GameStop: Don’t Fall Into The FOMO Trap


  • GameStop experienced an upward surge in the share price lately, fueled by speculation about another short squeeze.
  • GameStop’s shares remain highly shorted. However, the real problem is the company’s weak underlying business performance.
  • The retailer’s revenue and net income are declining.
  • GameStop’s valuation is indefensible at 3.0X revenues. FOMO-driven buying exposes investors to significant correction risks.

Fear of Missing out FOMO


GameStop (NYSE:GME) has taken investors on a wild ride since May, as new speculation about a new short squeeze (and FOMO) caused shares to soar to a new 1-year high of $64.83. Hopes for a short squeeze were driven by Keith Gill, also

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