GameStop Stock: What's the Latest?
Bullish Friday, Bearish Monday
GameStop shares soared on Friday, defying the lack of company-specific news. However, the rally fizzled out on Monday, with shares falling on above-average volume.
What's Driving the Volatility?
Analysts are divided on the reasons for GameStop's recent price swings. Some attribute the Friday rally to short covering, while others believe it was driven by retail investors buying the stock in anticipation of a short squeeze. The Monday sell-off, meanwhile, could be due to profit-taking or a realization that a short squeeze is unlikely.
Earnings Results
GameStop is scheduled to report its earnings results on Tuesday, March 17th. Analysts are expecting the company to report a loss per share of $1.34. However, some analysts believe that GameStop could surprise to the upside, given the strong demand for video games during the pandemic.
What to Watch For
Investors will be watching GameStop's earnings results closely for any signs of improvement in the company's business. They will also be listening for any updates on GameStop's plans for the future, including its plans for e-commerce and digital gaming.
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