Motorsport Games Inc. (NASDAQ: MSGM) is a US-based gaming company that develops racing games for customers. It is a small company that has been off the market’s radar as of yet but is fast gaining the center of attention. Its epic rise in such a short amount of time is unprecedented and coupled with improving fundamentals.
Incredible MSGM Price Rise
Motorsport Games Inc. (MSGM) has seen one of the most tremendous price gains seen in a very long time, as the stock rose from $2.60 to as high as $23.71 within a single day. This monumental climb amounted to a gain of over 800%, with the stock not only remaining close to these highs but clearly attempting to push onwards. Based on social media chatter, this drive-up seems to act as a coordinated effort by retail traders to squeeze out shorters from their positions, in what very closely resembles the meme-frenzy rise of Gamestop a few years ago.
Improving Prospects for Motorsport Games
Motorsport Games finds itself in a battle between bears and bulls, and many argue that this shift is in isolation from the company’s core financial fundamentals. Although, the company did recently boost its balance sheet, after fulfilling a debt-to-equity exchange program, that has significantly improved overall leverage. This, therefore, tremendously eases off the pressure facing MSGM. Moreover, the recent short squeeze it presently faces has driven up the company’s market cap to over $36 million, putting it well within reach of Nasdaq minimum requirements. Prior to this, MSGM faced the threat of delisting on account of its market cap falling to dangerously low levels.
MSGM stock has been having a field day in the market, with many traders launching themselves to be a part of this epic growth climb. In attempts to force out shorters, the stock for the company looks to enter four-digit growth.