GameStop's stock price skyrocketed by 9% after the CEO's photo with MicroStrategy's chairman.

GameStop's (GME) stock price surged after CEO Ryan Cohen's photo with MicroStrategy's Michael Saylor.

GameStop CEO Ryan Cohen shared a photo on social media of himself with MicroStrategy (now renamed Strategy) chairman Michael Saylor, fueling speculation that GameStop may be planning a new cryptocurrency strategy, resulting in a 9% increase in its stock.

Strategy is the world's largest corporate holder of bitcoin. GameStop had previously closed its cryptocurrency wallet service in 2023 due to regulatory uncertainty, among other reasons. Cohen stated that GameStop aims to utilize excess cash for strategic investments in stocks and other securities. GameStop's physical video game retail business continues to face challenges, while GME stock trading remains volatile. Strategy holds approximately $47bn of bitcoin.

Only one analyst tracks GME stock, Wedbush's Michael Pachter, who has a target price of $10, significantly lower than the current price.