GameStop’s stock slips after massive weekly gain



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GameStop shares saw a volatile trading move on Monday after the multi-session rally of the beloved meme stock last week which racked up massive gains.

Shares of the struggling video game retailer surged early in trading, rising about 7% after the opening bell, but then reversed the gain to fall nearly 16% to $ 223 around 11:20 a.m.

The sudden drop would have caused trading on GameStop to stop for volatility before the stock recovered in the early afternoon. It was recently around 5.5% to $ 250.01 at 1:34 p.m.

The session came after a week in which the GameStop share price jumped 92% and hit highs not seen since the late January market frenzy that rocked Wall Street.

Monday’s wild moves didn’t scare off many novice traders on Reddit’s WallStreetBets forum, which made the Texas-based channel synonymous with the retail investment revolution.

Some users have said they plan to acquire GameStop shares with the $ 1,400 stimulus payments – or “stimmy” checks – that the federal government began depositing in Americans’ bank accounts over the weekend. .

“Jokes about highs, this volatility makes me feel alive,” wrote a Redditor named __Cofi__ Monday, misspelling a slang term for hedge fund investors. “Buy 5 more shares. And my stimmy hasn’t even arrived yet!

The messages echoed a recent Deutsche Bank survey that reportedly found that around half of retail traders aged 25 to 34 plan to put 50% of their stimulus cash into stocks.

GameStop’s share price has also been moving like a roller coaster over the past week, but ended up posting solid gains after the company announced it had brought in Chewy.com founder Ryan Cohen to lead its transition to electronic commerce.

The Bulls believe Cohen, who joined GameStop’s board in January, will help it grow from a battered brick-and-mortar retailer to a successful digital games company.

Social media marketers have attempted to glean clues about Cohen’s role in the business from his cryptic Twitter posts. Most recent, posted thursday evening, featured a GIF of Jeff Daniels’ character from the 1994 movie “Dumb and Dumber” sitting on a toilet with his pants around his knees and feet in the air.



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