GameStop To The Moon (200-Day Mark) On Earnings?

GameStop Corp. (GME) rose more than 13 percent on Tuesday, November 28, 2023. Investors are jumping in front of the one-time meme darling in advance of earnings. Speculators hope the new Chief Executive Officer (CEO) Ryan Cohen will lay out his game plan during the upcoming conference call. (1)

Meanwhile, analysts believe the company will improve its bottom line, although still lose money. The consensus earnings per share (EPS) estimate is a loss of 8 cents versus a loss of 31 cents for the same quarter last year. Sales are forecasted to be flat year over year at $1.18 billion. (2)(3)

Despite the major Tuesday spike, GME shares remain within the boundaries of a declining trading channel. The topside has mirrored the 50-day moving average, which is going to be the key to GameStop breaking free from the technical resistance.

If Cohen can make the winning moves after the market closes on Wednesday, December 6, 2023, and the stock shoots beyond the 50-day mark, it could eventually be off to the 200-day moving average of $19.39. If the new CEO misses the mark, shares could retreat to the bottom of the current channel and continue their downward trend.

GameStop

Trading earnings is highly risky and only for the most aggressive investors who can afford to lose money in short timeframes.

Rich Meyers

 

1 – https://finance.yahoo.com/news/market-today-boeing-soars-upgraded-210627642.html

2 – https://finance.yahoo.com/quote/GME/analysis?p=GME

3 – https://finance.yahoo.com/quote/GME/financials?p=GME