GameStop's Share Price Jumps By 80% After Holiday Sales And Board Changes

The video game retailer is seeing a major turnaround in its share price following news about its board of directors and holiday sales.

12 Comments

Investors and analysts are apparently feeling more confident about GameStop's future, as the company's share price rallied on the stock market this week after the retailer announced its holiday sales report and appointed three new members to its board of directors.

As you can see in the chart below, GameStop's share price is surging--up by more than 80% at one point on Wednesday--to reach around $36 per share. That's up dramatically from the end of 2019 when the company was trading at about half of that.

The share price increase comes just days after GameStop announced sales of $1.77 billion for the nine-week holiday period, a modest decrease of 3 percent. However, comparable store sales rose by 4.8% and digital sales at GameStop surged by more than 300 percent.

The other piece of news that may have impacted GameStop's share price is that the retailer added three more executives to its board of directors to help shape the company's future. Among these is Ryan Cohen, the outspoken pet food industry billionaire who previously called on GameStop to make a series of significant changes to help turn the ship around.

One of GameStop's larger recent partnerships was with Microsoft. GameStop will get a share of digital sales from Xbox systems it sold to players, helping to alleviate the damage it would see to overall game sales as customers opt for digital versions.

Got a news tip or want to contact us directly? Email news@gamespot.com

Join the conversation
There are 12 comments about this story
12 Comments  RefreshSorted By 
GameSpot has a zero tolerance policy when it comes to toxic conduct in comments. Any abusive, racist, sexist, threatening, bullying, vulgar, and otherwise objectionable behavior will result in moderation and/or account termination. Please keep your discussion civil.

Avatar image for GalvatronType_R
GalvatronType_R

2562

Forum Posts

0

Wiki Points

0

Followers

Reviews: 2

User Lists: 0

Worst news I've read all day.

Also, why would Microsoft agree to give GS a cut of digital games sales on Xboxes they sell? GS cannot be selling as many as Walmart, Target, and Best Buy and now that GS is getting a cut, it won't be long before other retailers hit up Microsoft for handouts.

Upvote • 
Avatar image for YukoAsho
YukoAsho

2667

Forum Posts

0

Wiki Points

0

Followers

Reviews: 23

User Lists: 0

@GalvatronType_R: Naw, I we need GameStop. While Best Buy is getting better at stocking less mainstream titles, GameStop will have the best selection of games outside the mainstream.

What needs to happen is that GameStop needs to get out of the pawn shop mentality.

Upvote • 
Avatar image for totallytc
totallytc

167

Forum Posts

0

Wiki Points

0

Followers

Reviews: 0

User Lists: 0

How's Blockbuster doing these days? oh thats right.. wtf are these people smoking?

2 • 
Avatar image for lokar82
lokar82

329

Forum Posts

0

Wiki Points

0

Followers

Reviews: 0

User Lists: 0

This is a fool's buy fueled by people who don't know anything about video games. Gamestop will be gone in 1-2 years.

4 • 
Avatar image for chaosbrigade
chaosbrigade

802

Forum Posts

0

Wiki Points

0

Followers

Reviews: 4

User Lists: 0

@lokar82 said:

This is a fool's buy fueled by people who don't know anything about video games. Gamestop will be gone in 1-2 years.

Doesn't matter in 1-2 years, a lot of people already made literally millions on WSB.

2 • 
Avatar image for faithxvoid
faithxvoid

124

Forum Posts

0

Wiki Points

0

Followers

Reviews: 1

User Lists: 0

Edited By faithxvoid

@lokar82: Maybe longer than 1-2 years, but gone by 2030 for certain. They think they can bring the marketing guy from Chewy and save everything. Nope. Just like getting Reggie didn't. Nobody shops at Chewy because of their commercials. They shop there because it's literally the exact opposite of how Gamestop functions. They offer competitive prices and they actually act appreciative towards customers. I started shopping there after a friend's dog died and they refunded my friend for an already shipped bag of expensive dog food, told them to keep it and donate it, and then send a hand written sympathy card. Anyone here see Gamestop doing anything like that ever?

2 • 
Avatar image for YukoAsho
YukoAsho

2667

Forum Posts

0

Wiki Points

0

Followers

Reviews: 23

User Lists: 0

@faithxvoid: That's pretty much the main issue with GameStop. The problem isn't digital games. People probably get as many boxes shipped from Amazon as they do digital games, if not more. The problem is GameStop's aggressive up-selling and the lack of knowledge from the underpaid, overworked staff turns off dedicated gamers, while the casual market is more likely to go to Walmart, Target or BestBuy to just get their crap without the nonsense pawn shop tactics. This of course ignores the fact that pretty much everyone shops at Amazon.

Given BestBuy is pretty good about niche games, there's less and less reason to put up with GameStop's poor business choices.

Upvote • 
Avatar image for anterys
anterys

27

Forum Posts

0

Wiki Points

0

Followers

Reviews: 2

User Lists: 0

Edited By anterys

SHOOOOOORT!

Upvote • 
Avatar image for Barighm
Barighm

14749

Forum Posts

0

Wiki Points

0

Followers

Reviews: 27

User Lists: 0

Edited By Barighm

People must be convinced GameStop is on the verge of modernizing its admittingly powerful market presence.

Upvote • 
Avatar image for YukoAsho
YukoAsho

2667

Forum Posts

0

Wiki Points

0

Followers

Reviews: 23

User Lists: 0

@Barighm: That's the thing. I'm not sure how you go about modernizing a mall-based chain. They need to get rid of all the excess stores they got when they bought out Babbage's and EBGames (Turns out THAT was a massive mistake), cut down on the aggressive up-selling and get more knowledgeable staff... Hell, just more staff. It's no secret that there's too few people, they're too overworked and underpaid. That affects service, which is the biggest problem with GameStop.

2 •