REUTERS: Shares of GameStop jumped for the fifth day running on Tuesday, as news on the video retailer's e-commerce strategy and speculation that small investors will pour stimulus checks into markets showed signs of reheating January's"meme" stocks boom.
GameStop shares were up 15.1per cent to US$223.70 premarket, a day after the company tasked Chewy co-founder Ryan Cohen - a major GameStop shareholder and board member - with spearheading the company's online sales efforts.The latest rally follows wild gyrations in the share price since January, when it was at the heart of a social media-driven surge in a number of stocks that squeezed some hedge fund investors.
Shares in the company are still far below January peaks of more than US$480 a share but the recovery may reduce losses for more of the investors who lost money on the stock's subsequent collapse. In Frankfurt, GameStop was trading about 24per cent higher and were the second-most traded stock on trading platform Lang & Swartz after Siemens AG.
As of its last close, investors in GameStop's U.S.-listed stock have seen the value of their holdings surge more than 10 times compared to the start of the year.