GameStop stocks are increasing again and are seeing a bounce back on the market, particularly on Reddit's r/WallStreetBets and other investing platforms after the CFO handed out his resignation earlier this week. Jim Bell's resignation as the Executive Vice President and Chief Financial Officer (CFO) has brought massive changes and tremors to the company.
However, do not get this wrong, as the tremors that have occurred in the company are mostly positive and the farewell of the CFO has resulted in better performance of GameStop in the stock market. Recent reports have confirmed that GameStop's bounce back shows an adequate performance since the CFO's departure no more than two days ago.
At the start of the year, GameStop stocks have reached almost $400, seeing a 1,915 percent increase in stocks which is a record-high of the company, and have surpassed their previous billion-dollar records. However, as February approached, the company's stocks took a downhill ride to $45 per share, which was considered to be one of its poor performances.
GameStop CFO Resignation's Influence on Stocks
According to CNet, the former CFO Jim Bell was directly influencing the company's stocks and stock market prices as its poor performance has been blamed on him, particularly the recent share price drop. As the company's CFO, he is concerned with regulating prices, shares, and other performances of the company in terms of monetary properties.
However, Business Insider reports that behind the press release of Bell's resignation from the company, the actual story is that Bell was pushed off and stripped of his position in GameStop due to poor performance. Moreover, Bell has not seen eye-to-eye with the board and GameStop's massive investor, Ryan Cohen of Chewy.
Currently, GameStop is searching for a viable replacement to fill in the shoes and position that was left by Jim Bell's abrupt farewell and kick-off from the company. Moreover, the recent resignation has caused the company a surge in shares, as news of it brought a massive jump on the share price to have a high $200 per share.
GameStop Stocks Are Back to Regular Share Price
After a seesaw on the company's share prices in its recent performance on the stock market, GameStop's stocks have now settled to $148 which is continuously moving and is expected to continue its rise. The stock frenzy of GameStop has been one of 2021's largest stories as it woke up the gaming retailer giant's surge in the stock market.
GameStop is now looking into the shift to online retail and shop, as opposed to its original setup of physical retail stores that have been prominent across the country since its establishment. The new direction of GameStop is highly influenced by the pandemic and its new investors, who envision the company to succeed online.
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Written by Isaiah Alonzo