If You Invested $1,000 In GameStop Stock When Ryan Cohen's Stake Was Announced, Here's How Much You'd Have Today

One of the biggest stories for the stock market in 2021 has been the rise in valuation for GameStop Corp GME shares. The move could actually trace back to August 2020, when it was announced that Chewy Inc CHWY Founder Ryan Cohen took a stake in the struggling brick and mortar video game retailer.

What Happened: On Aug. 31, 2020, it was announced Cohen’s RC Ventures took a 9% stake (5.8 million shares) in GameStop. The news sent shares higher after trading down most of 2020.

Cohen also added to his position later in 2020 to bring his holdings up to 13% of all GameStop shares. Cohen paid an average of $8.40 for his GameStop shares in 2020.

See Also: How To Buy GME Stock

Investing $1,000: It shouldn’t come as a big surprise that a $1,000 bet on GameStop has turned in an impressive return since Cohen’s position was announced.

Based on a share price of $7.30 on Sept. 1, the day after Cohen’s purchase was unveiled, investors would have been able to buy 137 shares of GameStop. Those 137 shares of GameStop are now worth $30,456.47 based on a price of $222.31 for GameStop shares on June 15, 2021.

Not a bad return for following a well-known e-commerce leader with a move to turn a struggling physical retailer into an e-commerce powerhouse. Cohen was officially named chairman of GameStop's board of directors on June 9, 2021.

GME Price Action: Shares of GameStop have traded between $3.77 and $483 over the last 52 weeks.

Photo courtesy: EPIC via Wikimedia