GameStop Stock Price Skyrockets, Comes Back Down

GameStop (NYSE: GME) had a rampant rollercoaster of trades on the New York Stock Exchange throughout Monday. In a single day of trading, the stock price jumped from $96 USD to $144 in the early morning, crashed back down to $61 USD in the afternoon, and stabilized at $77 USD near the end of normal trading and into after-hours. In total, the stock gained 18% in value for Friday's close.

The volatile price change came from nearly 175 million trade volume, a staggering increase from GameStop’s typical average of 19 million. The spike in value is great news for long-term investors and call option holders. Short sellers and put holders who bet against GameStop may be in hot water for now.

GameStop has been a risky gamble for some time. It was added to the S&P 500 back in 2007, but later dropped in 2016 for its low market cap. The new positive outlook came after the announcement of new board members Ryan Cohen and Alan Attal. Their previous success at the pet company Chewy has brought along additional investor confidence and speculation.