(Reuters) – GameStop shares fell for a second straight time on Monday, leading to major losses after stock influencer Keith Gill’s return to YouTube last week failed to spark new investor enthusiasm for the struggling shopping mall retailer.
Gill, known on YouTube as “Roaring Kitty,” held his first livestream in three years on Friday, the same day GameStop unveiled its second stock sale in days.
Gill, a key figure behind an eye-popping 2021 GameStop rally, made fun of memes and interspersed his discussion of GameStop with several disclaimers in a livestream that had more than 2.4 million views on YouTube on Monday.
On Monday, shares of GameStop fell about 15% to $24.06, adding to a nearly 40% decline on Friday after the company reported a decline in quarterly revenue.
Also on Friday, GameStop said it would sell up to 75 million shares, days after it made $933 million selling 45 million shares.
Other so-called meme stocks also gave back recent gains on Monday, with AMC Entertainment losing nearly 7% and headphone seller Koss down about 4%.
GameStop shares nearly tripled in value in two days through May 14 after an account linked to Gill returned to X.com, formerly called Twitter. Since then, GameStop shares have given up most of those gains, and the stock remains up about 37% so far in 2024.
The video game retailer has been losing money for years as customers switch to online purchases, and the last quarter was no different.
(Reporting by Noel Randewich; Editing by Richard Chang)
