GameStop shares plummet after fifth CEO exit in 5 years

GameStop (GME.N) sank nearly 20% on Thursday and was set for its worst session in two years after the surprise exit of a CEO handpicked to lead its online expansion fanned concerns about the videogame retailer’s ailing business.

The ousting of former Amazon.com executive Matt Furlong came alongside top shareholder Ryan Cohen’s appointment as the executive chairman of a company that he turned into a favorite of meme-stock traders with promises of a digital pivot.

Yet GameStop was set to erase half of its gains for 2023 and about $1.6 billion in market value, based on premarket share movements, with one analyst saying management change has been the only constant in recent years.

“It’s hard to have an opinion with no earnings call, little-to-no investor communication, and lack of consistent strategic vision,” said Andrew Uerkwitz of Jefferies.

“One consistency remains, changes at the top. Over the last 5 years, GameStop has had 5 CEOs and 3 CFOs.”

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