What happened This video will talk about the recent stock price surge from Lemonade (NYSE: LMND). The stock is up 75% this past month. Surprisingly, there isn't any company-related news behind this month's move. But some might say it has to do with the recent short-squeeze action. Lemonade had been one of the most beaten-down stocks in the market since the start of the year. The stock was down 65% from its highs. A mix of short-seller reports and a negative reaction to Lemonade's first-quarter earnings report sent the stock plummeting. As of today, the stock is still down roughly 40% since its all-time high. Squeezed We've seen quite a bit of short-squeeze action regarding the so-called meme stocks, which are generally correlated to heavily shorted companies. And Lemonade certainly qualifies. As of today, nearly 20% of Lemonade's float is sold short, which is down from 30% since May. So one can assume that much of Lemonade's recent price action could be the result of short-squeeze pressure. What's next? Just as with the short squeeze that happened earlier this year, we might see these meme stocks plummet again, and that might hurt a stock like Lemonade, which has been dragged along in this rally. Especially since there has been no news regarding the company that might justify a 75% rise in stock price. Waiting on the sidelines until things calm down might be the best move in the current market. Watch the video below for the full insights. *Stock prices used were the closing prices of June 9, 2021. The video was published on June 10, 2021. 10 stocks we like better than Lemonade, Inc.When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and Lemonade, Inc. wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of June 7, 2021 Neil Rozenbaum owns shares of Lemonade, Inc. The Motley Fool owns shares of and recommends Lemonade, Inc. The Motley Fool has a disclosure policy. Neil is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool.Source