GameStop Corp (NYSE:GME) shares are trading higher Monday afternoon, extending a rally that has seen the stock gain over 10% in the past five days.
GME is building positive momentum. Get the inside scoop here.
Investor enthusiasm continues to build following the video game retailer’s stellar second-quarter earnings report and the announcement of a special dividend.
What To Know: Last week, GameStop reported impressive second-quarter results, posting earnings of 25 cents per share on revenue of $972.2 million. These figures surpassed Wall Street’s consensus estimates of 16 cents per share and $823.24 million in revenue, signaling positive momentum in the company’s turnaround efforts.
Adding to the bullish sentiment, GameStop declared a special dividend of tradable warrants. Shareholders of record as of Oct. 3 will receive one warrant for every 10 shares owned. Each warrant allows the holder to purchase one share of GME at an exercise price of $32. The company anticipates the move could raise up to $1.9 billion in gross proceeds.
Benzinga Edge Rankings: According to Benzinga Edge stock rankings, GameStop boasts a near-perfect Growth score of 99.75, underscoring its recent operational performance.
GME Price Action: According to data from Benzinga Pro, GME shares closed higher by 2.35% to $25.53 on Monday. The stock has a 52-week high of $35.81 and a 52-week low of $19.42.
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How To Buy GME Stock
By now, you're likely curious about how to participate in the market for GameStop — be it to purchase shares or even attempt to bet against the company.
Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy “fractional shares,” which allows you to own portions of stock without buying an entire share.
In the case of GameStop, which was trading at $25.61 at some point on Monday, $100 would buy you 3.9 shares of stock.
If you're looking to bet against a company, the process is more complex. You'll need access to an options trading platform or a broker who will allow you to “go short” a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource. Otherwise, if your broker allows you to trade options, you can either buy a put option or sell a call option at a strike price above where shares are currently trading — either way, it allows you to profit from the share price decline.
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