GameStop (GME) is a top stock pick with strong partnerships and potential for breakout

From Nasdaq: 2024-12-25 04:00:00

GameStop (GME) is a Zacks Rank #1 stock, dominating the video game retail industry with over 4,000 locations worldwide. The company faces challenges due to industry digitization but has an online presence. The “meme stock” craze, sparked by Reddit group “WallStreetBets,” catapulted GME shares by over 6,000%.

GME’s multiple short squeezes have led to a massive cash hoard of over $4 billion. This cash reserve gives GameStop flexibility for strategic investments, acquisitions, or special dividends. The recent price action indicates a potential breakout, with 8% of shares still short, setting the stage for another short squeeze.

GameStop’s strategic partnership with Microsoft leverages the tech giant’s Cloud to enhance digital solutions for customers. The deal aims to create a seamless gaming ecosystem for players, improve back-end solutions, and expand community connections. With strong technical charts and partnerships, GME shows significant potential into 2025.

Zacks Investment Research named the top 10 stocks for 2025, with a proven track record of outperforming the S&P 500. Director Sheraz Mian handpicked these stock recommendations, set for release on January 2. Readers can access these top picks early for potential sensational performance in the coming year.



Read more at Nasdaq: Bull of the Day: GameStop (GME)