The gaming industry is buzzing with GameStop Corp.’s (NYSE:GME) limited-time deal, allowing customers to trade in their gaming consoles for money.
“Trade your Xbox or PlayStation 5 for $420.69 in cash,” the company said in a post on X. The offer is valid for three days from April 20 to April 23.
The offer coincides with the unofficial cannabis day 420. The retailer framed the offer with humor, suggesting customers in need of “weed money” could swap their consoles for instant cash. While the campaign’s tone is playful, it underscores GameStop’s continued reliance on trade-in programs as a core part of its business model.
GME On Sweet Investors Spot
The gaming retailer has been in the spotlight this year, driven by CEO Ryan Cohen‘s ambitious plan to make GME a $100 billion-plus company and Michael Burry‘s fresh stake in the stock.
The famed investor, known for shorting the U.S. housing market before 2008, disclosed in January that he has bought shares of the video game retailer after Cohen announced his plan to transform GameStop from a $11 billion company into a $100 billion-plus business that goes far beyond selling video games and collectibles.
The launch of Power Packs has provided an additional boost to GME stock price. A digital trading card platform lets collectors buy digital packs that can unlock physical PSA-graded cards, including Pokémon and major sports categories.
Cohen’s Buying Spree
Cohen purchased 500,000 shares of GameStop for roughly $10.6 million on Jan 20, and another 500,000 at $21.60 per share on Jan 21. With this purchase, the CEO now owns approximately 42.08 million shares of GameStop stock, representing a 9.3% stake in the company.
GameStop Reports Mixed Q4 Results
GameStop is struggling to adapt to rapidly changing consumer behaviour from physical game purchases toward digital downloads, game streaming and online shopping. The company reported fourth-quarter revenue of $1.10 billion, missing analyst estimates of $1.47 billion. Adjusted earnings came in 49 cents per share for the quarter, beating analyst estimates of 37 cents per share.
Benzinga Edge Stock Rankings indicate that GME has a Momentum score in the 37th percentile. It maintains a strong price trend in the short, medium and long term. The stock has a good Growth score in the 76th percentile and Value score in the 69th percentile.
Price Action: GameStop gained 1.51% on Monday and extended its gain to 0.3% in premarket hours at the time of writing. The stock is up 24.10% year-to-date.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by a Benzinga editor.
Photo courtesy: Shutterstock
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