GameStop Corp. (NYSE: GME) shares rose roughly 2% in pre-market trading on Wednesday, changing hands near $27.65 to $27.72 and up from Tuesday's close of $27.22. According to Dow Jones Market Data, that puts the stock on pace for its highest close since June 2025.

The advance followed a Form 4 filing with the U.S. Securities and Exchange Commission — the document type used to disclose transactions by corporate insiders — showing that Chief Executive Ryan Cohen purchased 844,130 Class A shares Oct. 13. He paid between $26.75 and $27.00 per share, for a total of approximately $22.8 million.

The latest purchase lifts Cohen's direct holdings to roughly 42.5 million shares, equivalent to about 10% of GameStop's public float — the portion of shares that trade freely on the open market. It marks his fifth round of buying since Sept. 10 and follows a $17.1 million purchase earlier in October. In total, Cohen has put more than $99 million into the stock since September.

Insider Buying and the Earnings Backdrop

Cohen said earlier this year that it was "essential" for bosses of public companies to buy shares, adding that it helps "further strengthen alignment with stockholders."

Insider purchases tend to lift a stock, as they signal that company leaders believe the price is too low.

Cohen's latest buy comes on the heels of a solid quarter for GameStop. The company reported record second-quarter operating income, while collectibles revenue jumped 57% — a business that has become an increasingly important part of the company's story as GameStop broadens beyond its video-game retail roots. GameStop also raised its full-year adjusted EBITDA guidance to more than $650 million, an outlook that has helped underpin the stock's recent run.

Not everyone attributes the rally purely to fundamentals. Barron's noted that the move could also reflect meme-stock energy. GameStop, the original meme stock, has in the past surged on online investing forum buzz rather than earnings or valuation.

Market Backdrop

The wider market was mixed ahead of the September CPI report — a key inflation gauge that feeds into Federal Reserve policy expectations — which was due at 8:30 a.m. ET, with U.S. equity futures showing little direction.

New York Fed President John Williams, a permanent voter on the Fed's rate-setting committee, said one more rate hike this year remains appropriate, while adding that no further tightening is expected in 2027.

GME closed Tuesday at $27.22, down 0.04%. In Wednesday's pre-market session, the stock was up $0.50, or 1.84%, at $27.72.

Chart Analysis

The stock is pressing into the $26 to $28 supply zone that capped rallies in October 2025 and April 2026. It broke its long downtrend line in September and has made higher highs since the $17.80 low, with the former trendline near $23 to $24 now serving as first support. The relative strength index (RSI), a momentum gauge, sits at 75, an overbought reading, while the MACD, a trend-following indicator, remains above its signal line — indicating momentum is intact but stretched.

Per the technical setup: a daily close above $28 opens the door to the $34 to $36 area, while a rejection and a drop below $26 likely sends the shares back to retest $23 to $24.