GameStop and AMC are the talk of the town following an over 50% surge in both since close this Thursday. Cheddar News reached out to Jake Wujastyk, TrendSpider’s Chief Marketing Analyst, for his thoughts.
AMC, GameStop; those shares surged 50% and 35% this month, respectfully. What is the latest with this situation?
The technical setups were there on both names. The market is also back to “risk-on” as bond prices attempt to bottom and rates attempt to drop. Growth names are also moving up strongly as a part of this.
Are these the same retail investors that were likely spending money on crypto, but now they are going back to express AMC and GameStop?
I think so, if you look at the market cap on AMC and GameStop. GameStop continues to try and change its business model to accommodate the new age of business with eCommerce and its recent NFT website. If Dogecoin can hit an $80 billion market cap anything is possible. AMC has a market cap of less than $10 billion and GameStop has a market cap of less than $20 billion.