GameStop Goes Parabolic--We Were Bullish Under $20, But We Are Bearish Over $60. Here's How We're Betting Against it.
Portfolio Pulse from David Pinsen
GameStop (GME) experienced significant price volatility due to social media activity by 'Roaring Kitty' and subsequent earnings and equity offering news. The stock spiked from $17.46 to over $60 but fell after dismal earnings and an equity offering announcement. The article suggests a bearish outlook on GME above $60 and discusses a strategy involving in-the-money credit call spreads.
June 10, 2024 | 2:58 pm
News sentiment analysis
Sort by:
Descending
NEUTRAL IMPACT
The article mentions SPDR S&P 500 Trust (SPY) as a benchmark for comparing returns. No direct impact on SPY's price is discussed.
SPY is mentioned only as a benchmark for performance comparison, with no direct impact on its price.
CONFIDENCE 80
IMPORTANCE 10
RELEVANCE 10
NEGATIVE IMPACT
GameStop's stock price surged due to social media activity but fell after dismal earnings and an equity offering announcement. The article suggests a bearish outlook above $60.
The stock's price volatility was driven by social media activity and earnings news. The bearish outlook is based on high valuation and poor earnings performance.
CONFIDENCE 90
IMPORTANCE 100
RELEVANCE 100