GameStop is cashing in after a meme stock boom sent shares flying as high as 350% this month—and it’s leaving investors holding the bag, just as the company reported disappointing quarterly numbers.
In a regulatory disclosure filed this morning, GameStop announced it was selling up to 45 million shares, which are worth about $950 million at current market prices. That’s a big windfall for company that only reported around $6 billion in revenues last year, but the day traders who juiced GameStop’s shares in the first place are paying the price: The stock fell over 20% after the disclosure, and it’s down around 70% from its peak earlier this week.
