What is the reason for the skyrocketing stock price of the game station?

The war between American retail investors and short-selling institutions led to the skyrocketing of American game stations, which shocked the global financial industry. This play is called "David against Goliath" by some media.

This unprecedented tug-of-war in the stock market is between Reddit users in American forums and Wall Street bears. 65438+1On October 27th, the market of game stations rose by over 120%. After the U.S. stock market opened, the game station continued to soar, even once blown; It closed up 65,438+034% to $347,338+0. Since 65438+ 10/2, the game station has gained nearly 16 times, and its market value has increased from 2 billion dollars to 24 billion dollars in a few days.

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The game station once rose 40% before the market.

165438+ on October 28th, with the crazy embrace of American retail investors, the game station rose more than 40% before the market. Melvin Capital, who had to ask for help because he lost 30% in shorting the game station, closed the short position of the game station. ?

GAMESTOP is a 37-year-old American retailer of game products, which mainly focuses on offline retail. Affected by online games, game stations have suffered losses in recent years. Affected by the COVID-19 epidemic, net sales in the third quarter of 2020 decreased by 30% year-on-year. Game Station will become one of the most short-selling stocks on Wall Street in 2020.

Interface News —— Behind the skyrocketing share price of game stations: the epic struggle between Wall Street retail investors and short-selling institutions.