GameStop Shares Hit Three-Year High As Next-Gen Looms
One might think that with the digital revolution virtually upon us, brick-and-mortar stores would be in trouble.
But although mega game retailer GameStop said 2012 was a "challenging" year, their financial results were solid and the future is bright.
And as such, the company's stock price is at its highest point in three years (since April 2009), as GameStop shares were up 6.4% at close of trading two days ago. They're now valued at just over $30/share after rising another 1.04% yesterday, and most analysts are saying investors should definitely look into siding with GameStop.
Sterne Agee analyst Arvind Bhatia predicts a further increase for GameStop as the PlayStation 4 and Xbox 720 are potentially on the horizon for later this year. Ascendiant Capital Markets analyst Edward Woo echoed Bhatia's optimisim with the following statement:
"The new core gaming consoles by Microsoft and Sony will drive consumer interest and demand for video games over the next several years."
Lastly, Janney Montgomery Scott analyst Tony Wible said GameStop will gain further market share once the next generation is upon us. All three mentioned analysts have given GameStop a "buy" rating, so you may want to opt for some stock...soon.
4/2/2013 10:49:53 PM Ben Dutka