Video game retailer GameStop is likely on its last legs, with many expecting it to go out of business within the next decade or so. After all, the majority of video game purchases are digital now, and GameStop has been losing money each year. However, some stock traders on Reddit have decided to rally behind GameStop (GME on the market), inflating its price and making it soar, with it now sitting at a jaw-dropping $338.70 per share at the time of this writing.
The GameStop stock price situation has caused quite the stir in the financial community, with some decrying it and others taking advantage to make significant sums of money. It seems as though the GameStop stock price situation has gotten so out of hand that it has now drawn the attention of President Joe Biden and his administration, who are actively "monitoring" it as it unfolds.
What exactly this means for the GameStop stock price jump and the people who caused it is unclear at this time. However, it doesn't seem as though the Reddit traders will be stopping their crusade anytime soon. While GameStop's stock price continues to rise, the community has turned its attention to other stocks as well.
It seems Reddit traders have turned their attention to AMC's stock. AMC stock has plummeted in recent years due to a variety of factors, most notably the ongoing COVID-19 pandemic, which has effectively put an end to the moviegoing experience as we know it for nearly a year at this point. However, it seems as though AMC stock is on the rise due to the collective efforts of Reddit investors.
It's unclear exactly how this will all play out moving forward, but it does seem as though certain individuals are making a lot of money from the situation. In fact, one Reddit investor claims to have made a staggering $11 million from the GameStop stock price surge. All told, billions of dollars have been made by those investing in GameStop, in turn making the company's board of directors even richer as well.
Unfortunately for GameStop, though, this situation is unlikely to see the company make any significant turn around in the long run. While its partnership with Microsoft and the recent launch of next-generation consoles like the PlayStation 5 and Xbox Series X have helped it hang on longer than many expected, an increasingly digital video game marketplace means that the retail store's days are likely numbered.