GameStop Corporation GME shares closed up 8.88% at $23.42 on Friday. Here’s a recap of the key events and developments from this week that contributed to the stock’s movement:
Upcoming Q2 Earnings Report:
- GameStop is scheduled to release its second-quarter earnings report on September 10 2024, after the market closes.
- Analysts expect an EPS loss of 9 cents and revenue of $895.67 million for the quarter.
Credit Facility Termination:
- Earlier this week, GameStop announced the termination of its $250 million credit facility.
- This decision indicates a strategic shift towards relying more on cash from operations and cash on hand as the primary sources of liquidity.
Retail Strategy Shift:
- GameStop is making efforts to revitalize its retail presence by converting some stores into retro gaming retailers.
- This move targets nostalgia-driven gamers interested in older consoles and games, aiming to capitalize on the growing retro gaming market.
Retail Investor Interest:
- Despite the recent surge in stock price, the level of retail investor interest did not match the intensity of the 2021 meme stock frenzy.
- SEC data shows that retail participation during the stock’s May rally was roughly half of what it was during the original surge.
Year-to-Date Performance:
- GameStop’s stock has experienced a 27% increase year-to-date, reflecting a gradual recovery and investor optimism despite the challenges faced by the company.
This combination of upcoming earnings, strategic shifts and evolving retail strategies has driven GameStop's stock performance this week.
![](https://editorial-assets.benzinga.com/wp-content/uploads/2024/08/30143624/GME.png)
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