GameStop’s latest rally kept rolling on Thursday morning, with the gaming retailer’s stock price spiking 45% in early morning trading. The jump pushed GameStop to $133 per share and comes a day after the company’s stock price doubled, following the resignation of its chief financial officer.
GameStop’s jump this week is an easy reminder of the company’s wild January, when its share price ran from about $20 per share to a high of $483 per share in a matter of weeks. GameStop’s run was spurred on, in part, by the backing of WallStreetBets, a popular Reddit forum where many users championed the retailer; one aspect that made GameStop especially attractive to WSB-inspired investors was that it was heavily shorted, or bet against — a reality that helped the company’s stock rocket higher once investors scrambled to grab GameStop shares. (GameStop’s meteoric rise was derailed in late January, when stock trading app Robinhood blocked users from buying shares of GameStop and other popular “meme stocks” like AMC and BlackBerry for one day.)
On Thursday, a number of Reddit users were singing GameStop’s praises on WallStreetBets, with several of them proclaiming the company is headed “to the moon”; several others said they plan on holding their GameStop stock until it hits $1,000 per share.
GameStop’s spike on Wednesday and Thursday came after CFO Jim Bell announced his resignation on Tuesday. Activist investor Ryan Cohen, the co-founder and former CEO of Chewy who took a major stake in GameStop last year, criticized GameStop’s executive team last November, saying the company needed to “pivot toward becoming a technology-driven business that excels in the gaming and digital experience worlds.” Many faithful GameStop shareholders have been clamoring for the company to follow Cohen’s guidance more, which may be key reason why, following Bell’s exit, GameStop’s shares have climbed higher this week.