GameStop shares surge again to register highest close since December

By James Rogers

Shares of videogame retailer and original meme stock climbed more than 13% Thursday

GameStop Corp. shares ended Thursday's session up 13.1% to register their highest close since December amid a resurgence for the videogame retailer and original meme stock.

The stock (GME) ended the session at $18.01, its highest close since Dec. 28, when it ended at $18.07. GameStop shares also recorded their biggest single daily percentage gain since May 3, when they climbed 29.1%.

Short interest as a percentage of GameStop's public float of shares is 24.1%, according to the latest exchange data. GameStop surged on trading volume of 25.39 million shares, well above its average 65-day trading volume of 6 million shares.

Related: GameStop shares pare back losses after skyrocketing last week

GameStop's latest rally attracted plenty of attention on social media on Thursday:

Related: GameStop stock climbs 17% for biggest gain since November, sparks memories of 'crazy' meme volatility

The stock's recent performance has fueled memories of the 2021 meme-stock frenzy that sent shares of GameStop and AMC Entertainment Holdings Inc. (AMC) skyrocketing.

Shares of AMC, which reported first-quarter results after the bell Wednesday, ended Thursday's session down 4.4%, compared with the S&P 500 index's SPX gain of 0.5%.

In March, GameStop said that it was cutting jobs in an attempt to boost profitability. The company missed analysts' top- and bottom-line estimates in its recent fourth-quarter results, prompting analyst firm Wedbush to warn that it could meet its demise before the end of this decade.

Related: If you have these skills, GameStop's Ryan Cohen wants to hear from you

In December, GameStop's board of directors approved a new investment policy that lets the company invest in equity securities, among other assets. GameStop's board gave Chief Executive Ryan Cohen the authority to manage the investment portfolio.

In GameStop's latest annual report, filed with the U.S. Securities and Exchange Commission last month, the company said that its board unanimously authorized revisions to the investment policy on March 21.

Last month, Cohen said that the company is on the lookout for people with retail and supply-chain expertise as well as software engineers.

Related: GameStop trims chief operating officer in latest executive shakeup

On Thursday, a GameStop partner announced a deal with the videogame retailer to bring physical media such as DVDs to more than 100 of the company's stores. Studio Distribution Services, a distributor of film and television media entertainment, announced new retail relationships that will include dedicated video wall space for films at 170 GameStop stores, as well as titles on GameStop.com.

GameStop shares are up 2.7% in 2024 to date, compared with the S&P 500 index's gain of 9.3% on the year.

-James Rogers

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05-09-24 1911ET

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