The once-popular video game store GameStop had been struggling long before the pandemic, but has seen an incredible surge as of late, and it has Reddit to thank.
A group of people on the page "WallStreetBets" formed a coalition to buy GameStop stock, effectively saving the store from its demise. When trading ended Monday, GameStop was priced at $76.79, which is four times its price to end 2020 and 23 times its price from the early days of the pandemic!
Apparently, tons of investors tried to "short" the stock, meaning that they would make money if the stock failed. Well, a group of users on Reddit didn't want GameStop to fail, so they've been buying the stock in bunches which has saved it, and SURGED its price!
As to whether or not this surge will hold remains unknown, but unlikely. Most video games are bought digitally now, with the need to go into a brick and mortar becoming unnecessary.
But for now, enjoy the ride, GameStop!
Via Slate