May a tweeted image of an ice cream cone and a frog emoji be fueling double-digit pre-market positive factors in Tremendous League Gaming (NASDAQ:SLGG)? Stick with me for a second as SLGG inventory runs up an additional 13% forward of Thursday buying and selling, following yesterday’s near-30% positive factors.
The cone and the frog appear to have been interpreted by some Redditors on r/WallStreetBets and different subreddits as a touch about the opportunity of GameStop (NYSE:GME) trying to by an esports firm. Particularly, SLGG, which is led by CEO Ann Hand, previously CEO of Venture Frog and a enterprise improvement supervisor at McDonald’s (NYSE:MCD).
That was in a tweet from Ryan Cohen, GameStop’s CEO. Social media has been all atwitter making an attempt to decipher the which means of the image.
— Ryan Cohen (@ryancohen) February 24, 2021
Nonetheless with me? Good. Plainly the r/WallStreetBets crowd is wagering that GME is following Citron Analysis’s Andrew Left’s recommendation that it can purchase on-line gaming firm Esports Leisure (NASDAQ:GMBL). Left’s advice in February fueled positive factors in GMBL inventory over a number of days.
Left mentioned it is smart as a result of if there’s two issues GameStop shareholders love, it’s video video games and playing. He sees this as a manner for GME to each pivot away from its declining retail brick-and-mortar stores and monetize its wide customer database.
SLGG Inventory May Be an Various Play
That brings us to Tremendous League Gaming as a possible various play for a GameStop transfer into esports.
Appears to make sense, as SLGG has quite a lot of traits that Left noticed in GMBL, particularly:
- A give attention to providing gaming providers to customers.
- That features connecting avid gamers with one another throughout its number of providers.
- Amongst these are live-streams, highlights, and different types of social media interplay.
- The corporate can be behind a number of gaming golf equipment that assist the aggressive gaming scene.
On the date of publication, Robert Lakin didn’t have (both instantly or not directly) any positions within the securities talked about on this article.
InvestorPlace contributor Robert Lakin is a veteran monetary author and editor, following fintech, agtech and property tech startups.