DISQUS

JC · 1 year ago

well nobody could argue with the gme chart's consistent uptrend, no alarming spikes, but the fundamentals concern me. PE 44 and peg @1.8... that seems hard to sustain for a retailer, no matter how hot the product they're selling is. the long term trend for all media is digital distribution, that leaves for low barriers to entry and distribution by the game makers themselves.

Jorge · 1 year ago

Normally, I'd worry about the fundamentals as well. While I think regardless of your trading style you need to have a bit of both technicals and fundamentals, I'll let the market makers decide when a stock's become fundamentally overheated. I used to trade based on fundamentals and I was burned badly. If the market makers say GME's fundamentally hot, I'll see it on the charts and run like the wind.

I agree though. Sooner, rather than later, we'll see more and more digital distributions which, at least I would think, could help lower the costs of games somewhat. I know some places such as Digital Downloads have popped up, but I couldn't see paying full price for a game plus a downloading fee when I could go to the stores and pick up the game for the exact same price with the original CD and other goodies.