NEW YORK — GameStop Corp. (NYSE: GME) shares fell more than 2% in early trading Tuesday, dipping to around $23.26 as investors digested the company's surprise $56 billion proposal to acquire eBay and weighed ongoing challenges in its core retail business amid persistent meme-stock volatility.

The video game retailer's stock opened lower after a volatile session on Monday that followed news of CEO Ryan Cohen's ambitious all-stock-and-cash bid for the online marketplace giant. While the proposal initially generated excitement, skepticism quickly emerged over the feasibility of the deal given GameStop's market capitalization and strategic fit questions.

As of 10:05 a.m. EDT, GME traded down about 0.58 points or 2.43%, continuing a pattern of sharp swings that have defined the stock in recent years. Volume remained elevated as retail traders and institutional investors reacted to the latest chapter in GameStop's evolving story.

The eBay Bid and Market Reaction

GameStop formally proposed acquiring eBay at $125 per share in a combination of cash and stock, a move that would dramatically reshape the company into a broader e-commerce player. eBay shares jumped on the news, but........

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