Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON
  1. Homepage
  2. Equities
  3. France
  4. Euronext Paris
  5. BNP Paribas
  6. News
  7. Summary
    BNP   FR0000131104

BNP PARIBAS

(BNP)
  Report
Real-time Quote. Real-time Euronext Paris - 04/16 11:38:26 am
52.9 EUR   +2.20%
04/16Natixis to stop financing trade in Ecuadorian crude oil
RE
04/16Natixis to stop financing trade in Ecuadorian crude oil
RE
04/16GLOBAL MARKETS LIVE : Daimler, GSK, Mattel
SummaryQuotesChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
SummaryMost relevantAll NewsAnalyst Reco.Other languagesPress ReleasesOfficial PublicationsSector newsMarketScreener Strategies

GameStop jumps nearly 19%; 'meme stocks' fade after another wild ride

02/25/2021 | 10:54pm EDT
FILE PHOTO: A 3d printed Robinhood and Reddit logos are seen near one dollar banknotes in front of displayed GameStop logo

(Reuters) - GameStop Corp shares rallied on Thursday, finishing with double-digit gains despite a sharp retreat from session highs and leading a surprise resurgence of so-called "stonks" championed online by passionate retail investors.

GameStop shares, which doubled their value on Wednesday, hit $160 at Thursday's open before being halted after several minutes of trading and fell to around $129 before the second halt. The stock closed for the day at $108.73 for an 18.5% gain, after soaring almost 90% at the session peak.

Other "stonks" or "meme stocks" popular on sites such as Reddit's WallStreetBets also saw their rallies fade. Headphone company Koss Corp closed up 16.8% gain after rocketing nearly 61% during the session. AMC Entertainment ended down nearly 9% after jumping more than 15% during the session.

Analysts were puzzled by the rally that came even as the benchmark S&P dropped 2.4%. Some ruled out a short squeeze like the one in January that battered hedge funds that had bet against GameStop and were forced to cover short positions when individual investors using Robinhood and other trading apps pushed the video game retailer's shares as high as $483.

"The power of the "three R's" (Robinhood, Retail, Reddit) are back in play," said Neil Campling, head of technology research at Mirabaud Securities.

The number of GameStop shares shorted stood at 15.47 million, analytics firm S3 Partners said Thursday, with short interest accounting for 28.4% of the float, compared with a peak of 142% in early January.

Wednesday's late day rally added $664 million in mark-to-market losses for investors betting against GameStop, and short sellers were down $10.75 billion in year-to-date mark-to-market losses midday Thursday, according to S3.

Some analysts said the rally may be partly fueled by a fear of betting against GameStop.

"There are not a lot of people who are just sitting there, 'oh yeah, let's for fun, let's just short GameStop and get my head ripped off.' The investors learn.," said Dennis Dick, a trader at Bright Trading, on the Benzinga podcast.

Some investors may be jumping on the GameStop bandwagon hoping to reap gains similar to turbo-charged advances of January and then sell the stock, said David Starr, vice president of quantitative analysis at Simpler Trading.

"All of these stocks are once again rising together. It demonstrates that there is nothing intrinsic in the companies themselves," he said.

Former GameStop shortseller Citron Research said the company should buy online gambling company Esports Entertainment Group Inc

"It would be an easy acquisition for GameStop to tuck in right now," Citron's Andrew Left told Reuters in an interview. "Some people say it would be a 'Hail Mary pass' but I think it would be a major pivot."

HEAVY VOLUME

More than 145 million shares of GameStop had changed hands by mid-morning, almost triple its 30-day average volume of 62 million, yet below the more than 190 million shares that traded hands daily in late January.

The surge came after Reddit trader Keith Gill, who runs the YouTube channel Roaring Kitty, bought additional GameStop shares last week. Last week, Gill testified in the U.S. Congress: "I like the stock," words since quoted by hundreds of online followers and featured in memes on financial sites.

This week's GameStop rally began the day after the retailer announced the resignation of Chief Financial Officer Jim Bell as the company focuses on shifting into technology-driven sales.

Reddit forums were buzzing again with bullish GameStop posts on Thursday.

"Bought lots more #GME today, let's keep fighting !!," wrote Reddit user Fundssqueezzer.

In January, GameStop shares skyrocketed by more than 1600% as retail investors, urged on by WallStreetBets, bought shares to punish hedge funds that had taken an outsized short bet against it.

Gabriel Plotkin's Melvin Capital hedge fund was left needing a $2.75 billion lifeline from Citadel LLC and Point72 Asset Management.

Investing legend Charlie Munger, longtime business partner of Warren Buffett, criticized the risky trading strategies employed by some traders on Reddit.

"It's really stupid to have a culture which encourages as much gambling in stocks by people who have the mindset of racetrack bettors," said Munger, Berkshire Hathaway's vice chairman.

(Reporting by Aaron Saldanha in Bengaluru, Tom Westbrook in Singapore and Danilo Masoni in Milan; Additional reporting by Lewis Krauskopf, Sagarika Jaisinghani, John McCrank and Medha Singh; Writing by Anirban Sen and David Randall; Editing by Jason Neely, Bernard Orr, Nick Macfie and David Gregorio)

By Aaron Saldanha, Thyagaraju Adinarayan and David Randall


© Reuters 2021
Stocks mentioned in the article
ChangeLast1st jan.
BNP PARIBAS 2.20% 52.9 Real-time Quote.22.72%
KOSS CORPORATION -1.20% 18.95 Delayed Quote.450.87%
SUNDIAL GROWERS INC. -0.63% 0.8466 Delayed Quote.78.80%
All news about BNP PARIBAS
04/16Natixis to stop financing trade in Ecuadorian crude oil
RE
04/16Natixis to stop financing trade in Ecuadorian crude oil
RE
04/16GLOBAL MARKETS LIVE : Daimler, GSK, Mattel
04/16Sub-Saharan Africa's economy to rebound this year as activity picks up
RE
04/16Stock Indexes on Track for Weekly Gains
DJ
04/16WALL STREET STOCK EXCHANGE : Stocks Rise After S&P 500 Hits Record
DJ
04/16Stock Futures Edge Up After S&P 500 Hits Record
DJ
04/16Stock Futures Steady After S&P 500 Hits Record
DJ
04/15General Mills in Sustainability-Linked Revolving Credit Facility
DJ
04/15BNP PARIBAS  : Goldman Sachs reaffirms its Buy rating
MD
More news
Financials
Sales 2021 44 810 M 53 682 M 53 682 M
Net income 2021 6 894 M 8 259 M 8 259 M
Net Debt 2021 - - -
P/E ratio 2021 9,89x
Yield 2021 5,51%
Capitalization 66 076 M 79 152 M 79 159 M
Capi. / Sales 2021 1,47x
Capi. / Sales 2022 1,44x
Nbr of Employees 193 319
Free-Float 86,6%
Chart BNP PARIBAS
Duration : Period :
BNP Paribas Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends BNP PARIBAS
Short TermMid-TermLong Term
TrendsNeutralBullishBullish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus BUY
Number of Analysts 24
Average target price 56,77 €
Last Close Price 52,90 €
Spread / Highest target 24,8%
Spread / Average Target 7,32%
Spread / Lowest Target -20,6%
EPS Revisions
Managers and Directors
NameTitle
Jean-Laurent Bonnafé Chief Executive Officer & Director
Jean Lemierre Chairman
Bernard Gavgani Chief Information Officer
Philippe Bordenave Chief Operating Officer & Director
Nathalie Hartmann Head-Compliance
Sector and Competitors