Though GameStop (NYSE: GME) took greater advantage of the resurgence sparked by the meme stock craze of late 2020 and early 2021 than many companies in a similar position, it has, nonetheless, been on a path of decline for much of the previous three years.
This downtrend rapidly shifted in May 2024, and GME stock was turbocharged by Keith Gill – also known as Roaring Kitty and DeepF*uckingValue on social media – returning to the scene with a series of cryptic posts on X.
Gill’s return, given that he was one of the principal actors of the original meme stock surge, helped GME rise rapidly in the stock market. The company’s shares rocketed 151% in the last 30 days, and a total of 145.78% since the start of 2024, with GameStop price today standing at $40.97.
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Though a jump to the moon appears in the cards for GME in the short term, the question of what will happen to the company in the long run remains unclear.
In its quest for answers, Finbold examined the analyst consensus on GameStop and consulted the latest version of OpenAI’s flagship artificial intelligence (AI) platform – ChatGPT-4o.
Wall Street and ChatGPT estimate GME’s fortunes
Meme stock rallies are primarily social events rather than reflections of the business fundamentals. Therefore, it’s unsurprising that analysts expect a continued decline for GME.
What makes the fact even more prominent is that there are hardly any recent price targets assigned to GameStop by Wall Street experts. Additionally, those who have weighed in on the matter are vehemently bearish.
Out of the two analysts represented on TradingView, one deems GME shares a ‘strong sell’ and the other a ‘sell.’ Similarly, the highest price target would see GameStop stock decline 33.02% from its latest closing price and fall to $15.50, and the lowest sees a drop of 73.64% in the coming 52 weeks.
For its part, ChatGPT proved significantly more reactive to the most recent happenings pertaining to GameStop. In its estimate, the AI decided to take into account both the likely short duration of the current rally, but also to factor in the possibility that GME stock will benefit long-term from the surge.
Ultimately, ChatGPT considers $30 a realistic 12-month price target for GameStop, though it also acknowledged it is possible – if unlikely – that the current surge may translate to a higher price near $60, or to a deeper crash to $15 after all is said and done.
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