GameStop's New Service Could Hurt the Company's Most Important Business
GameStop (NYSE: GME) is adding another fold to its used video games business, and it's probably not one that investors should be celebrating. On Nov. 19, the company will roll out a program that lets members rent used video games. Subscribers to the PowerPass service will have the opportunity to take a used title from the store, come back and swap it out for a different one, and repeat this process as many times as they like within a six-month period.
Even better for consumers, they'll even get to keep the last game that they have rented through the service, and it all costs only $60. That sounds like a pretty sweet deal for GameStop customers, but it's one that the company's shareholders are right to be apprehensive about.
Image source: Getty Images.
Source: Fool.com
Gamestop Corp. Stock
Currently there is a rather negative sentiment for Gamestop Corp. with 3 Buy predictions and 10 Sell predictions..
The target price of 7 € compared with the current price of 18.64 € for the stock indicates a negative potential of -62.45%.
