I doubt GameStop $GameStop(GME)$ will ever recover it's losses. Clearly the brick and mortar videogame shop business is a declining one because gamers now have so much choices online.
GameStop sells consoles, accessories and video games, and also has deals with used video games. As gamers these days have options to buy from online game stores from Sony, Microsoft Xbox and Nintendo, this will just eat away at GameStop's core business. Indeed gamers might still consider buying physical copies of games and then later sell it back to recover part of the cost when they complete the game, but the convenience of buying the digital copy online is ever present.
Looking at the income statements show that revenue has been declining since 2016, while net income has been a loss since 2019.
This is a company that you do not want to put your money in, as you can totally lose your entire investment. Cheap can become cheaper, until it becomes zero!
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this is simply wrong information. GME actually bounced off the key support ascending line to the penny and it closed above the descending resistance line.
imagine someone bought this stock at top price riding the height of meme stock in 2021?
“We remain convinced that GameStop is doomed, with declining physical software sales and a shift of sales to subscription services and digital downloads sealing its fate. While we think that the chain might have some value if run in order to harvest profits, we dont see a turnaround on the horizon without capable management.”
if that trend continues this stock will be back at 25 before in short time. it bounced off the 15.50 the 18 and now the 20.
Those are overvalued. GME is undervalued based on fundamentals alone, not to mention the inevitable short squeeze.
A stock falling below those moving averages is viewed as a negative indicator.