Investing.com -- Shares in GameStop Corp (NYSE:GME) rose in early U.S. trading on Tuesday after regulatory filings showed that the video game retailer's executive chairman Ryan Cohen had increased his stake in the company.
According to the documents filed with the Securities and Exchange Commission, Cohen snapped up an additional 443,842 shares in the Texas-based firm at prices of about $22.25 and $22.91 per share via his activist investment vehicle RC Ventures LLC.
The stake, valued at just under $10.8 million based on GameStop's closing price on Monday, brings Cohen's holdings in the company up to 12.10% from its prior level of 11.95%.
Cohen's purchase comes after a leadership shake-up at GameStop earlier this month that featured the termination of chief executive officer Matt Furlong. At the same time, Cohen, who had become a favorite of meme stock investors after he built stakes in GameStop and now-bankrupt big-box retailer Bed Bath & Beyond, was named as executive chairman.
Despite posting a narrower net loss in the first quarter, net sales for the three months through April dropped by 10% to $1.24 billion. The dip reflected the pressure GameStop's sales face as downloadable console games dissuade shoppers from buying the hard copies sold at its shops.
Begin trading today! Create an account by completing our form
At One Financial Markets we are committed to safeguarding your privacy.
Please see our Privacy Policy for details about what information is collected from you and why it is collected. We do not sell your information or use it other than as described in the Policy.
Please note that it is in our legitimate business interest to send you certain marketing emails from time to time. However, if you would prefer not to receive these you can opt-out by ticking the box below.
Alternatively, you can use the unsubscribe link at the bottom of the Demo account confirmation email or any subsequent emails we send.
By completing the form and downloading the platform you agree with the use of your personal information as detailed in the Policy.