Gamestop shares surged to 40% experiencing major economic shift
The Gamestop observed a surge of 40% shares after Chewy co-founder Ryan Cohen was declared as a leading pioneer of the world’s largest video game retailer on Monday.
Cohen is a major Gamestop shareholder aimed at targeting online sales in lieu of physical stores. Shares of GameStop have surged 970% so far in 2021, giving the company a market value of $14.2 billion.
Currently, Cohen is working as chairman of a special committee summoned with the motto of transformation. Board members Alan Attal, Chewy’s former top operations executive, and Kurt Wolf, a chief investment officer of Hestia Capital Management, also serve on the committee.
GameStop being a struggling company that managed to do well with the share hike is quite a surprise for many.
“If you thought the GameStop saga was over, think again,” said Russ Mould, an investment director at AJ Bell. “January’s Reddit-inspired trading frenzy might be about to return.”
The committee has already appointed a chief technology officer, hired two executives to lead customer services and e-commerce fulfillment, and begun a search for a new chief financial officer with tech or e-commerce experience.
