On June 2, 2026, GameStop's board officially announced the approval of a new $2B discretionary share buyback program.
At today's $GME price of $21.70, buying back $2B in shares would consume approximately 22% of the entire public float.
Read that again, slowly.
Spoiler: GameStop isnβt planning to deliver *just* video games, collectibles, and electronicsβ¦
The $eBay acquisition by $GME will enable it to serve a massive customer base with all types of goods/products.
With an Uber partnership for distribution directly to customers, GameStop can use its stores for rapid fulfillment and offer near immediate same-day delivery.
If you close your eyes you can see it - a competitor to Amazon indeed.
The merger math isnβt really subtle at this point. But this is my attempt to simplify it for anyone still confused. Please keep in mind I am going off the original offer that was rejected and current known facts, both of which may and will change here shortly.
$GME has ~449M shares out with room for 2.5B. $EBAY has ~448M shares and 3.58B authorized.
Trailing, eBay earns ~3.2x more per share than GameStop (TTM: GME $1.34, EBAY $4.33). Forward, GameStop just printed $0.66 in Q1 (β$2.64 annualized) and guided FY26 EBITDA >$600M, while Ryanβs $2B cuts take eBay EPS from $4.26 to 7.79 (+83%).
On NewCo equity math, an ~$12B GameStop is bidding ~$56B for eBay at $125/share, half cash and half GME stock. That stock leg alone is roughly $27-28B of equity handed to current eBay holders in new GameStop shares, versus about $12B of preβdeal GameStop equity value, leaving legacy GameStop holders with ~30% of the combined equity and todayβs eBay holders with ~70% on day one.
On paper, that is 30/70. In economic reality however, GameStop is already long ~9% of eBay via stock and derivatives, so roughly 9% of that 70% slice is preowned by the same shareholder base, pushing GameStopβs effective claim on NewCo into the mid to high 30s before any buybacks, with a clear path toward ~40% as the combined entity delevers and retires stock over time post-acquisition.
GameStop is handing eBay shareholders most of NewCo on paper while quietly keeping a growing economic grip and eventually, total control on a much bigger EPS and FCF machine it is already long and can lever and buy back into.
If OpenAi went public and had a hostile takeover of Reddit , GME - > EBay style, the stock would go crazy.
thatβs a crazy idea .
You get βem @ryancohen π
GameStop reports highest quarterly net income in company history of $389.6 million. Highest first quarter operating income in GameStopβs 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.
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