The S&P 500′s 10 Best Stocks So Far in 2013

Stocks are bouncing back from last year's underperformance

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GameStop

GameStop185 The S&P 500's 10 Best Stocks So Far in 2013YTD Return: +60%

GameStop (GME) remains among one of the most disliked stocks on Wall Street with roughly one-third of available shares held by short sellers. But that hasn’t stopped shares from leaping 60% in 2013 in spite of the negativity.

A big reason for the rally has been those short sellers getting “squeezed” out, forcing them to buy back shares to cover their bets. But there also has been favorable news — for instance, reports from PlayStation and (eventually) Xbox that their newest consoles would support used games — a business crucial to the success of GME.

GameStop remains a very tenuous play in 2013, an era when players can download many games direct to their consoles and when many tablets and smartphones have replaced TV-centric gaming. And even if you need a disc to put in your PlayStation, why go to GameStop instead of ordering online?

But those bigger headwinds made so many people bet against the stock last year – and set the bar so low that GameStop has managed to stage a dramatic rally over the last few months.


Article printed from InvestorPlace Media, http://investorplace.com/2013/07/the-sp-500s-10-best-stocks-so-far-in-2013/.

©2014 InvestorPlace Media, LLC

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