Baird Says GameStop’s Recovery Plan Remains A Mystery, Predicts 90% Inventory Drop
Shoppers await the opening of a GameStop store at Tysons Corner Center in Tysons, Virginia on November 27, 2020.
Hannah McKay | Reuters
The plan to become a besieged retailer GameStop in an ecommerce powerhouse is still murky five months after the stock first caught fire, according to investment firm Baird.
On Wednesday, the company announced higher-than-expected revenues for the first quarter, aided by console sales, and announced it has operated two Amazon veterans for CEO and CFO roles. They join Ryan Cohen, Board Member and Co-Founder of Chewy, as senior executives of the company with e-commerce experience.
However, the company declined to provide forward guidance and said it could sell up to 5 million shares. The stock was down in pre-market on Thursday.