GameStop Corp. (NYSE:GME) is a video game retailer. The Company distributes video game hardware, physical and digital video game software, video game accessories, as well as mobile, consumer electronics and other merchandise through its stores. The Company’s segments consist of retail operations, engaged in the sale of new and pre-owned video game systems, software and accessories. The stores sell various types of digital products, including downloadable content, network points cards, prepaid digital, prepaid subscription cards and digitally downloadable software and also sells certain mobile and consumer electronics and collectible products. Its Technology Brands segment includes its Spring Mobile and Simply Mac businesses.
We are bullish on GME on the back of the company’s strong financials, near term catalysts and their transition plans gaining traction. We believe that while GME may be facing headwinds in its core product lines, the share price is unfairly punished and ignoring several positive catalyst on the horizon.
GME daily chart
Resistance 1: 23.96 ; Resistance 2: 25.35
Support 1: 20.50 ; Support 2: 20.10