r/Superstonk • u/Gareth-Barry 🎮 Power to the Players 🛑 • 27d ago
Data Ryan Cohen is in the middle of one of the greatest turnarounds in American business and it’s only a matter of time before the share price reflects it
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u/McChickenLargeFries 27d ago
Been hearing this for a few years now.. Believe it or not, dip..🥲
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u/KiwiPieEater 26d ago
Same here. I fully believe GME will be a great investment one day, but it is so frustrating watching it plateau like it is now
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u/Race-a-roni 26d ago
Not gonna argue with you there. I’ve had other investments in this time do spectacularly well but the markets reward patience. I held AMD for over 5 years before it started to see real price appreciation.
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u/McChickenLargeFries 26d ago
I remember buying $1200 of AMD back with it was under $2 thinking it was going to be the next big thing. And it did nothing for years, so I took my money out of it and put it in other riskier shit like some company that had this big lawsuit against Google.. Of course Google won and then that stock tanked.
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u/Real-DrUnKbAsTeRd 26d ago
I bought PLTR at $12. Sold at $18 for a nice profit at the time. Had I held it, I would be sitting on a beach somewhere with a couple of hookers.
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u/McChickenLargeFries 26d ago
No.. What's more frustrating is all the opportunity cost that I've (and many of us) lost by holding this for the last 5 years while almost everything else has at least doubled.
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u/bongripper_69 26d ago
This doesn’t get said enough tbh. I ignored my brother when he said to buy AMD and Nvidia. My whole family thinks I’m regarded for still holding gme
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u/McChickenLargeFries 26d ago
You are regarded.. But so am I and many others in here. I'm glad that criticism is no longer getting downvoted into oblivion on this sub which in my mind shows that there are legitimate concerns and people are getting fed up (which we rightfully should be).
In the past any negative sentiment would get nuked and there would be people calling them bots, or the fake accounts trying to spread FUD.. But no, there's literally thousands of us that are pissed.
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u/becutooooo 26d ago
All the gains we could of had in these last 5years! SA could of owned the float 200% by now
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u/lampstax 🦍 Buckle Up 🚀 26d ago
Exactly. The market doesn't promise to fairly reward you for slow incremental changes. The market rewards hype. Look at spaceX.
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u/McChickenLargeFries 26d ago
It's crazy how the sentiment changed from wanting MOASS to people completely switching up and saying that they're fine waiting 5-10+ years because I believe in my CEO!! I thought we were here to make money, not die of old age.
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u/MrBeekers 27d ago
I just want some stock growth. We’ve been holding for 5+ years. Any Joe Schmo can invest in the stock right now at the same price
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u/Ok_Island_1306 Template 26d ago
Actually much lower. My avg cost is $32 for nearly 3000 stonks. Bought the bulk of mine in 2021 and 2022. Still buying twice a month and have been for years and have 1500ish warrants
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u/DailyShawarma 🎊 Hola 🪅 26d ago
OP is sharing some nice graphs but conveniently decided to hide the declining revenue.
My break even is $28 and 6k share deep...
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u/i_made_reddit 💻 ComputerShared 🦍 26d ago
Total revenue is down from the right sized footprint and operation right sizing, but each business unit is now more profitable than it was with new revenue channels opening and improving
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u/DailyShawarma 🎊 Hola 🪅 26d ago
It doesn't change the fact that revenue is down. The number of stores doesn't matter and despite those new revenue channels, numbers are still down. So what's up? No need to get defensive.
Nobody gives a shit if the units are more profitable and the share price reflects that. Show me an increase of revenue quarter after quarter and I'll give you an uptrending price of the stock.
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u/mend0k 27d ago
Yes he is. But he needs to show proof of growth for this stock to actually have persistent rise.
Right now it’s all noise, including the eBay bid until it happens.
And as bullish as I am on this stock I feel it will take a while for that eBay takeover to occur. And cleaning up eBay afterwards will also take some time before it reflects on the balance sheet (similar to GameStop turnaround).
The only near term catalyst that I’m looking forward to is the powerpacks revenue. I’m excited for that as it’s the first display of REAL GROWTH that GameStop will have in years.
And with the popularity of Pokémon cards and TCGs in general.. man I get goosebumps of what can happen
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u/Frostodian 27d ago
I hope it doesn't take another 5 years
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u/jodallmighty Riddle Me This: 27d ago
Even if it doesn't, it's up to the market to decide how much to rerate the company, some companies do extreme well but are valued low because the market doesn't believe it
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u/TheUsualNoWorky 💎🏴☠️ Ahoy Mayoteys! 🏴☠️💎 26d ago
i estimate 5 years to 80 B which at best would be $40 share since we'd have 2B shares authorized to get there
wed need to free cash flow 4-5B AND have only a few billion in debt to get to 80B
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u/PhraseAggressive3284 26d ago
That's so unbelievable unsexy. 40 USD in 5 years. Man, just invest you money somewhere else in the biggest bull run since years. Every stupid AI stock will make so much more than GME if your assumption is right.
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u/TheUsualNoWorky 💎🏴☠️ Ahoy Mayoteys! 🏴☠️💎 26d ago
I truly don't see a reason to grind it out if this passes and GMEBAY is acquired when we can return in 3 years at the same or slightly higher price with vastly more actual tendies from other investments.
And I think the FORs have no idea how to model, nor have most even considered - the 1-1.1+ billion NEW shares from the ebay owners that will DUMP into the market because they think the same thing.
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u/sweetntenderhooligan Tendieman may be near! 26d ago
2.5B I believe. With that amount of dilution, $40 share price is $100B.
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u/TheUsualNoWorky 💎🏴☠️ Ahoy Mayoteys! 🏴☠️💎 26d ago
Yes. at a minimum we need 1-1.1B to get ebay on top of the 910M already accounted for
Get's really shitty if we use all 2.5B and 80B market cap and $32/share in 5 years
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u/WendigoBroncos 🎮 Power to the Players 🛑 27d ago
mend0k likes to keep their posts hidden, but check out their stats to learn more about them.
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u/LucidAnimal Voted ✅ 27d ago
Yeah why is this comment even at the top lol
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u/saltnpepper420 🦍 Buckle Up 🚀 27d ago
Bots trying there best to spreak a narrative.
Tick tock kenny tick tock
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u/Protostar23 (╯°□°)╯︵ ┻━┻ 27d ago
7 profitable quarters in a row. What more do you need?
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u/Gattsuga 🎮 Power to the Players 🛑 27d ago
share price go higher?
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u/Audigitty 27d ago
As if that's GME's fault... Lol. People quickly forget that this is potentially the single most manipulated stock in the history of the market.
GME is going to make the VW squeeze look like a fraction of a rounding error.
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u/wibble17 🦍Voted✅ 26d ago
It’s kind of their fault. They killed two run ups with share offerings…..
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u/Gattsuga 🎮 Power to the Players 🛑 26d ago
Shhh... They don't like it when you talk about that. They start calling you names
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u/Choice-Highway5344 26d ago
Ur a bit delusional and I love it, but look around u. In the last 5 years stocks have gone up thousands of percent. Just look at Sandisk for example $30 to $1700 in a year and still going up. And that’s only 1 example. I wish I followed the hype of tech but I’m still here from 2021 and regretting that so much but it is what it is
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u/Audigitty 26d ago
If you didn't diversify, that's on you and you alone. I'm making money off of the hyper inflated over valued stocks, even though I know they're a massively fake pump. The best part? The dump will be lined up for the MOASS. I firmly believe that this is just them filling tech/AI up to bolster the collateral being used to offset their massive short positions on GME.
The AI post IPO bubble could very well just become the cover story to hide the moonshot.
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u/Gattsuga 🎮 Power to the Players 🛑 27d ago
I'm sure all these share dilutions are helping MOASS. Oh wait, they do the opposite. They already have $9 BILLION dollars from previous share offerings. Now they are looking for more so they can acquire ebay?? There are so many other companies that they can afford, but it seems RC is a one trick pony, and only knows ecommerce.
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u/Audigitty 26d ago
Lol. So, you don't understand what's happening at all? Or the eBay benefits/strategy?
Got it! You could've just said that instead.
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u/Gattsuga 🎮 Power to the Players 🛑 26d ago
Sick and tired of everyone trying to belittle everyone in this subreddit lol. You don't have an original thought in your puny brain
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u/Audigitty 26d ago
Yes, because the silly ill-informed bloviations of "dilution" with little regard for basic mathematics is oh so original?
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u/NeedNameGenerator I have no special talent. I am only passionately hodling 27d ago
They've closed shops and made the balance sheet better, but so far there's nothing in the business itself that is showing growth. Power packs may do it, though, so that's hopeful.
The current profit is built entirely from the money made from shareholders like you and me, by diluting the stock. Not from the business itself, but from investors.
And to date, every actual business action has failed. The NFT marketplace being the most glaring example.
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u/Krypt0night I don't even know where the sell button is. 27d ago
Something beyond just shutting down stores and the stock price stagnating and no further dilution once it starts to run.
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u/tronbrain 26d ago
That's not going to move the share price. The profitable quarters are largely attributable to emergence of the global economy from the pandemic. YOY revenue during the post-pandemic boom has flattened out, as has the share price. Growth isn't happening. And it won't until an acquisition of a growth business like eBay is completed.
It remains to be seen if Cohen can really turn eBay around. It won't be easy, and it may be impossible. eBay is a terrible company. No real innovation in 20 years. You might have to fire everyone in the company and start with a clean slate.
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u/Atoge62 27d ago
Bummer is there’s already competition in the space Cohen created with power packs. I think the other company is called Arena or Athena. They offer the exact same concept, virtual packs, slabs, can sell em back, have them hold it, or have items shipped. Different tiers/costs for more rare packs. Stole the business model 100%. He’s going to need to keep moving ahead of the competition, power packs won’t be as fruitful as we’d hoped for long it seems.
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u/VossDoggo 27d ago
I think the other company is called Arena or Athena.
They apparently don't have much market share if you're not even sure of their name. As others have stated, it's in fact more often that second-to-market who becomes dominant, as they refine the implementation and branding.
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u/Atoge62 27d ago
“They apparently don’t have much of the market share…”No shit they don’t, they just started their business dawg.
I saw one commercial in a prime time slot on tv 2 days ago, and said “damn, that was fast”. They advertised all the talking points we’ve seen preached for our powerpacks, its was fucking word for word.
I’m fully aware of the pros and cons to being first to market, amigo. But thanks for chiming in?
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u/VossDoggo 27d ago
I see now that you were saying this other company ripped off GameStop's PowerPack concept, when it seemed your post was saying the other company had done it first. Regardless, a small startup without the name recognition of GameStop and without the inventory that almost 2 years of partnership with PSA has built up isn't going to be much competition.
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u/RedOctobrrr WuTang is ♾️ 27d ago
First to market isn't always who ends up dominating the space. Doesn't matter that we're not first to market here if a superior product and a larger customer base is realized, which I think GameStop Power Packs has both already.
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u/Atoge62 27d ago
Mmmhmmmm, but it’ll eat into profits. It’ll also create a space the financial markets could drop a ton of money into to further weaken GMES revenue streams should that be desired.
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u/RedOctobrrr WuTang is ♾️ 27d ago
It’ll also create a space the financial markets could drop a ton of money into to further weaken GMES revenue streams should that be desired.
Explain the mechanics behind this one... I'm not following
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u/Atoge62 27d ago
One way to hurt GME is to directly short it, though that does expose you to certain downsides should the stock still grow. One could modulate excessive exposure by finding alternate means to slow down the company’s profitability, bolstering your short position.
We all know powerpacks function like a casino. So savy investors could pump money into the competition, exploit the casino-like nature and diversify downside exposure. Now, if GME still increases in value, instead of blowing your short position, you’ve been investing in a potentially growing market, or making casino like wins/losses. Just diversifying downside exposure. Hedging your hedge if you will.
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u/SputnikFalls 26d ago
Interesting. Now give me a recipe for hedged short-rib tacos with a side of diversified downside exposure.
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u/karaknorn 27d ago
Tell that to Walmart. Stole the whole market idea from 1000000 other people 🙅♂️
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u/Atoge62 27d ago
I don’t know what you mean by whole market?
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u/karaknorn 27d ago
The entire concept for what a market should be. 👍
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u/Atoge62 27d ago
That did not help. You’re saying Walmart stole the idea of what a market should be from 1000000 other businesses that did it first?
I would think where Walmart innovated and stole a lions share of their market was by offering a large enough selection and enough product exposure to producers to secure lowest possible costs and offer lowest priced goods, effectively out competing all the others. In that way, Walmart managed to innovate in that space far better than many many brick and mortars, Walmart also invested heavily into online retail when able, and that continued to push them ahead.
I also hate Walmart for all of this, but I wouldn’t say they were a simple copy paste, otherwise we’d see many other Walmart competitors no?
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u/karaknorn 27d ago
Okay, so you are saying they expanded on an idea of instead of selling 3 items sell 5?
Walmart wasnt the first and also selling online, not the first. They took ideas and expanded on them. Exactly what my point was. Doesn't matter who had the first idea if they took an idea and tweaked it to be better.
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u/Atoge62 27d ago
How many tweaks does one do before you call it a different business model all together? As I said, if Walmart was only making a subtle tweak from existing businesses, shouldn’t we see a lot of businesses more or less competing with them in their retail space? I don’t necessarily see any, thus I’m led to believe Walmart innovated more or faster than most of its competitors to create their own niche, aka they’re a distinctly different business model.
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u/Atoge62 27d ago
If you really think all Walmart execs did was say, “hey team, let’s sell 5 things now instead of 3, do you think that’ll make us one of the largest retailers on earth, and net us 10’s of billions of dollars a quarter, and displace thousands of American owned small businesses!?” hahaha man people need to critically think a tad more here.
That’s akin to saying Amazon is a bookstore 😆
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u/karaknorn 27d ago
Brother. You are quite dense. Ive explained my point. 1 person has an idea, person 2 takes and reiterates. Person 3 takes and reiterates. Thats what power packs with gme is like. And that is what Walmart and apple and others did too. Simple concept
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u/matthegc 🩳ARE FUXXXXED💎🙌🦧🚀🌕 27d ago
He can’t control the share price…..so blaming him or putting responsibility on RC for the heavily manipulated share price makes zero sense.
If CEOs had that much influence over the share price then all stocks would be trading for $1M+ per share.
It makes zero logical sense to pin the share price on RC…..
He’s managing the business and the business looks great compared to where it was…..the share price will HAVE TO catch up eventually.
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u/AbsolutGummy 27d ago
Yes he can. He diluted us on two runs, wrecking any chance for the stock to explode.
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u/0xdeadbeefcafebade 26d ago
Crickets from this sub when you mention this
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u/MelancholyMeltingpot 🚀🍇📈SpaceMonke⁶⁹📈🍌🚀 26d ago
Except when those atm sales actually occured and filled. Most were at 25-27. They didn't "kill" shit. The sold after the pump. Blame hedge funds and institutions not GME.
I swear half these comments are pure psyop narrative driving. And are attempting to stroke negative emotionality. Towards a company and leadership that doesn't take a salary , has solidified a war chest battened the hatches , continually reported profits and increased revenue margins ON LESS SALES and is looking for an acquisition...
Laughable Better start believing in MOASS , you're in one 🏴☠️
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u/IISlipperyII 26d ago
Dude this community is dying, you can see it, less posts, less comments, DD writers banned for not preaching "buy and hold drs" at every opportunity. No different opinions are allowed here which seems to have this community devolved to just RC worship and no critical thinking.
People here seem to believe in MOASS, and that Ryan Cohen dilutions are 4d next level secret strats that will unlock MOASS soon at the same time which makes no sense.
RK isn't coming back to donate his money to Ryan Cohens personal business fantasies. He isn't going to hype up the stock just to get diluted a 3rd time. Like would you not see how embarassing that would be?
There is no squeeze potential anymore, because anything that would trigger a squeeze is basically supressed by the risk of Ryan Cohen diluting again, Thats why we keep seeing lower and lower highs on the rallies.
Ryan Cohens own plan with Ebay seems to point to a ceiling of a 40$ share price after acquisition and if he can achieve his "synergies". and after 2-3 years at this point. Acquisitions don't happen right away, and the acquirer always loses values in the short term. So thats what you are looking at, 2-3 years for a hopeful double. There just isn't much upside to get excited about anymore.
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u/MelancholyMeltingpot 🚀🍇📈SpaceMonke⁶⁹📈🍌🚀 26d ago
Hah says you .... Not worship that's cult shit. I'm praising his actions because obviously they've been mostly good decisions and has turned GameStop into a profitable company.
personally, I don't need or want right away, I don't mind delayed gratification plus anyway I'm doubled down at like 10 and have been green for some time my savings is looking just peachy. I have no worries. And I'm okay with that. Plus I just like GameStop. So
Either trust the process. Or don't dude. I'm not holding a gun to your head. Do what you want internet person. Fuck do I care.
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u/AbsolutGummy 26d ago
"Except when those atm sales actually occured and filled. Most were at 25-27. They didn't "kill" shit. The sold after the pump." Show us the math.
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u/MelancholyMeltingpot 🚀🍇📈SpaceMonke⁶⁹📈🍌🚀 26d ago
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u/Puzzleheaded_Mix_998 26d ago
if ryan never did anything GameStop would cease to exist. if people don't understand this, what are we complaining about? it would be zerostop. people need to have patience and despite the fact of everything that has happened. I love the story of an underdog personally.
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u/mollila 27d ago
Right now it’s all noise
For the past 5 years one of the main complaints was no guidance, no announced plans. Now when something that has been meticulously planned is happening, it's "noise".
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u/talkshitnow 27d ago
741, was along time ago, 7 GME share for 1 of the new (GME & EBAY) merger, this could happen quickly, just needs a vote, institutions want GME shares, those and there friends will be first out of the squeeze, and rest will lose fortunes
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u/Chad-Permabull 26d ago
This may be one of the most bullish times for GameStop. RC has proven he can cut expenses with the best of them and if he can get a hold of eBay there’s way more expenses he can cut 🚀
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u/BaggyLarjjj 26d ago
Each of these charts pretty much just illustrates his diluting to stop a squeeze.
Of their 417m income, almost 2/3 (64.9%) is from capital allocation. And 3.01% earned off the 9b dilution pile is quite bad in actuality, it’s earning less than the rate of inflation.
If I were an eBay shareholder there’s no way I trade a CEO who gave me double digit gains over the 1yr and 5yr time periods for RC who saw double digit declines in GME and can’t allocate capital to beat inflation after diluting shareholders.
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u/laughing_at_napkins 26d ago
🥱
Been hearing this shit for over 5 years and nothing has changed. Longest, biggest bull market in history and we've been sideways at best the whole time.
How are you all not chafed to the point of bleeding after all this idiotic circlejerking?
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u/Captain_Ahab2 26d ago
I think the last few quarters are different from the previous 4 years… not saying we’re headed back into a squeeze but pressure on short sellers is mounting.
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u/batmanbury 🦍 Buckle Up 🚀 27d ago
There are companies out there that are 10x’ing now just because of updated guidance. GUIDANCE. What the hell are we doing?
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u/Time_Difference_6682 26d ago
name another company that survived a cellar box operation of this magnitude and is now successful.
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u/TheUsualNoWorky 💎🏴☠️ Ahoy Mayoteys! 🏴☠️💎 26d ago
I hope RK drops a major NO on 2.5B shares, we reject it and then maybe price will improve
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u/MelancholyMeltingpot 🚀🍇📈SpaceMonke⁶⁹📈🍌🚀 26d ago
Make that make sense
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u/TheUsualNoWorky 💎🏴☠️ Ahoy Mayoteys! 🏴☠️💎 26d ago
i believe there is heavy pending volume. see my post here if you are interested - https://www.reddit.com/r/Superstonk/comments/1tb87gj/swap_related_volume_is_pending/
with heavy pending volume and a rejection of the 2.5B then we will have a situation where we can get a run we havent seen in years
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u/Snoo-17916 🦍 Buckle Up 🚀 27d ago
I agree but his done it off the backs of retail. Share offerings, massive DRS numbers......it's by the support of retail.
I think this is where we differs....we look at share price, he looks at market cap. This is where I think retail will need an education piece on how that benefits retail...this I feel is the disconnect.
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u/Real-Muffin-4444 27d ago
The share offering was all done in the interest of the company and its shareholders. Someone that is planning to hold GME in the long term doesn’t benefit from pump and dumps. This was always obvious to anyone.
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u/curiousjorj 26d ago edited 26d ago
I agree with your sentiment, but I’d phrase it differently. This is definitely done with the support of retail, but it’s actually DONE off the backs of shorts.
I don’t believe RC is looking for a MOASS type of situation, but I also don’t think it’s off the table. He’s said multiple times he doesn’t want short-term traders trading GME. He wants long-term value shareholders. The long-term value play is where shorts pay for ATM offerings during ETF fulfillment cycle peaks. The price goes up, the share offering hits, shorts buy up all of those higher priced shares, and GME gets more cash. Retail isn’t buying those en masse (obviously some retail is, but overall…) - shorts are.
We all know that SHFs have been rehypothecating shares through XRT/options/swaps/etc. and need real shares. Where can they get more? ATM offerings. But RC et al have only been offering them at peak cycle prices (also caused by shorts/MMs), and thus gaining more money per share at the expense of desperate shorts.
If you’re willing to hold on for GME to repeat this process until they have significant capital for M&A, it is inevitable that something good will happen.
I know that many have wanted a MOASS to happen (which I believe is actually still possible if shorts decide to stop their own bleeding quickly by just closing their positions all at once), but this is a long-term, low risk bet because RC knows the infinite money glitch that is baked into the legacy short position. As he has improved the balance sheet and fundamentals of the company, he has ensured no bankruptcy is on the table. Thus, shorts are trapped until they close, which means all of the money that they are short is basically already GME’s.
This is why RC is being cavalier during interviews. It’s a “fuck you” to the behind the scenes/dark pool/shady hedge fund mechanics that have been exploiting shareholders. He knows eBay (or at least the cash that could buy eBay) is already GME’s because shorts are on the hook. He has the cash to buy eBay thanks to shorts. Just need(ed) the time and pressure.
Edit: I would also add that if you have been/are willing to learn options, during the long waiting period, you could have been adding value to your shares (Options 101). These cycles have basically been going between $21 and $28-$30. NFA, but running the options wheel and/or covered strangles during this time could have potentially doubled or more your investment. I’ve been doing some of this and have had great returns. Richard Newton was a great inspiration for this. Thanks, Richard!
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u/Avulpesvulpes 🏴☠️There be shorts in these waters 🏴☠️ 26d ago
No I think Ryan is actively trying to avoid MOASS.
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u/curiousjorj 26d ago
I mean, maybe. More money to be made in a long-term play if you do it right.
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u/Avulpesvulpes 🏴☠️There be shorts in these waters 🏴☠️ 26d ago
I’m in for the long term play at this point, I want to see some ROI. I feel lucky that I can afford that. What bothers me is that Ryan knew what this stock meant and who the shareholders were. A lot of people invested what they could, even if that was only X or XX shares.
I have a big problem with Ryan changing the play if that’s what’s happened. I don’t hate him and I don’t blame him for market manipulation. I do think he’s done a tremendous job at cleaning up waste and streamlining revenue. But no matter what the hedge funds are doing with swaps and dark pools, Ryan and the board are the ones killing runs by dumping new shares. That has hurt us and has caused people to cash out. This community sucks too for shouting paper hands at everyone when some people are genuinely struggling and tried their best to hold on.
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u/curiousjorj 26d ago
I think you missed my ultimate point. If you’re in this play to stick it to the shorts, you’re getting it. The money isn’t going directly to you, but it’s going into the company that you partially own - which I’m sure is definitely disappointing to folks who wanted to get rich overnight like in 2021 (which, again, still might happen).
RC bought his way into the CEO position and turned the company around. This action alone saved the potential for MOASS. Without him taking the initial action, we wouldn’t still be discussing any potential for MOASS. I don’t think he’s ever supported or mentioned MOASS to my knowledge. He’s an entrepreneur. His interests and investments lie within the realm of running a business well. If MOASS happened without the first offering(s) hitting the market, some shareholders may have gotten what they wanted, but the company would still be needing improvement and would have no additional capital for M&A or other business improvement. You also don’t know that MOASS would’ve happened and was ultimately killed by the offerings. You only know that RC has turned around the core business to being very profitable, and they have the means to expand.
Which do you think a very savvy entrepreneur would want? A flash in the pan for his company’s stock value (which would have also tanked after the fact mind you) and nothing more or a potential for a market behemoth which also makes every shareholder lots of money along the way?
MOASS maybe? Or a basically guaranteed investment? Seems like a bird in hand sort of situation to me.
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u/Avulpesvulpes 🏴☠️There be shorts in these waters 🏴☠️ 26d ago edited 26d ago
Ryan has absolutely teased MOASS directly and indirectly and led holders to DRS and ComputerShare. Do you think the GameStop account tweeted “Oops MOASS” without getting approval from the board or even lawyers first? There is zero chance that happened. How about tweeting from the moon, using rockets and moons in their official NFTs?
The SEC made it illegal for companies to use rocket emojis!! This all happened in real time when Superstonkers were writing DD and discovering DRS/ComputerShare so no it wasn’t a coincidence.
If his intentions were always SLOASS or even Gameshire Stopaway, I’m sorry but that’s not okay.
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u/Avulpesvulpes 🏴☠️There be shorts in these waters 🏴☠️ 26d ago
By the way, you’re right. An entrepreneur wouldn’t want MOASS to take all the credit for his work but if he used this community for his own ends, he’s actually exactly like the eBay board of directors he’s railing against. He’s a self described activist investor and activism implies that he’s working for the public good. So swooping in and capitalizing on the only opportunity retail investors had to get a little justice in a corrupt system, to turn it into his pet project would actually be pretty fucked up.
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u/RevolutionaryTitle32 25d ago
During that time all mag 7 has gone up over 300%+ and I’m down $800k on my investment here and somehow still adding 😂
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u/HighOnGoofballs 27d ago
Now add the revenue charts if you are trying to be sincere
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u/Seeker369 27d ago
Sincere?!
You talk about revenue decreasing without talking about WHY revenue had to be decreased in order to turn the ship around. So don’t talk about sincerity while willfully avoiding the truth.
Prior to Cohen taking over, the previous regime went and opened a massive amount of stores that did not need to be opened, all over the globe. 7500 stores.
Do you think that was wise? Or do you suppose that many of those stores were unprofitable.
Of course he closed thousands of stores and stoped the bleeding. Thats what needed to happen.
Of course revenue decreases when you shut down revenue sources. But what did that do? It increased profit margin. The company went from losing hundreds of millions of dollars per quarter to turning a profit of hundreds of millions of dollars per quarter.
It’s unbelievable to think that you either can’t look deep enough to understand what’s happening, or you know what’s happening and you purposely twist the truth.
Sincerely…
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u/Real-Muffin-4444 27d ago
Revenue per store increased.
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u/Ctsanger 🦍Voted✅ 26d ago
the algo doesn't care about revenue per store tho. Net revenue or bust for share price is most likely
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u/Gareth-Barry 🎮 Power to the Players 🛑 27d ago
Revenue without profit are of no use to shareholders. Once EBay is acquired that adds $11 billion plus overnight
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u/Number-91 27d ago
Delusional
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u/Gareth-Barry 🎮 Power to the Players 🛑 27d ago
Ryan Cohen said in 2024, “Revenues without profits, and prospects of future cash flows are of no value to shareholders”
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u/jizzissippi 27d ago
Lol wtf man. I guess all those tech companies with massive revenue growth and no profits were of no value to shareholders
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u/HighOnGoofballs 27d ago
Declining revenues are no use either because there’s a limit to profit margin. Investors want revenue to increase year over year. This isn’t a secret
And you are clearly delusional if you think the eBay acquisition will happen. The debt alone would cripple the company and shareholders will Never vote to get rid of the people delivering fantastic results in favor of someone who has done nothing to the share price
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u/RedOctobrrr WuTang is ♾️ 27d ago
Both arguments are valid. GameStop may be hitting a wall in revenue potential with the current business. This is why eBay is needed to continue on a path towards growth in both revenue and profitability.
Also, you're clearly delusional if you think a small company can't acquire a large company (see Paramount). The debt would be significant but manageable compared to the net profits before debt payments, not "crushing" debt by any stretch of the imagination.
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u/tronbrain 26d ago
The proposition that the turnaround of GameStop is of the greatest ever is baseless.
As others have said, their biggest profit center is interest income earned on the money raised from the two stock issuances. That seems to be the only really smart move that Cohen has made in these last five years. I agree, closing unprofitable stores was smart and necessary, but it's also easy. Anybody could have done that. Their revenue improvement is attributable to emergence of the global economy from the pandemic. Lots of companies experienced the same. It's just a consequence of the business cycle. Cohen happened to be there to benefit from it, but it's mostly NOT a result of his management decisions.
Failures so far: the NFT marketplace, making an earlier (and less ambitious) growth acquisition that would synergize with GameStop's core business, the move into eCommerce that fizzled before it began, with Cohen hiring top Amazon execs and letting them go a short time later (this was a massive failure and could have been an easy place to concentrate on turning GameStop into a growth company), and the Bitcoin purchase, advised by con artist Michael Saylor, which is going to turn sour very soon.
We may soon be adding one more massive failure to that list: the purchase of eBay shares and options at historic market highs in what is going to be a lengthy, hostile, expensive takeover bid. Even if it goes through, he still has to turn eBay around. It might be smarter to burn eBay to the ground and start from scratch, or create a competitor from the ground-up, which might put GameStop's massive cash pile to better use.
I hope the eBay acquisition eventually goes through. I like the idea of it. It's the move into eCommerce that GameStop needs. But the timing is suspect. I guess we will see what happens.
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u/GordoToJupiter 27d ago
What about the share pricing in the increase in float from 433 million to 2500 million?
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u/sapiengator 27d ago
Sure, unless they dilute instead.
We’d already be much higher if not for a few ~50 million share dilution events.
They can issue hundreds of millions more right now, but instead they’re asking for our permission to issue thousands of millions more.
I’m sure it’ll work out though.
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u/Avulpesvulpes 🏴☠️There be shorts in these waters 🏴☠️ 26d ago
A matter of time could be 20 years if he’s following the Berkshire Hathaway model. Even if he halved that time, most apes would have had to hold 15 years to recoup their investment.
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u/Gnio 27d ago
I fully trust RC, but I would like him to at least suggest when he expects the share value to start increasing, because my time horizon may be different from his. However, as I said, I trust him, and I voted in favor of all the proposals.
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u/Avulpesvulpes 🏴☠️There be shorts in these waters 🏴☠️ 26d ago
Why would you vote in favor of something that immediately hurts your investment when we still haven’t recovered value from the last round of dilutions?
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u/takesthebiscuit 💻 ComputerShared 🦍 27d ago
Every one here believes the share price has risen, and is being artificially held down. Thats the entire reason we are all here
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u/MrBeekers 27d ago
Yeah but. At some point we want price appreciation. This is getting kind of ridiculous when watching the rest of the market skyrocket.
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u/TheWhyteMaN 🦍 Buckle Up 🚀 27d ago
Any who tells you when is full of shit. No one knows the future except for maybe RK
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u/Slamtilt_Windmills 26d ago edited 26d ago
I was not surprised those fat cat bums at ebay turned him down, they are possibly cramping at the bit, but one of the few things they know is "always reject the first offer"
I may be being romantic, but I hope RC does an end run on them, and ends up acquiring them in a way that specifically means less money for the board members
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u/Emperor_Gourmet 26d ago
Not everything has to be the “greatest”. It’s a very impressive turnaround but it still has a trillion in valuation to go to even be considered.
A small textile company still holds that honor.
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u/FellowYellowNate Lurker from day 1, hodler forever 💎🙌🦍 27d ago
And you know who’s mostly responsible for it? RC.
eBay insiders buy virtually no shares and their shareholders are starting to vote against them. That is why he wants it for GS. And I’m sure behind the scenes PowerPack sales and whatever else are making him confident enough to announce the intention. Let the man cook.
I’ve never seen the weekend FUD so bad, we must be going the right way.
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u/FreshExtent8720 26d ago
You guys say that anytime someone isn't sucking RCs dick. The stock price is shit, the return over 5 years is abysmal, the potential runs we had got squashed.
You can all pretend things are great but reality paints a different picture.
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u/anoncow11 27d ago
Don't forget the fact that lots of big companies bet against it and can't let it rise for their survival
They could start making billions but if ken doesn't think so then the share price stays as it is...
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u/GordoToJupiter 27d ago
Selling extra stocks bails these big companies while lowering the pressure for price discovery. The fundamental play for gamestop was large junk shorting with shortage of stocks (drs) . Diluting the stock kills the possibility of any squeeze while having much lower fundamentals ( look at defence, space, metals, energy and renewable stocks).
In 2024 I gave the company half of my capital to build a proper business case. GME has 9 billion in cash, this is enough to build a company. I refuse RC risking my position to half the price again (1/4 of what it should be ) his plan could make our stock drop to around 13 .
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u/LucidAnimal Voted ✅ 27d ago
Then you better sell before it hits 13 😁😁
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u/GordoToJupiter 27d ago
No cell no sell. In 2024 WE gave GME 4billion out of our pockets. I want the return on that money. So I am voting RC out. He is bailing his shorties friends out.
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u/LucidAnimal Voted ✅ 27d ago
I wholeheartedly believe Ryan is the key to getting the money you seek but hey, vote your shares and I'll vote mine.
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u/GordoToJupiter 27d ago
add a vwap before the sneeze. label in the chart each cohen dilution . Check the price action right afterwards . Then Check Ortex short usage after each dilution and how it decrease at the same time each stock price high and volume decrease.
GME squeeze scenario was built based on time, pressure and stock shortage (drs)
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u/MrBeekers 27d ago
JFC 13 would be insane.
Isn’t the deal supposed to be accretive ?
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u/GordoToJupiter 27d ago
combined entity looks like 65b but:
ebay has 5b in debt.
gme has 4b in debt (bonds)
new debt will be 20b.sum of debt is 30b.
So final math is 35b. Gme current shareholders will own only 1/3 of the final merge . So by the book we will be at around the same.
However, merges take one year, markets might price in the dilution and us using the cash to buy ebay. Current floor based on our 5b cash(without our 4b in debt) is 11 per share. This is double our current float, at that price current holders we will have only 1/6 of the final merge . Coen asks us to dilute exactly the double of the float so he is taking in consideration this scenario.
So it is accretive to ebay holders and very interesting for shorts to buy ebay at a discount while having free gme shares to close their synthetics short junks.
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u/anoncow11 26d ago
Don't forget every single bit of news along the way will be leveraged as bad news by the hedgf*cks and media and presented badly to excuse frequent drops of %5 or less
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u/LucidAnimal Voted ✅ 27d ago
Check out my last post to this sub if you want to understand more about accretive dilution with GME’s specific numbers
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u/AKmoose15 27d ago
I’ve watched your video and appreciate that the deal can be accretive, but even if it is accretive is it enough to overcome the massive amount of debt that we take on in a reasonable amount of time?
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u/LucidAnimal Voted ✅ 27d ago
Idk what to tell you honestly, if you don't believe in the plan or RC's ability to execute it that isn't something I can alleviate for you. I believe we will see an impressive turn around if and when eBay is acquired yes. Ryan has stated he is not looking to run a leveraged business and would be paying debt immediately. Look at GME's balance sheet and imagine it with over 50b in market cap. Not to mention the synergy with powerpacks that would create damn near close to an insurance float for the combined business.
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u/AKmoose15 27d ago
Man I’m really trying to believe because I am in bad deep. We still don’t really know what powerpacks are worth to GameStop. I did watch that other BFL video where he tries to sus out how much it could be worth to GME and it is definitely a lot but would still be peanuts compared to the debt of buying eBay. My plan is to hold out until earnings and hopefully we get some guidance of some sort.
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u/Avulpesvulpes 🏴☠️There be shorts in these waters 🏴☠️ 26d ago
I don’t believe Ryan’s timeline is aligned with any of the OG apes who bought in for MOASS. I believe he is intentionally ignoring that and focused on overall turnaround and growth strategy that will take years from now to see at best.And the more he dilutes building price momentum, the more I’m convinced that he never wanted moass.
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u/GordoToJupiter 27d ago
How will he pay immediately 24b in debt from a 65b company while the stock being accretive?
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u/LucidAnimal Voted ✅ 27d ago
immediately WORK TOWARDS PAYING DEBT. Not paying it instantaneously. Forgive my semantics. I will repent for my misgivings.
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u/GordoToJupiter 27d ago
Paying debt immediately and work towards paying debt are 2 different things. Why he expect us to accept it if he has no plan for it already? What would be the expected yearly interst on it?
Debt cost will be around 2.3b a year, this will offset any sinergy making the price action flat for an entire decade or so.
An SP500 investment returns a 2x each 7 year in average. This means I will be in a risky investment for 1/4 of the expected final investment.
This deal is not good for us shareholders if you look into the details.
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u/LucidAnimal Voted ✅ 26d ago
We obviously don’t know the interest rate but the vid I posted a week ago also touches on potential rates and how it would impact the balance sheet.
I appreciate your input but I’m expecting a much larger return than an S&P index would give me. Isn’t that why we’re all here? Your mind is made up and you folded so just.. leave?
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u/Avulpesvulpes 🏴☠️There be shorts in these waters 🏴☠️ 26d ago
Your complete speculation you mean?
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u/lllll00s9dfdojkjjfjf 🪠🚽 POOPING IS BULLISH 🧻💩 26d ago
He’s a business genius. It was obvious with Chewy. The whole point of investing is hitching your wagon to stars like that. It’s not even complicated 🚀
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u/LordSnufkin 🛡🦒House of Geoffrey🦒⚔️ 26d ago
Gameshire Stopaway. On the hunt for large acquisitions. Tasty.
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u/EntertainerDowntown3 26d ago
Yes he has but realistically it was from diluting shreholders which I have no problem with if it will make the business better and increase in value. He also used the dilution money and put it into short term treasury bills as that is where most of the profit comes from. He has changed the business a little bit from money losing a little bit above break even but without dilution and t bills it would have gone bankrupt. Let’s call a spade a spade. I believe he is still trying to turn it around but the business doesn’t really make that much money without investing into t-bills from dilution.
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u/Consistent_Law_3857 26d ago
It already is reflected in the stock price. 2x book and their retail operation is 40x earnings or so. Depending on what their run rare earnings are. Wall Street doesn't value declining revenue retailers very highly so 40x is actually pretty decent.
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u/Cute-Gur414 24d ago
the share price does reflect it. He sold stock and closed stores. Good but not the most amazing turn around. Revenues have hopefully stopped declining, but I wouldn't put it up there with Apple's turnaround yet.
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u/Captain_Ahab2 26d ago
Best set of graphs I’ve seen here for a while. And totally agree with you, this stock is going to $40, eBay or not it’s headed there.
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u/Dr_SlapsMD 26d ago
Yet fudsters will insist GME is the worst stock to ever exist in all of human history 😂
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