The Optimistic Case for GameStop, AMC’s Brick-and-Mortar Presence

Coverage of the meteoric surge in stock price in companies like GameStop and AMC Entertainment has been dominated by tales of individual investors—many of whom congregate on Reddit threads online to discuss tips and strategies for getting ahead in the market—who came together, ostensibly, to give hedge funds their comeuppance. But a recent analysis by Placer.ai suggests that there just might be some value in those brands’ brick-and-mortar locations. 

The stock price surges had “little, if not nothing,” to do with factors like offline or online traffic or any other usual metric, Placer.ai maintains. But “like most other retail narratives, we need to be careful not to go for the simplest explanation, as it often obscures as much as it reveals.”