News

Why is GameStop stock going up?

Here is what we know about GameStop's stock frenzy today.

GameStop’s stock has been going on a frenzy since the start of the year. In the month of January, the stock went as high as $480 from less than $20, before correcting itself to around the $50 mark.

Amidst all that, trading was halted numerous times as well to ensure that the stock gets stabilized, but, that didn’t help much as the frenzy continued whenever the market opened. However, while everyone believed that the stock has stabilized and the hype has subsided, it started rising again in February. There were a number of speculations as to why that was happening, with some even believing that Ryan Cohen tweeting a picture of an ice cream cone is making the stock soar again. It was even speculated the news of GameStop’s chief financial officer resigning next month played a role in the rise.

Why is GameStop stock going up?

Now, the stock is on the rise again and fans are curious again about why that’s happening. It is being speculated that the stock is soaring because of GameStop’s recent announcement which stated that a “strategic planning and capital allocation committee” is being formed which will aim to make GameStop a “technology business”. Apart from that, the committee will also be looking into “current operational objectives, capital structure, and allocation priorities, digital capabilities, organizational footprint, and personnel.”

The WallStreetBets subreddit is on a roll once again, with users already laying down their plans about buying or selling the stock. Many consider that the stock has immense long-term potential, and they will be holding it for a longer period of time. Whether one wants to buy this stock or hold it even further is something that is totally up to the trader, this fluctuation in the market will surely attract more investors. It seems like cryptocurrency is not the only volatile thing in the market, as GameStop’s stock has proved that wrong time and again.

 

Have something to tell us about this article?
Let us know
Md Armughanuddin

Md is the Head of Content- India for DualShockers. He is pursuing Computer Science Engineering and is really passionate about gaming and technology. You can find him cracking complex coding problems during the day, and covering the latest happenings in the industry at night.

Video Trailers

Lost Words: Beyond the Page - Accolades Trailer - Nintendo Switch
Hood: Outlaws & Legends - We are Legends Trailer

Got a tip?

Let us know