How Senvest Made a Killing on GameStop

The hedge fund believed the video game retailer was an attractive value play before the short squeezers got in — and locked in huge profits when they did.

Christopher Dilts/Bloomberg

Christopher Dilts/Bloomberg

Shares of controversial video game retailer GameStop were on the move as early as January 13, jumping more than 50 percent to $31.40. Nine days later, they surged another 50 percent to close at about $65 per share.

At that point, the folks at Senvest Management — which held a sizable long position at the time — did not foresee the unusual catalyst for the infamous short squeeze that would begin around Monday, January 25, when the stock closed at $76.79.

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