After a historic 2021 that saw meme stocks soar to atmospheric levels, 2022 is sending them plummeting back to Earth. Take r/WallStreetBets darling GameStop (NYSE: GME), for example. GME stock is down more than 30% since the year began.
Full Answer
What happened to GameStop stock?
Jan 25, 2022 · January 25, 2022. After a historic 2021 that saw meme stocks soar to atmospheric levels, 2022 is sending them plummeting back to Earth. Take r/WallStreetBets darling GameStop (NYSE: GME ), for ...
When will the GameStop and AMC stock bubble burst?
Sep 10, 2021 · The world's foremost meme stock, video game seller GameStop ( GME-2.54%) reported its second-quarter results on Sept. 8 after market close. The stock plunged over 7% shortly after the opening bell ...
Is GameStop’s short interest high?
Feb 04, 2021 · AMC Entertainment. Last 7.78 Change -5.52 (-41.51%) Shares of GameStop — the company at the center of an online buying binge that captured the imagination of the world last week — crashed ...
How did GameStop go up 600 percent in one day?
Apr 25, 2022 · GameStop will restock its PS5 inventory online and in stores on March 11. Both Best Buy and Walmart, on the other hand, had them in February, and now rumors point to imminent restocks at Best Buy...
Will GameStop cause the market to crash?
Over the past week, many people have asked me the same question: “Will the GameStop situation lead to a market crash?” The direct answer is an emphatic NO!Feb 1, 2021
Why GameStop stock is falling?
The consumer electronics industry was pinched by supply chain shortages, the rise of the omicron variant of COVID-19, and declining demand for products in the video game niche compared to a year earlier. Each of those challenges likely affected GameStop over the holiday selling period, too. Image source: Getty Images.Mar 3, 2022
Is GameStop a good buy right now?
GameStop is down 70% from record highs but remains a high-risk bet for investors given its negative profit margins and falling revenue.Jan 20, 2022
Is GME going to squeeze?
A short squeeze, one year after GME gained traction on WallStreetBets, is unlikely to happen.Feb 12, 2022
Is it safe to buy GameStop stock?
To answer the question in the headline: No, investors should not buy GameStop stock after it announced a stock split.Apr 5, 2022
Is GameStop still a thing?
Back in 2016, GameStop ran 7,117 stores. And in the 12 months ended in January 2016, sales at stores open at least a year rose 4.3%. But now many people just download games to their phones or computers. Now GameStop runs just around 5,000 stores.Dec 9, 2021
How much money is GameStop worth?
Betting On GameStop Anyway And made the company worth more than $13 billion, which is more than about a quarter of the companies in the S&P 500.Mar 14, 2022
Will the AMC squeeze happen?
While it's unlikely that a major short squeeze will happen, considering AMC's current trading volume, it's still possible that minor short squeezes may occur thanks to rising short interest. Co-producer of The Street's financial channels: Apple Maven, Amazon Maven and Wall Street Memes.Feb 16, 2022
Who shorted GameStop?
Mohammad Hormozzadeh, a 31-year-old day trader in Brooklyn, N.Y., was one of those investors who directly registered shares. He expects the big short squeeze to hit GameStop later this year.Feb 5, 2022
Will AMC squeeze again?
Because AMC is heavily shorted at 20%, this is a short squeeze play in 2022. A 20% short interest is equivalent to approximately 114.26 million shares on loan (shares that have been borrowed and have not yet been closed).6 days ago
CRYPTO CRASH
GME Stock Price Predictions: Where Will GameStop Go After Meme Stocks Crash?
GME Stock Price Predictions
Wedbush has a $45 price target. Analyst Michael Pachter believes that the share price is disconnected from its fundamental valuation due to last year’s short squeeze. Pachter adds that even though he believes GameStop will return to profitability this year, he still expects top-line growth to be flat.
The notorious meme stock's quarterly report includes some positives, but the company needs a plan
Rhian Hunt grew up in a crowded Connecticut suburb before moving to Wisconsin, where he enjoys being an outdoorsman, relishing the struggle against mountainous snowfalls during the eternal-seeming winters and aerial armadas of mosquitoes over the summer. Rhian studied Business Economics and Microeconomics at the University of Wisconsin.
Key Points
GameStop’s earnings call sent the stock tumbling, but retail investors appeared to start bidding it up again within hours.
What the report says
Despite the stock market drop, which mirrors Wall Street's reaction to 11 out of 12 recent GameStop quarterly reports, the company beat analyst consensus expectations on revenue. However, it missed on both GAAP and adjusted earnings per share. Revenue rose 25.6% year over year to $1.18 billion.
What is needed
With a balance sheet free of debt and a huge war chest of cash, GameStop is positioned to make a comeback -- provided it comes up with a new strategy and focus, enabling a return to long-term profitability. Moreover, it has the means in its possession for a rebirth.
How much did Gamestop gain in 2020?
At the time of this writing, in 2020 Gamestop went from $6 to $325, or a gain of over 5000%. It got so crazy that at one point the hedge funds managed to pressure the trading platform Robinhood into locking out their users from buying any more shares of Gamestop. They were still allowed to sell, but not buy.
How much did Michael Burry invest in Gamestop?
In April 2020, Michael Burry invested $15 million in Gamestop’s stock, with the intention of restructuring the company into a digital distribution hub. He was joined later on in the year by e-commerce CEO Ryan Cohen, who invested an additional $76 million into the company.
Who predicted the 2008/2009 Great Financial Crisis?
Enter Michael Burry. Michael Burry is the hedge fund trader who famously predicted the 2008/2009 Great Financial Crisis by shorting the US housing market.
Is Gamestop shorted?
In 2020, Gamestop became one of the most shorted stocks in the entire market. At the time, Gamestop, a video game retailer, had already been experiencing declining fortunes because of the video game industry’s transition away from physical distribution into digital downloads. Then the pandemic hit, shutting shopping malls down all around the world.
Who is the CEO of GameStop?
So although GameStop’s CEO George Sherman isn’t fit to pick the company up from the ground up, the company is actively seeking a new CEO to takeover. GameStop could really use a CEO like Adam Aron right now. Adam Aron is the CEO and President of AMC Entertainment.
Does Fundamentals drive GameStop stock?
Fundamentals can also drive GameStop’s stock price up. The company will have to run efficiently by being able to meet projected goals. While replacing their CEO is the first step, the new sheriff in town will have to bring more value than George Sherman has.
Is GameStop a storm?
GameStop has taken the entire internet and finance world by a storm. What is happening nowadays. Retail investors over at r/wallstreetbets have opened Pandora’s Box on short-sellers and hedge fund institutions.
Is Gamestop stock shorted?
GameStop stock is still being heavily shorted. With GameStop becoming a technology company, its value has not only significantly gone up but it now has even more potential to keep driving its momentum. Retail investors have a strong conviction towards GameStop investment.
Is GameStop stock in bullish territory?
Not only are retail investors experiencing a lot of volatility, but GameStop stock seems to be in bullish territory which is great for volume.
