg, %
Long position overnight fee -0.0255%
Short position overnight fee 0.0032%
Overnight fee time 21:00 (UTC)
Spread 3.0

Oil - Crude

71.98 Price
+2.450% 1D Chg, %
Long position overnight fee -0.0201%
Short position overnight fee -0.0018%
Overnight fee time 21:00 (UTC)
Spread 0.04

The source of retail investor interest on social media site Reddit may be this post on an individual user’s account which explains how IronNet stock may be a “gamma squeeze” candidate following its SPAC deal.

Gamma squeeze

A gamma squeeze happens when a share price rises in a very brief amount of time. A higher amount of money in call options (which bet on a share price rise) results in increased buying activity and can push a share price higher.

Since the original post was published five days ago, it has been re-submitted to other parts of Reddit – known as subreddits – increasing its visibility.

Intense retail investment interest has been seen in shares such as Gamestop and cinema chain AMC from subreddits such as wallstreetbets and superstonk. Shares that attract Reddit investor attention are known as “meme stocks”.

Read more: Cybersecurity summit sparks investment hopes

Rate this article

Capital Com is an execution-only service provider. The material provided on this website is for information purposes only and should not be understood as an investment advice. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents. We do not make any representations or warranty on the accuracy or completeness of the information that is provided on this page. If you rely on the information on this page then you do so entirely on your own risk.

Still looking for a broker you can trust?

Join the 535.000+ traders worldwide that chose to trade with

1. Create & verify your account 2. Make your first deposit 3. You’re all set. Start trading