By: Dylan Gilbert
The year 2020 will be written about in history books and so far, it would appear 2021 will be picking up where last year ended. We are only 2 months in and yet a plethora of headline news has become the norm. But none more jarring than that of the sudden spike in a handful of seemingly undesirable stocks.
The stock most will recall being the catalyst for all the marketplace commotion would be GameStop. As most stocks took a significant hit due to the COVID-19 pandemic, GameStop went unnoticed, as it already hovered at about 3 or 4 dollars a share. On January 20, 2021, GameStop’s price went to $39 a share (the highest it had been in the past 5 years). One full week later, GameStop would skyrocket to $347 a share.
The company went from gasping for air to a company with a higher stock price than companies such as Facebook, Twitter, Apple, and even Disney! It seemed like everyone was talking about it. I even opened a Robinhood account to try and get in on the GameStop action.
This all didn’t come without some controversy, as Robinhood took some heat for limiting the number of people and amount of shares people could buy in companies such as GameStop and AMC. This is just one of the many issues Robinhood is now facing in the wake of these recent events.
Things were looking good until February 2, 2021, when GameStop’s stock price dropped to $90 a share. Since then, stock prices have continued to slowly drop down to about $50 a share. While these are still great numbers for GameStop, it appears to only be a matter of time until GameStop returns to its normal numbers.
I wish this was a case of everyone suddenly buying video games from GameStop, but unfortunately, that is not the case as you can now buy games straight from the console you play on, making shops like GameStop almost obsolete. Thus, the amazing story of GameStop stocks ended just as abruptly as it started.