GameStop (GME) Stock Volatile Ahead Of Earnings, Boosted By Bitcoin Bet And Switch 2 Hype

GameStop Corp GME shares are seeing heightened volatility Monday, trending across social media ahead of the company's first-quarter earnings report scheduled for after the market close on Tuesday.

What To Know: Investor attention has intensified as GameStop's latest pivot toward Bitcoin and excitement around last Thursday's launch of the Nintendo Switch 2 stoke bullish sentiment.

The company recently added 4,710 Bitcoins to its balance sheet, following a board-approved update to treat Bitcoin as a treasury reserve asset. This strategic shift comes amid a broader crypto rally that pushed Bitcoin above $110,000 in late May.

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GameStop's upcoming earnings will be closely watched after a mixed fourth-quarter report, where revenue declined 28% year-over-year but EPS of 30 cents topped estimates. Analysts now expect first-quarter EPS of 4 cents on revenue of $754.23 million, down from $881.8 million last quarter.

Last week’s launch of the Nintendo's Switch 2 could also benefit GameStop by driving demand for hardware and accessories. With shares up roughly 8% in the past month, Tuesday's results and crypto strategy could determine whether the rally continues.

Price Action: GME shares edged up 0.07% to $29.60 as of late morning trading.

How To Buy GME Stock

By now you're likely curious about how to participate in the market for GameStop – be it to purchase shares, or even attempt to bet against the company.

Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy “fractional shares,” which allows you to own portions of stock without buying an entire share.

If you're looking to bet against a company, the process is more complex. You'll need access to an options trading platform, or a broker who will allow you to “go short” a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource. Otherwise, if your broker allows you to trade options, you can either buy a put option, or sell a call option at a strike price above where shares are currently trading – either way it allows you to profit off of the share price decline.

According to data from Benzinga Pro, GME has a 52-week high of $35.81 and a 52-week low of $18.73.

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