GameStop Stock Is Slipping. An Analyst Just Cut Her Price Target.

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Jefferies analyst Stephanie Visink cut her price target on Gamestop stock from $180 to $145, which is still up about 12% from recent levels.

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Spencer Platt / Getty Images

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GameStop

The stock fell on Wednesday after an analyst lowered his price target on the videogame retailer.

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Jefferies analyst Stephanie Wisink lowered her GameStop (ticker: GME) price target from $180 to $145 in a note Wednesday, pointing to limited visibility into the financial impact of the retailer’s changes. According to FactSet, she rates GameStop stock on hold, and two other analysts covering the shares have sold ratings. The new price target for Wissink is still above the 12% level from the recent levels.

,The longer we wait for new information from a new leadership team, the more anticipation builds up,” Visink wrote. “But at some point, we worry that the individual investor will become restless.”

GameStop stock was down 0.8% at $129.22 in Wednesday afternoon trading. S&P 500 Index

was up 0.2%. GameStop stock is down about 13% year-over-year, but is up 312% from a year ago — just before its high-profile surge in January 2021.

While analysts are concerned about the company’s plans to adopt non-fungible tokens, it is difficult to evaluate the project given the lack of concrete announcements from the company. The company has hired crypto and blockchain experts, and has posted a call for creators for its NFT project. Other analysts compare the company to a venture-capital firm because of the risks and potential rewards of such a pivot.

“As noted above, while all of these elements are intriguing as an idea to rework the revenue model, we lack the depth of detail to fully formulate reasonable estimates and thus As such, we are implementing a slightly faster visibility waiver for our PTs,” Visink wrote.

Last March, it raised its price target to $15, pointing to Ryan Cohen’s ambitious investment, and the Chewy co-founder’s ability to help the company better adopt e-commerce. increased to $175. Cohen later became chairman in the midst of a major management shakeup.

Write to Connor Smith at [email protected]

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