GameStop and other so-called stock stocks flooded Thursday, with investors heading into stocks after the collapse of the previous session.
Shares at GameStop video game retailer closed 52.7% at $ 183.75 in trading volume immediately after rising to $ 187.50 earlier than the session.
The company’s shares remained at 8.2% this week so far after losing out after a earnings report late Tuesday in which the company revealed it was exploring the possibility of a stock sale. They have risen 875% year-on-day, although it is still far from their record $ 483 reached in late January.
The company has benefited from the expulsion of retail investors, often at online forums such as Reddit’s WallStreetBets, to increase the prices of shares they believe are not important.
Investors have been watching the efforts of billions of investors and Chewy Inc founder Ryan Cohen, who is on the GameStop board, to turn a retailer into an e-commerce company that could take on rivals such as Target Corp and Walmart Inc.
GameStop, which added three new directors, including Cohen to its board in January as part of the agreement, said in its annual filing of laws it expects eight senior members to retire at their 2021 annual general meeting in June. The company said it had not yet decided who it would nominate to replace traveling board members.
CFRA analyst Camilla Yanushevsky said some investors believe the board reform program is a promising sign of GameStop’s efforts to expand commercials.
“If Ryan Cohen can fill the board with his teammates, people think it could lead to a GameStop transformation. That’s the bullshit case,” he said.
Meanwhile shares of other meme shares such as head maker Koss Corp have also risen. Koss shares closed 57.1% at $ 25.80 with trading volume around 4.7 times the 10-day moving average. Stocks dropped by almost 22% on Wednesday.
Cinema operator AMC Entertainment Holdings Inc closed 21.3% at $ 10.94 after falling 36% in the last four sessions.