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$206.43 -2.9  -1.4%

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Sector
Consumer Cyclicals
Size
Large Cap
Market Cap £73.94bn
Enterprise Value £76.88bn
Revenue £66.20bn
Position in Universe 123rd / 6846

GameStop leads meme stocks higher with Koss, AMC surging too

Thu 25th March, 2021 9:03pm
(New throughout, updates prices, market activity and comments)
    By Sinéad Carew
    March 25 (Reuters) - GameStop  GME.N  and other so-called
meme stocks surged on Thursday, as investors piled into the
shares after a tumble in the previous session.
    Shares in video-game retailer GameStop closed up 52.7% at
$183.75 with brisk trading volume after rising as high as
$187.50 late in the session. 
    The company's shares remained down 8.2% for the week so far
following losses after a lackluster earnings report late Tuesday
during which the company disclosed it was evaluating the
possibility of a share sale.  urn:newsml:reuters.com:*:nL4N2LM2SD  They are up 875%
year-to-date, though still far from their record high of $483
reached in late January.
    The company has benefited from a push by retail investors,
often on online forums such as Reddit's popular WallStreetBets,
to drive up prices of stocks they believe undervalued.
    Investors have also been eyeing efforts by billionaire
investor and Chewy Inc  CHWY.N  co-founder Ryan Cohen, who is on
GameStop's board, to transform the retailer into an e-commerce
firm that can take on big-box store rivals such as Target Corp
 TGT.N  and Walmart Inc  WMT.N . 
    GameStop, which added three new directors including Cohen to
its board in January as part of a settlement, said in its
quarterly filing https://news.gamestop.com/node/18661/html on
Tuesday it expects eight incumbent board members to retire at
its 2021 annual meeting in June. The company said it has not yet
determined who it would nominate to replace departing board
members.
    CFRA analyst Camilla Yanushevsky said some investors believe
the plan for a board overhaul is a promising sign for GameStop's
efforts to expand e-commerce. 
    "If Ryan Cohen can fill the board with his allies, people
think it can lead to a transformation in GameStop. That's what
the bull case is," she said. 
    Meanwhile shares in other meme stocks such as headphone
maker Koss Corp  KOSS.O  also surged. Koss shares closed up
57.1% at $25.80 with trading volume around 4.7 times the 10-day
moving average. The stock had fallen almost 22% on Wednesday. 
    Cinema operator AMC Entertainment Holdings Inc  AMC.N 
closed up 21.3% at $10.94 after falling 36% in the last four
sessions.

 (Reporting By Sinéad Carew; Editing by Alden Bentley and David
Gregorio)
 ((sinead.carew@thomsonreuters.com; +1 (646) 223 6186; Reuters
Messaging: sinead.carew.thomsonreuters.com@reuters.net))
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