The Zhitong Finance App learned that Wedbush analyst Michael Pachter reiterated the “neutral” rating of Gaming Station (GME.US), with a target price of 16 US dollars. Pachter believes that although Gaming Station is in an advantageous position and will be the main beneficiary of the new console launch, its prospects are still uncertain.

Pachter said the public health incident crisis has not been resolved and is expected to continue to hinder the development of gaming stations until the vaccine is widely distributed. He expects this situation to happen in mid-2021, when the game site can complete the restart plan and expand its e-commerce omnichannel solution.

Overall, Pachter has a positive attitude towards gaming sites and believes that the company will generate considerable profits in 2021 and beyond, but until the situation is clear, it will not consider raising ratings or target prices for the time being.

According to reports, Game Station announced this Monday that during the holiday season, same-store sales increased 4.8% year on year, e-commerce sales increased 308% year on year, and overall sales fell 3.1% year on year. Additionally, the company announced that it has reached an agreement with venture capital fund RC Ventures, and the board of directors will join three members from RC Venture to accelerate the company's digital transformation.

In response, Pachter said that although there has been a wave of investors' buying since the publication of the above two statements, its comparable sales figures are lower than expected.