Momentum stocks, which have been dubbed "meme stocks" by mainstream media and Wall Street, have taken the stock market by storm in the last six months.
Earlier this week, stocks such as GameStop (GME) - Get Report and AMC (AMC) - Get Report were seeing positive momentum. Even stocks like Clover (CLOV) - Get Report and Wendy's (WEN) - Get Report joined them.
However, GameStop's momentum turned negative in Thursday intraday trading following the company's earnings report late Wednesday.
The company did name a new CEO and CFO--both are former Amazon executives. Matt Furlong will take over the role of CEO while Mike Recupero will become the CFO. Ryan Cohen, Chewy-co-founder, has officially been voted in as the chairman.
Looking at the earnings, GameStop posted an adjusted loss of 45 cents per share, which beat Wall Street's estimate for a loss of 84 cents.
Revenues rose 27% to $1.3 billion in comparison to the same quarter a year ago.
"We have helped bring stability and strength to the business, including by de-densifying our store footprint, reducing cost and debt, and returning our company to growth," said outgoing CEO George Sherman. "I also want to take this opportunity to thank our customers for their belief in us and an amazing group of shareholders who have so demonstrably exhibited their support for us. I look forward to working with our newly appointed board and leadership team going forward."
Watch the video above, or read Guilfoyle's Market Recon: The One Key Takeaway From GameStop's Report and How I'm (Yes) Trading the Stock. Not a Real Money member? Sign up here.