GameStop Is Back in the Game

  • In their prime, GameStop stocks hit a record high of $ 428 on January 28.
  • The GameStop corporation is one of the largest video game companies in the world.
  • Many people are making their money in this industry.

GameStop is back in the game. This Friday, its shares soared 19% after the Robinhood platform lifted restrictions on its marketing. After climbing about 80%, the company cut earnings and its stock closed at a price of $ 63.77, according to data from

GameStop Corp. is an American video game, consumer electronics, and gaming merchandise retailer. The company is headquartered in Grapevine, Texas, United States, and is the world’s largest video game.

AMC shares also rose, for a moment, during the day, as it was another of the companies that Robinhood imposed restrictions.

The US theater chain gained as much as 17% in trading on Wall Street, but ended up 3.7% lower at $6.83. Robinhood informed investors that it removed the restrictions it imposed since last week, in an update on its page on Friday.

Initially, the platform limited the number of purchases of GameStop shares to 20 and AMC to 350, but as the days went by, the number of titles allowed to be sold increased.

Both GameStop and AMC started a rally last week after individual investors were organized in the WallStreetBets forum Reddit to make a massive purchase of its shares and pressuring investors short or short-sellers.

This caused a phenomenon known as short-squeeze  which occurs when the price rises more than expected by the market, forcing short-sellers to hedge their positions. Hedge funds with positions on companies have lost billions of dollars.

In their prime, GameStop stocks hit a record high of $428 on January 28, while AMC stocks climbed to an intraday high of $20.36 the day before.

On Friday, American share markets were rocked again by a small group of online retail investors, led by reddish-brown investors from the GameStop company, working through Reddit and other social media channels to drive GameStop business stocks up to a ridiculous 17 percent over its original market value in a matter of days.

The GameStop corporation is one of the largest video game companies in the world. Many people are making their money in this industry.

Retail investors stocks shares do not trade on major exchanges. Instead, they are purchased from a company called GameStop, which is an internet-based company that owns and operates retail stores across the country.

GameStop shares are traded on the Over-the-Counter Bulletin Board or OTCBB. Retail investors stocks are not traded on major exchanges like Nasdaq and NYSE.

Robinhood Markets, Inc. is an American financial services company headquartered in Menlo Park, California, known for offering commission-free trades of stocks and exchange-traded funds via a mobile app introduced in March 2015.

One of the ways that retail investors can manipulate the stock market is by influencing its price. They can buy large amounts of shares of a stock in hopes that the price will go up. If they are successful, retail investors may then sell all of their GameStop shares for one pre-determined price.

It turns out that the retail investors did not really have a chance to profit from the initial move because the price of GameStop stock went down on the OTC.

Retail investors can also take advantage of “hedge funds” or “private equity” groups who have been known to purchase companies at fire Sale prices.

They use this technique on a daily basis to make a lot of money from little investment. This is also a favored method of selling shares among GameStop shareholders.

Many people believe that hedge funds and private equity groups don’t actually make money. But today, GameStop’s stock prices are on an upward trend. Many retail investors who purchase GameStop shares are likely using this technique to increase their net worth. It can also be used by other stocks sold on the OTC.

Doris Mkwaya

I am a journalist, with more than 12 years of experience as a reporter, author, editor, and journalism lecturer." I've worked as a reporter, editor and journalism lecturer, and am very enthusiastic about bringing what I've learned to this site.  

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