GameStop Shares Plunge 22% to $21.40 Amid 45M Share Offering and Disappointing Q1 Results

GameStop has entered into an open market sale agreement to offer and sell up to 45 million shares of Class A common stock. This announcement comes after the company pre-announced disappointing first-quarter results and issued a profit warning. As a result, GameStop shares have plummeted, dropping 50% over the past two days, another 22% this morning, and a total of 27% pre-market. The stock, which was at $62 two days ago, is now trading at $21.40 pre-market. The significant drop in share price highlights the volatility and risks associated with the stock, emphasizing that fundamentals matter in stock investments.