BlockNews
FOLLOW ON X
  • CRYPTO
  • FINANCE
  • POLITICS
  • MEMECOINS
  • NFT
  • TECHNOLOGY
  • OPINION
No Result
View All Result
BlockNews
  • CRYPTO
  • FINANCE
  • POLITICS
  • MEMECOINS
  • NFT
  • TECHNOLOGY
  • OPINION
No Result
View All Result
BlockNews
Home FINANCE

GameStop GME Dumped in Stock Price and Here is Why

by Sham
May 17, 2024
in FINANCE
Reading Time: 3 mins read
A A
2
SHARES
28
VIEWS
Share on XShare in TelegramShare on Reddit

• GameStop plans to sell up to 45 million additional shares of its common stock
• GameStop reported preliminary first-quarter results showing a decline in sales compared to the same period last year
• GameStop shares fell sharply, dropping around 20% after the announcement to sell more shares and the disappointing sales figures

GameStop recently reported a decline in preliminary first quarter sales and plans to sell additional shares, sending its stock price tumbling. The video game retailer has faced growing competition from online sellers.

ICYMI: GameStop $GME is planning on selling 45 million shares of stock

— BlockNews.com (@blocknewsdotcom) May 17, 2024

First Quarter Sales Drop

GameStop said its preliminary net sales for the first quarter of 2024 are expected to be between $872 million and $892 million, down from $1.24 billion in the same period last year. The company’s net loss is projected at $27 million to $37 million, compared to a $505 million loss a year earlier.

Additional Share Sale Planned

GameStop announced plans to sell up to 45 million common shares through an at-the-market offering. The company has struggled with declining sales at its brick-and-mortar stores. GameStop is aiming to cut costs through layoffs and closing underperforming locations.

Share Price Falls Sharply

After briefly surging earlier this week, likely fueled by social media posts, GameStop’s share price tumbled 25% on Friday following the company’s announcements. The meme stock rally quickly faded, with the stock erasing most of its gains from earlier in the week.

Analysts Skeptical on Profitability

Analysts remain doubtful about GameStop’s ability to return to profitability given the competitive pressures it faces. Wedbush analyst Michael Pachter said the company is “not in a position to be profitable” and expects GameStop to continue losing money absent a clear plan to grow revenue and profits.

Conclusion

GameStop faces a difficult path ahead as the video game industry shifts online, putting pressure on the company’s core retail business. GameStop is attempting to cut costs but analysts are skeptical profitability can be restored without sales growth.

Tags: GameStopGMEMichael PachterStock PriceWedbush
Tweet1ShareShare
Previous Post

Over 80% of New Cryptocurrencies on Binance Decline in Value and Here is Why

Next Post

$2.1 Billion in Bitcoin and Ethereum Options Expire Today, But What Does This Mean?

DON'T MISS THESE! HOT OFF THE PRESS

Toncoin and Telegram: The Sleeping Giant of 2025?
BITCOIN

Toncoin and Telegram: The Sleeping Giant of 2025?

July 1, 2025
Crypto Supply Shock: Bitwise Predicts Bullish Runs for BTC, But Shows Doubt With ETH and SOL
BITCOIN

Crypto Supply Shock: Bitwise Predicts Bullish Runs for BTC, But Shows Doubt With ETH and SOL

July 1, 2025
SEC Plans Shortcut for Crypto ETFs With New Listing Rules
CRYPTO

SEC Plans Shortcut for Crypto ETFs With New Listing Rules

July 1, 2025
Donald Trump Threatens Elon Musk with DOGE Audit
FINANCE

Donald Trump Threatens Elon Musk with DOGE Audit

July 1, 2025
Jerome Powell Says July May be Too Early for Rate Cuts, But Doesn’t Rule it Out
FINANCE

Jerome Powell Says July May be Too Early for Rate Cuts, But Doesn’t Rule it Out

July 1, 2025
Deutsche Bank Eyes 2026 Launch for Bitcoin and Ethereum Custody
FINANCE

Deutsche Bank Eyes 2026 Launch for Bitcoin and Ethereum Custody

July 1, 2025
Load More

Related News

Toncoin and Telegram: The Sleeping Giant of 2025?

Toncoin and Telegram: The Sleeping Giant of 2025?

July 1, 2025
Crypto Supply Shock: Bitwise Predicts Bullish Runs for BTC, But Shows Doubt With ETH and SOL

Crypto Supply Shock: Bitwise Predicts Bullish Runs for BTC, But Shows Doubt With ETH and SOL

July 1, 2025
SEC Plans Shortcut for Crypto ETFs With New Listing Rules

SEC Plans Shortcut for Crypto ETFs With New Listing Rules

July 1, 2025
Donald Trump Threatens Elon Musk with DOGE Audit

Donald Trump Threatens Elon Musk with DOGE Audit

July 1, 2025
Jerome Powell Says July May be Too Early for Rate Cuts, But Doesn’t Rule it Out

Jerome Powell Says July May be Too Early for Rate Cuts, But Doesn’t Rule it Out

July 1, 2025
Twitter Telegram Threads

BLOCKNEWS.COM

BlockNews

BlockNews.com is your premier source for real-time cryptocurrency, blockchain, and financial market news.

Our mission is to deliver accurate, timely, and insightful information to help both seasoned investors and newcomers navigate the evolving digital economy.

With in-depth analysis, exclusive insights, and up-to-date news, BlockNews.com keeps you informed on the latest trends in crypto, DeFi, NFTs, tech, and beyond.

Stay ahead of the herd with BlockNews.com

RESOURCES

  • About
  • Contact Us
  • Terms and Conditions
  • Privacy Policy

POPULAR TOPICS

$ADA $XRP AI Avalanche Binance Bitcoin Bitcoin ETF blackrock Blockchain BTC Business Cardano Chainlink China Coinbase Coinglass crypto cryptocurrency Crypto Exchange Crypto Regulation DeFi Dogecoin Donald Trump Elon Musk ETF eth ethereum Federal Reserve FTX grayscale Memecoin metaverse Microstrategy NFT NFTs PEPE ripple sec Shiba Inu Solana Stablecoin Technology US Web3 xrp

GET QUICKER UPDATES ON X

© 2022-2025 BlockNews.com - Crypto and NFT news website by Aiur Labs.

No Result
View All Result
  • HOME
  • CRYPTO
  • MEMECOINS
  • TECHNOLOGY
  • POLITICS
  • FINANCE
  • NFT
  • DEFI
  • GUIDES

© 2022-2025 BlockNews.com - Crypto and NFT news website by Aiur Labs.