Why GameStop, Bed Bath & Beyond, and Pure Storage Jumped Today
Wall Street had a mixed session on Thursday, with many market participants playing a waiting game for further direction on the likely path of interest rates for the near future. Various officials at the Federal Reserve tried to challenge prevailing expectations for further rate cuts in the next few months. Yet many investors paid closer attention to earnings results and other company-specific news. GameStop (NYSE: GME), Bed Bath & Beyond (NASDAQ: BBBY), and Pure Storage (NYSE: PSTG) were among the top-performing stocks. Here's why they did so well.
Shares of GameStop jumped 9.5% after the video game retailer received positive comments from an unlikely source. Michael Burry, who's best known for his correct predictions about the subprime mortgage market in the mid-2000s, said that the company is in much better shape financially than its share price would suggest, pointing to sources of cash flow that investors aren't valuing fully. Burry's investment firm has purchased a substantial position in GameStop. The move comes just days after GameStop said it would lay off more than 120 workers in a restructuring move, and other Wall Street analysts aren't as optimistic about the retailer's prospects.
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Source Fool.com