GameStop Stock Remains Overvalued: Analyst Says ‘Greater Fools’ Are Driving Price, Not Business

Despite a drop in revenue and the hype surrounding Bitcoin investments, GameStop’s stock price continues to be driven by speculation rather than actual business growth. According to Wedbush analyst Michael Pachter, this trend is fueled by a “greater fool” theory – where investors buy into overpriced shares believing someone else will pay even more later.  This strategy has been successful so far, with GameStop’s stock exceeding its actual cash value, but according to Pachter, it’s unsustainable in the long term.