Here's Why GameStop Plunged Then Popped Friday
Never a stock for the fainthearted, GameStop (NYSE: GME) is living up to its volatile reputation Friday after it reported its fourth-quarter and full-year results after the market closed Thursday. The initial reaction to those numbers sent the stock plunging by as much as 10%. But less than an hour into the trading session, shares were back in the green and gained as much as 7.2% at the morning's peak. As of 1:43 p.m. ET, the stock had settled to a gain of 5.2%.
Traders' initial reaction made sense. GameStop reported a large net loss for the holiday quarter, when analysts had expected a profit. But in typical meme stock fashion, the price trajectory then reversed course.
Source Fool.com