According to Citron Research, the former short-seller of Gamestop, Gamestop Corp should buy Esports Entertainment Group (an online gambling company). In a tweet later sent out by Citron, the company said this move would be “…obvious and easy to justify (GameStop) stock price.”
Andrew Left, the founder and executive editor of Citron Research, has high hopes for EEG. Left said that Esports Entertainment Group’s stock “could easily go to $50” per share.
The Profit‘s Take:
While GameStop would no doubt benefit from EEG’s stack of esports assets, there’s likely nothing that will save GameStop at this point, other than becoming a niche pure e-commerce play. Regardless, the takeaway from Citron’s research is the value of Esports Entertainment Group. They’ve done their homework and the $50 target share price is spot on.
(All information was provided by Reuters)