Gamecock

#GME. Doubters will forever be in shambles when it happens.

[Gamecock @BenKWatson]

UK ape successfully DRS's warrants after weeks of failed transfers! Thanks for eventually locating them IBKR lol

[Ryan Cohen @ryancohen]

In general, when an executive gets paid millions of dollars and leaves a company in shambles, they should be forced to return the money

[Ryan Cohen @ryancohen]

Your Bell is safe. Your job is here when you get back. See you in February. 🇺🇸🫡

[Gamecock @BenKWatson]

@we_todd_ed1 @harryjsisson Slop

[Larry Cheng @larryvc]

ICYMI - GameStop News Last Week

1. Ryan Cohen withdraws CEO performance award to focus company on eBay

2. Ryan Cohen Announces $500M personal investment into eBay transaction

3. GameStop projects FY2026 Adjusted EBITDA in excess of $600M

#proud

$GME (full links in thread)

[The All-In Podcast @theallinpod]

Ryan Cohen: “Why Does Everyone Want GameStop to Fail?”

$GME CEO @ryancohen:

“The media is an example. Why is it that you've got a ($EBAY) management team with no skin in the game, they're not builders, they haven't built anything themselves before, they've basically just been employees at major companies, they’ve been overpaid, I don't think they've ever broken out a sweat in their entire lives, why does everyone want them to succeed?

But when you have someone that, and by the way, I'm putting $500M of my own money into this transaction, I haven't pulled a penny out of GameStop, and it seems like everyone in the media basically wants us to fail, and wants them to succeed.

And you've got a board that's making hundreds of thousands of dollars a year. They don't buy stock with their own money. They end up showing up to a handful of board meetings, and they're making a fortune. You've got a management team that is grossly overpaid, taking zero risk.

There's nothing more American than basically risking your own capital. So why does everyone want us to fail?

@friedberg:

“I do think that the media, in order to give you credibility, they're gonna have to acknowledge that all of their takes on GameStop just being a meme stock were wrong, and that there is actually a business here, and that there is value being created here, and that they missed that, and they got the story completely wrong.”

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[Gamecock @BenKWatson]

@MintBlitz Why does remastered Halo look like a Chinese clone of Halo?

[Cloooud |🇺🇦 @GloOouD]

HAHAHAHAHA I think almost everyone has seen the moment when, during the attack on Moscow, the lid of one of the oil tanks was literally blown off.

SO, IT WAS BLOWN OFF AFTER THE IMPACT OF A RUSSIAN AIR DEFENSE MISSILE NOT UKRAINIAN DRONE🤣🤣🤣

[Gamecock @BenKWatson]

@michaeljburry Time to re-enter long on $GME after their >9% stake in eBay @michaeljburry ?

[Gamecock @BenKWatson]

@l67134080 @Tendar Crimean occupation will become untenable once the Kerch bridge falls.

[Larry Cheng @larryvc]

The Ugly Teenage Phase of Profitable Growth

This is a phase that companies that were once high-growth, high-burn companies (that are typically transactional) go through as they try to get profitable.

Phase 1: You start with high revenue growth, high burn rate. Then you realize due to market conditions that you need to get profitable.

Phase 2: You drive for operating leverage:
- You cut operating expenses - inefficient marketing spend, headcount, etc.
-All out focus on enhancing gross margins - pricing, COGs, shipping, etc.

Phase 3: You focus on improving working capital dynamics.
-renegotiate with vendors, suppliers, manufacturers, etc. to enhance payment terms to improve cash.

Phase 4: You clean up the balance sheet
- Optimize inventory, renegotiate/refinance debt, try and solidify cash, etc.

During these four phases, revenue is declining YoY (sometimes materially) because you're comping against prior quarters with heavy marketing spend. This is why this is the "ugly teenage phase" - it looks ugly if all you're looking at is the top-line. But, there are usually good signs:

-marketing and sales efficiency is improving
-all opex lines are decreasing as a % of revenue
-EBITDA and/or OCF is growing

Phase 5: Revenue is declining YoY, but you have achieved profitability (EBITDA and/or FCF).

At this phase, you are still ugly to the world because revenue is declining, but the end of the teenage years is on the horizon.

Phase 6: Maintaining profitability and returning to YoY revenue growth by investing some of your own cash flow back into growth.

This happens typically in 4 steps:
-step 1: sequential Q/Q gross margin growth
-step 2: sequential Q/Q revenue growth
-step 3: YoY gross margin growth
-step 4: YoY revenue growth

The revenue growth comes from first from delivering real customer value and then:
-efficient marketing spend
-introducing new products
-expanding new channels
-reactivating churned customers
-pricing
-defending the base of loyal customers

The challenging part of this journey is the ugly period can last a long time. From Phase 1-5, you don't get much of any credit. It's not until you hit Phase 6 that outsiders will believe in the company again. But, those close to the company can watch as each phase is cleared and know that the company is going in the right direction. However, to be fair, until you get to Phase 6, you haven't reached the ultimate end goal.

**For the sake of clarity, this is a general observation across several different companies in different contexts many of which I'm not involved with. This is not an observation or prediction related to any specific company.

[Ryan Cohen @ryancohen]

not bad for a piece of crap retailer

[GameStop @gamestop]

GameStop reports highest quarterly net income in company history of $389.6 million. Highest first quarter operating income in GameStop’s history of $143.3 million. Net sales grew 14% year-over-year, driven by collectibles. Cash, marketable securities, digital assets and related receivables, and collateral pledged for derivative asset of $9.7 billion.

https://t.co/BAu3T6V9w4

[Ryan Cohen @ryancohen]

https://t.co/kVPvOobXU2

[Rich Bartuc @Furu_Bartuc]

@obelicks @gamestop I could barely believe it myself

Another 50,000 @ebay shares sold today

Ebay executives selling them as soon as they get them

[Gamecock @BenKWatson]

If Cohen buying up options of eBay exposes the >100% institutional ownership issue, and eBay squeezes...does that fully remove the narrative aimed at GME, when the market folds? #GME #Ebay

[The Witcher @thewitcher]

Medallion's humming... that can only mean one thing! It's time to announce The Witcher 3: Wild Hunt - Songs of the Past! ⚔️

This brand new expansion for The Witcher 3: Wild Hunt will take you to the Path with Geralt of Rivia once more. It’s being co-developed with @Fools_Theory and is coming to PC, Xbox Series X|S, and PlayStation 5 in 2027. Stay tuned for more information in late summer. ⏰

[Ryan Petersen @typesfast]

@ryancohen @mazul1s @flexport As I was saying

[GameStop @gamestop]

Take the deal

[Philip Proudfoot @PhilipProudfoot]

It costs more to build a train from London to Birmingham (£102.7 bn) than for NASA to return to the moon (£100 bn)

England is so broken.

[Ryan Cohen @ryancohen]

Talk is cheap, it takes money to buy whiskey.