GameStop jumps after announcing 4-for-1 stock split
GameStop will join Amazon and Google in splitting its stock this year
• GameStop will join Amazon and Google in splitting its stock this year
GameStop Corp (NYSE: GME) jumped more than 11% on Thursday after the video game retailer announced a four-for-one stock split in an attempt to revive the interest among retail investors that has waned amid a market selloff.
The stock split announcement comes at a time when the shares of the company have slumped 20% this year.
Shares of GameStop rose more than 11.5% to $131 in the early morning in New York.
The video game retailer first announced board approval for the share split in March.
Shares of companies often jump after a stock-split announcement as it lowers the per-share price, boosting liquidity and making it more accessible for retail investors.
Along with AMC Entertainment Holdings Inc (NYSE: AMC), GameStop was at the center of the meme-stock trading phenomenon in 2021, when retail investors pumped up the share price of the video game retailer to punish hedge funds that had bet against the stocks.
GameStop will join Amazon.com Inc (NASDAQ: AMZN) and Google-parent Alphabet Inc (NASDAQ: GOOGL) in splitting its stock this year.
Picture Credit: LA Times
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