GameStop (NYSE:GME) just keeps delivering, with Monday bringing several major stories for the darling of r/WallStreetBets. GME stock is seeing a big boost thanks to lawsuit news and a big update from a key shareholder.
GameStop’s busy month is getting busier.
Monday is a big deal for the video game retailer; 40 lawsuits against e-trading platform Robinhood are seeing litigation begin in Miami. The multiple lawsuits are being levied against the user-friendly trading app due to its restricting of GME stock purchases at the height of the short squeeze. These lawsuits have been bunched together into one preceding under the guise of a Miami federal judge.
While GameStop fanatics are optimistic about their lawsuits finally seeing the light of the courtroom, there is still cause for concern. Mainly, the concern is that the legal proceedings could drag on for a very long time. A professor at the University of Miami School of Law remarks that “these cases drag on for years.” This may be dampening the spirits of some Redditors looking for retribution.
Still, the panel of judges giving litigative responsibilities to Judge Cecilia Altonaga are hopeful. They say that Altonaga is the right judge to handle to proceedings, and write that she is the best selection to handle the cases in an efficient manner.
Roaring Kitty Buys Another Mass of GME Stock
Another piece of news that is exciting investors is another significant purchase of GME stock by Keith Gill, also known as Roaring Kitty. The poster child of the GME movement is reportedly exercising call options on GME to add an additional 50,000 shares to his portfolio. This new purchase bolsters an already impressive GME holding, bringing the value of his shares to $30 million. The subpoena by the Massachusetts Secretary of the Commonwealth is not slowing the trader down at all.
The pair of stories comes right after the company announced its CEO would step down at the end of July. This triad of unveilings is boosting GME stock a fair bit this morning. Shares are currently up 8%, and trading at $160.76.
On the date of publication, Brenden Rearick did not have (either directly or indirectly) any positions in the securities mentioned in this article.