Analysis: Riding GameStop's resurgent rally - 'not for the faint of heart'
Joe Youngblood, รวมโปรสล็อต
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who works in digital marketing in Dallas, Texas, bought his first share of GameStop at US$98 in early February and found his investment cut in half in a matter of days. After a wild ride, he is now up more than 200per cent and expects the video game retailer to initiate a much-awaited turnaround of its business.
"I am kicking myself for not buying more when it dropped below US$50," said Youngblood. “After research I believe GameStop has a good chance to pull it off.”
The latest resurgence in GameStop shares has reinvigorated true believers. Still, many analysts point to the rally in beaten-down “meme stocks” championed in forums such as Reddit’s WallStreetBets as evidence for speculative excess in stimulus-fueled markets.
“I think this is a cult stock,” said Michael Pachter, managing director of equity research at Wedbush Securities. “The rally is because of demand from the Reddit Raiders, and it’s not clear it will be sustainable as the stock rises to ever higher levels.”
GameStop shares closed on Wednesday up 7per cent at US$265 after hitting a session peak of US$348.50, which was 800per cent above last month’s low. Among the factors driving the stock are bets on improving fundamentals and hopes for another short squeeze like the one in late January, which drove prices as high as US$483. Many GameStop investors also hope Americans will plow money from their coming stimulus checks into the stock.