Shares of Gamestop (NYSE:GME) are surging at the time of writing, which can be attributed to a filing showing that Ryan Cohen increased his position in the company from 11.9% to 12.1%. This comes despite the company’s most recent earnings report, which saw revenue disappoint and its CEO resign. Although Cohen is optimistic, not many share his sentiment.
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Indeed, Wedbush analyst Michael Pachter recently went on to say that GameStop is doomed, with “declining physical software sales and a shift of sales to subscription services and digital downloads sealing its fate.” Furthermore, short interest in the stock had recently increased to the highest levels since March.
Nevertheless, over the last five trading days, investors have pushed GME stock significantly higher. Indeed, shares have gained over 27% during this timeframe, which is probably the result of a short squeeze.