- GameStop (GME) shares rose 3.6% to $21.90 in extended trading after a 7% drop, driven by CEO Ryan Cohen’s purchase of 500,000 shares at $21.55, increasing his stake to 8.4% or 37,347,842 shares.
- Under Cohen’s leadership since September 2023, GameStop adopted Bitcoin (BTC) as a treasury-reserve asset and completed a $1.3 billion convertible notes offering, with an additional $200 million exercised this week.
- The board’s December 2023 policy shift, granting Cohen investment oversight, has fueled strategic moves like the Bitcoin addition, boosting investor confidence in the original meme stock’s evolving direction.
Shares of GameStop Corp. (GME) surged 3.6% to $21.90 in extended trading on Thursday, rebounding from a 7% drop earlier in the day, as Chief Executive Ryan Cohen bolstered his ownership in the videogame retailer. Cohen snapped up 500,000 shares at $21.55 each on the open market, pushing his stake to 37,347,842 shares – about 8.4% of the company’s outstanding shares – per an SEC filing. His move signals confidence in GameStop’s direction, a company he’s steered since taking the CEO helm in September 2023, a role that initially sent the stock soaring given his track record as the founder of Chewy Inc. (CHWY).
GameStop’s board handed Cohen broad reins in December 2023, approving a new investment policy that opened the door to equity securities and tapped him to oversee the portfolio, a shift that’s now bearing fruit. The retailer recently stirred investor excitement by adding Bitcoin (BTC) to its treasury-reserve assets, joining a wave of firms betting on cryptocurrency’s long-term value. Alongside this, GameStop wrapped up a $1.3 billion private offering of convertible senior notes last week, exercising an option to tack on another $200 million, fortifying its financial position as it navigates a volatile retail landscape.
Cohen’s latest buy and the Bitcoin pivot underscore a strategic overhaul at GameStop, blending his entrepreneurial flair with a modernized investment approach. The 3.6% after-hours jump reflects renewed investor enthusiasm, despite the day’s earlier 7% slide, hinting at the stock’s enduring ability to rally on big news. With 8.4% of shares now in Cohen’s hands and $1.5 billion in notes secured, GameStop is doubling down on bold plays – Bitcoin included – to redefine itself beyond its brick-and-mortar roots, keeping its meme-stock faithful on edge for what’s next.
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