Latest news with #GME
Business Insider
2 days ago
- Business
- Business Insider
'Cleaned Up the Balance Sheet': GameStop Stock (NYSE:GME) Slips Despite Cramer Applause
It was once a meme stock to be reckoned with, but then…then life got in the way. But retailer GameStop (GME) carries on, despite the fact that its business model of selling used games is barely hanging on by a thread. Still, it is getting analyst attention, including from one of the biggest names around, Jim Cramer. That attention, though, did GameStop stock few favors. Shares slipped fractionally in Monday afternoon's trading. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Basically, Cramer noted what we just did: that GameStop is really not so much about selling and buying used games any more, but has largely pivoted to being a cryptocurrency company that also happens to sell some used games, at least for now. Cramer also had particular praise for the balance sheet, which had been '…clean(ed) up…' along with offering stock. The move, Cramer noted, was a modest improvement, though perhaps not much. Cramer noted '…GameStop…has now gone all crypto. While that's a lot better than being just a gaming retailer in secular decline, that's not saying much. So you'll see the gaming stuff, and then you'll see the crypto stuff, and the crypto stuff is what's going to drive this stock higher, probably.' The Staplegate Fix Also, remember when we discovered CEO Ryan Cohen 's plans to fix the 'Staplegate' issue—the one where several Nintendo (NTDOY) consoles were damaged by a company stapler—by auctioning off the stapler for charity? How Cohen offered a pair of his own underpants as well as a celebratory lunch for the winner if certain goals were met? An update on that reveals that it went better for GameStop than you might expect. The auction ultimately raised $250,000 for charity, and gave GameStop something of a leg up in the market. One source referred to the move as moving '…the narrative away from corporate incompetence and towards community benefit, showcasing a nimble and purpose-driven corporate culture.' And that might be the most welcome outcome of all for GameStop. Is GameStop a Buy, Sell or Hold? Turning to Wall Street, analysts have a Moderate Sell consensus rating on GME stock based on one Sell assigned in the past three months from Wedbush analyst Alicia Reese, as indicated by the graphic below. Reese has a five-star rating on TipRanks. After a 1.14% loss in its share price over the past year, the average GME price target of $13.50 per share implies 42.04% downside risk.
Yahoo
23-07-2025
- Business
- Yahoo
Krispy Kreme, GoPro both soar as the next darlings of this summer's meme stock resurgence
GoPro (GPRO) and Krispy Kreme (DNUT) early Wednesday appeared set to be the latest stars of a meme stock resurgence that has swept markets this summer. GoPro stock gained as much as 90% in premarket trading on Wednesday before paring gains to around 40% through the first half hour of the trading day, and Krispy Kreme stock rose as much as 70% before the open before pulling back to a 26% gain as normal market hours began. The sub-billion-dollar companies have become the latest names after Opendoor (OPEN) and Kohl's (KSS) starred earlier this week in a meme stock rally that has dominated the market conversation. Onetime hardware and media tech breakout GoPro saw its stock trade as high as $98.47 in the months after its mid-2014 IPO, but 10 years later, the stock has lost roughly 98% of its value. Shares closed on Monday at $1.37. GoPro's revenue has taken heavy hits over the past few quarters, down to $134.3 million in the first quarter of 2025, a roughly 13% decline from $155.5 million recorded in the same quarter last year. Revenue in its fourth quarter, traditionally a holiday shopping boon for the retailer, was down to $200.8 million in 2024 from $295.4 million in the year prior. Read more about today's market action. Doughnut maker Krispy Kreme hasn't faced the same precipitous drop-off in its share price, with the stock trading just above $5 after hitting an all-time high of $21.69 in the pandemic. Like GoPro, Krispy Kreme saw its Q1 revenue drop by 15% year over year to $375.2 million in 2025 from $442.7 million in Q1 2024. GoPro and Krispy Kreme are both set to report earnings in August. As retail investors reignite the frenzied small-cap trading patterns of the 2020 and 2021 GameStop (GME) rally, the share prices for both stocks are soaring. Still, GoPro and Krispy Kreme haven't quite hit the crazed levels of Opendoor and Kohl's, both of which saw shares more than double on Monday and Tuesday, respectively. While traders appear to be targeting heavily shorted companies in this latest bout of meme sock trading, GoPro doesn't quite appear to fit the bill, with a little less than 10% of its outstanding shares available to be sold short. This compares to short floats of around 28% for Krispy Kreme, 21% for Opendoor, and a whopping 49% for Kohl's. Shares of Opendoor and Kohl's were both down more than 10% in early trading on Wednesday. Jake Conley is a breaking news reporter covering US equities for Yahoo Finance. Follow him on X at @byjakeconley or email him at
Time of India
23-07-2025
- Business
- Time of India
Krispy Kreme joins meme-stock madness as shares skyrocket 13% — what's driving it?
Krispy Kreme stock (NASDAQ: DNUT) surged by over 13% intraday and more than 50% in just a week, joining a fresh wave of meme stock rallies sweeping across Wall Street. The stock's dramatic spike is being driven not by company fundamentals or major corporate news, but by renewed interest from retail investors, increased short-seller pressure, and the power of social media-fueled hype. This resurgence in meme stock behavior echoes past frenzies seen in names like GameStop (GME) and AMC Entertainment (AMC) — but this time, the sweet scent of Krispy Kreme donuts is at the center of the action. Explore courses from Top Institutes in Please select course: Select a Course Category Public Policy Artificial Intelligence Digital Marketing PGDM CXO Management Design Thinking Product Management Degree Operations Management MCA Leadership Finance Cybersecurity Data Science Healthcare Data Science others Data Analytics Project Management MBA Others Technology Skills you'll gain: Duration: 12 Months IIM Calcutta Executive Programme in Public Policy and Management Starts on undefined Get Details Why Is Krispy Kreme Stock (DNUT) Soaring? 1. High Short Interest Sparks a Classic Short Squeeze One of the biggest reasons behind Krispy Kreme's explosive rally is its exceptionally high short interest. As of mid-July 2025, nearly 28% to 32% of the company's free-floating shares are being shorted by institutional investors. That's far above average, placing Krispy Kreme among the top shorted stocks in the market. When retail investors began aggressively buying DNUT shares, it created a short squeeze scenario — forcing short sellers to buy back shares quickly to cover their positions, which in turn pushes the price even higher. This compounding buying activity has significantly inflated the stock's value over the past few days. 2. Retail Investor Frenzy and Social Media Buzz Krispy Kreme has become a new favorite among retail traders, especially those on platforms like Reddit's WallStreetBets, StockTwits, and X (formerly Twitter). Thousands of messages flooded forums within hours, with users posting bullish memes, stock predictions, and calls for 'holding strong' as prices surged. Live Events According to Stocktwits sentiment tracking: Bullish mentions jumped by over 3,500% . Trading volume spiked dramatically. Trending hashtags like #DNUTsqueeze and #KrispyMoon went viral. This social media amplification is a powerful part of the meme-stock engine, encouraging more traders to jump in based on momentum rather than fundamentals. 3. Meme Stock Mania Returns to Wall Street Krispy Kreme isn't alone in this meme stock resurgence. Other heavily shorted names like GoPro (GPRO), Kohl's (KSS), Beyond Meat (BYND), and 1‑800‑Flowers (FLWS) have also seen double-digit gains this week. Market analysts attribute this wave to a mix of: Tech and crypto stock rallies boosting investor optimism. A general "risk-on" environment among retail traders. Growing interest in AI-fueled stock prediction platforms amplifying meme stock patterns. Investors looking for quick wins are chasing momentum, hunting for short squeeze setups — and Krispy Kreme fits the bill perfectly. What About Krispy Kreme's Fundamentals? Despite the stock's meteoric rise, Krispy Kreme's financial health isn't exactly sweet. Here's a look at the company's underlying performance: Financial Metric Status / Trend Revenue Growth Down ~15% year-over-year Profitability Weak margins and limited profit momentum Dividend Status Quarterly dividend payments paused amid cash flow concerns Debt Load Carries over $170 million in debt, straining financial flexibility Altman Z-Score Extremely low (~0.5), signaling potential financial risk Recent Loss Lost key distribution deal with McDonald's, cutting growth potential While the meme rally has brought media and investor attention, the company lacks strong earnings or expansion stories to support long-term bullishness. In other words — this rally is driven by sentiment, not substance. Analyst & Expert Reactions Market experts have issued cautionary signals over Krispy Kreme's sharp rise: Morgan Stanley : Warns DNUT's rally is 'detached from fundamentals' and 'primed for reversal.' Reuters : Notes Krispy Kreme is one of the most-shorted stocks currently attracting meme stock traders. Investopedia : Labels DNUT's rise as a classic retail-fueled pump, advising investors to brace for volatility. Lessons From Past Meme Stocks Retail investors who've followed GameStop, AMC, or Bed Bath & Beyond will remember how quickly meme stocks can collapse after peaking. These rallies are often short-lived and extremely volatile, and traders without clear exit strategies risk being left holding the bag. Some key takeaways: Short squeezes don't last forever — once shorts are covered, buying dries up. Volume-driven rallies may not have lasting power. Retail sentiment can change overnight, especially when social media chatter fades. Should You Buy Krispy Kreme Stock Now? Investors considering jumping in should weigh the risk vs. reward carefully. Pros: Momentum is strong. Could gain further if short covering continues. Public buzz may keep volume high in the short term. Cons: Valuation not supported by earnings or business fundamentals. Rally driven by hype, not news. Volatility makes timing exits difficult. No clear growth catalysts after McDonald's deal ended. For long-term investors, it may be best to wait for the stock to stabilize or pull back. For short-term traders, this may be an opportunity — but with significant risk. Krispy Kreme Stock Forecast: What's Next? It's hard to predict how long the rally will last, but here are a few things to watch: Volume & Sentiment Trends : If social media interest and trading volumes remain high, the rally could continue. Short Interest Changes : A drop in short interest may signal the squeeze is ending. Insider Activity : Watch for insider selling — if executives dump shares, it's a red flag. Earnings Announcements : Any surprise upside in future quarterly earnings could provide legitimate growth. But as of now, DNUT's surge is speculative , fueled by momentum rather than earnings. Sweet Stock or Sugary Trap? Krispy Kreme's 13% surge is a classic tale of meme stock madness — a mix of short squeezes, retail enthusiasm, and internet hype. While the ride may be thrilling for some, it's built on shaky ground. For those considering entering the stock now: Do your research. Understand it's not based on company growth. Use proper risk management and define your exit strategy. Meme stocks are exciting — but they can burn just as fast as they rise. Related Topics and Trending Stocks: GoPro (GPRO) joins the meme rally Kohl's (KSS) surges amid short squeeze Beyond Meat (BYND) rebounds from 2024 lows Retail trading apps see record volume AI-driven meme stock screeners trending FAQs: Q1: Why is Krispy Kreme stock surging in the meme rally? Because retail traders are targeting it due to high short interest and social media buzz. Q2: Is Krispy Kreme's stock rise based on strong earnings? No, the rise is mostly driven by hype, not company fundamentals.
Globe and Mail
22-07-2025
- Business
- Globe and Mail
GameStop Recovery Hinges on US Strength as Global Woes Continue
GameStop Corp. GME delivered mixed regional results in the first quarter of fiscal 2025, as strength in the United States was overshadowed by continued weakness in international markets. Total net sales fell 16.9% year over year to $732.4 million from $881.8 million, reflecting the company's ongoing restructuring efforts and challenges abroad. The U.S. business remained the company's cornerstone, posting net sales of $537.5 million, down 12.9% from the prior year. Despite lower sales, cost reductions and improved efficiency drove a turnaround to $33.6 million in operating income from a $25.3-million loss a year earlier. This marked improvement highlights the domestic market's importance, with the United States now accounting for 73.4% of total sales. International operations, however, continued to drag the overall performance. In Canada, net sales declined 10.3% year over year to $38.2 million, and the operating loss deepened to $22.2 million due to $18.3 million in impairment charges tied to the company's exit from the market, which was completed after the quarter ended. Europe faced even greater pressure, with sales plunging 47.4% to $74.8 million and losses widening to $16.8 million, weighed down by $17.2 million in impairment costs and falling demand. Australia showed modest improvement, as sales rose 2.9% to $81.9 million while operating losses narrowed slightly to $5.4 million. These results underscore the urgent need for GameStop to focus on profitable markets and exit or restructure underperforming ones. The U.S. turnaround offers a foundation, but remaining international losses highlight the importance of decisive action to sustain its recovery and adapt to changing market dynamics. GME's Price Performance, Valuation & Estimates Shares of GameStop have lost 10.8% in the past three months against the industry 's growth of 30.7%. GME has underperformed its competitors, including Best Buy Co., Inc. BBY and Microsoft Corporation MSFT. Shares of Best Buy have declined 4.3%, while Microsoft shares have risen 36.2% over the same period. From a valuation standpoint, GME trades at a forward price-to-sales ratio of 3.30X, slightly below the industry's average of 3.74X. It has a Value Score of D. GameStop is trading at a premium to Best Buy (with a forward 12-month P/S ratio of 0.34X) and at a discount to Microsoft (11.99X). The Zacks Consensus Estimate for GameStop's fiscal 2025 earnings implies a year-over-year upsurge of 127.3% and the same for fiscal 2026 indicates a decline of 52%. Estimates for fiscal 2025 and 2026 have been upbound 28 cents and southbound 11 cents, respectively, in the past 60 days. GME currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Zacks' Research Chief Names "Stock Most Likely to Double" Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest. This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%. Free: See Our Top Stock And 4 Runners Up Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Microsoft Corporation (MSFT): Free Stock Analysis Report Best Buy Co., Inc. (BBY): Free Stock Analysis Report GameStop Corp. (GME): Free Stock Analysis Report
Business Insider
22-07-2025
- Business
- Business Insider
Bullish flow in GameStop with shares up 4.1%
Bullish flow in GameStop (GME), with shares up 96c, or 4.1%, near $24.23. Options volume more than double the daily average with 452k contracts traded and calls leading puts for a put/call ratio of 0.1, compared to a typical level near 0.25. Implied volatility (IV30) is higher by 6.8 points near 52.23,in the lowest 10% of observations over the past year, suggesting an expected daily move of $0.80. Put-call skew flattened, suggesting a modestly bullish tone. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week.
