GameStop is going through a tough situation right now. The company has seen massive stock drops throughout the year, it’s laid off numerous employees throughout the company, and it’s been resetting stores in an attempt to revitalize interest in a dying brand. Unfortunately, the bad news doesn’t end here.
GameStop took another hit to its stock this morning, dropping almost a full 5 percent. Early speculation indicates this is directly related to the release date of the PlayStation 5. According to analyst Daniel Ahmad, investors may have been expecting an earlier release of the next generation of consoles. In the past, GameStop has performed much better in the first year of a new console launching.
Gamestop stock price down 5% on PS5 holiday 2020 launch news.
It seems like some investors might have been expecting an earlier launch date, which would be weird given everything has pointed to holiday next year. pic.twitter.com/G28s27JvvQ
— Daniel Ahmad (@ZhugeEX) October 8, 2019
For now, GameStop will have to rely on huge titles this holiday season to pull through this year. Other than that, one of the company’s last hopes seems to be its new stores focused on in-house community gaming and retro sales. Hopefully, this will be enough to cultivate a consumer base that will be dedicated enough to keep GameStop alive into the future.
What do you guys think of this? Do you think the company has a chance to bounce back? Let us know what you think in the comments!