GameStop (GME) - Get Report shares traded lower Tuesday after the video game retailer said another key executive is planning to leave the group as it prepares to release its fourth quarter earnings after the close of trading.
Frank Hamlin, GameStop's chief customer officer, will leave the company at the end of the month, a move that follows the recent departure of CFO Jim Bell, who resigned on February 23 and will leave the Grapevine, Texas-based company on Friday.
Earlier this month, GameStop moved to shake-up its senior management team, tapping Chewy.com (CHWY) - Get Report founder Ryan Cohen to lead its e-commerce strategy and creating an inter-company committee, which includes Cohen, to "identify initiatives that can further accelerate the Company’s transformation" that includes hiring a chief technology officer, two executives to lead e-commerce and fulfillment functions and forming a search committee for a new CFO.
Beyond the executive changes, GameStop has said nothing with respect to the Reddit-fueled rally that has powered its share price, which hit an all-time high of $483 and are now up more than 875% since January 12, when the company reached an agreement with Cohen's RC Ventures LLC to re-structure its board and focus on digital sales and not simply "remain a videogame retailer that overprioritizes its brick-and-mortar footprint and stumbles around the online ecosystem."
GameStop shares were marked 3.3% lower in early trading Tuesday to change hands at $188.55 each.
Analysts expect GameStop to post a 6.2% increase in fourth quarter profits, with a bottom line of $1.35 per share, on sales of just over $2.21 billion.
Short interest in GameStop shares remains active, according to data from S3 Partners, with bets against the stock representing around 14.6% of the outstanding float.
Betting against GameStop has been a losing proposition this year, however, with shorts losing more than $11 billion on a mark-to-market basis, according to recent data published by research and analytics group Ortex.