GameStop Corp. flirted with a $10 billion market cap Friday, but fell about $400 million short by the close, in what would have been the first time in more than a month as volatility in the videogame retailer’s stock eases.
GameStop GME,
By the end of Friday trading, the stock posted a weekly gain of about 35%, modest compared with last week’s 150% gain. Still, that 35% gain is the eighth best weekly gain in the stock’s history — with 400% being the best back in late January. The four best weekly gains for the stock occurred between a six-week period in 2021 as investors targeted the stock en masse.
Last week was the stock’s second best week ever, and one analyst charted a strong correlation between the volume of chatter on Reddit’s WallStreetBets forum and GameStop’s share price. Since January, buy-and-hold social-media organized investors have clashed with Wall Street firms betting against the stock, making GameStop one of the most heavily shorted stocks out there.
Results for GameStop’s fourth quarter, which includes holiday sales, are expected out in late March, following a sneak peek in early January showing that e-commerce sales surged more than 300% but overall sales declined in the holiday season.
By the close, volume surpassed 30 million shares, compared with a 10-day average daily volume of 50.3 million and a 52-week average daily volume of 14.4 million.
GameStop shares are up 631% this year alone, and up nearly 3,400% over the past 12 months. The S&P 500 index SPX,
