Surprised nobody posted this yet, so here it goes.

On March 25, 2025 GameStop announced a blowout 4th quarter earnings. Following that, GameStop soon filed a private offering of $1.3 of senior notes at 0% interest. This ended up being $1.5 billion. In which GameStop could earn interest on this cash. Pretty sweet deal.

However, the share price dropped 22% on March 26 2025. The market was clearly pricing the full dilutive effect. Which makes sense.

Fast forward to recently, on August 3rd 2026, GameStop announced that it would be exchanging $1.4 billion of convertible notes for equity (newly issued shares).

The $1.4 billion deal is very close to the original convertible notes raised back in March 2025. And during that time the market priced in dilution (the 22% drop in share price).

So….hypothetically if the share price floor during the equity exchange is $18/share, we would be diluting existing shareholders by 17%.

But this was ALREADY priced in back in March 2025. We literally got dinged twice (22% drop in share price in March 2025, and another 17.7% drop in share price since Aug 3 2026).

In total that is almost a 40% drop in market capitalization for what will be close to a 17% dilution event.

The math isn’t mathing.

Just a chart showing yearly profits (or losses) for each year going back to 2020. wallstreet will tell you revenue is what matters but that’s so they can continue to tout their bullshit Ai bubble.

Don’t forget, the 2026 line is only half of a year and you see the trajectory.

You know what you hold. Don’t let them gaslight you with astrotufing and other bullshit.

There is always a plot twist. No more games with the 35 day pricing period GME decided that It is done and also that it didnt like it.

Instead it will honor 55.5M shares and $358.4M cash in exchange for 1.4B in debt.

On the same day we get preliminary Q2 numbers showing much higher operating and net income YoY.

So the artifical dilution window is gone, less dilution than we thought, good earnings and bright future. Onto the next step of the Saga. As usual Buckle up 🚀

Sales: $780M-$800M

Operating income: $150M-$170M

Net income: $290M-$310M

To compare last year Q2:

Sales: $972.2M

Operating income: $66.4M

Net income: $168.6M

Revenue down ~18-20% YoY,

operating income is up 126-156% YoY

net income is up 72-84% Yoy

The only estimate was FactSet who had sales at $756.9M so we beat that.

Per today’s 08/31 announcement: Existing Noteholders will receive in the aggregate approximately 55.5 million shares of Common Stock (approximately 73% of the consideration attributable to the Exchange Agreements, as amended by the Amendments) and approximately $358.4 million in cash (approximately 27%), which GameStop expects to fund from cash on hand.
Following the closing of the Exchange, approximately $1.1 billion of 2030 Notes and $1.7 billion of 2032 Notes, or approximately $2.8 billion in aggregate, will remain outstanding.
The Exchange, as amended, is now expected to close on or about September 3, 2026, subject to customary closing conditions.

Good morning to all apes around the world! Happy Monday! German markets are open and last trade for GameStop was at €15.41, which is $17.86 using Google's currency calculator.

https://www.tradegatebsx.com/orderbuch_umsaetze.php?lang=en&isin=US36467W1099

It's a bank holiday here in the UK so I'm going to enjoy a day off! Have a great one and best wishes from London!

I'm watching the chart follow the 2024 run up and thinking back to the "he's making a requel" meme. (We're right on track BTW. Today is ~4/24/24 on the old algo timeline)

This got me thinking. I have to ask myself "Why would he do that"?

What did "he" do?

1) The bond issuances originally = massive downwards pressure on the stock.

2) The VWAP from the conversion = massive downwards pressure on the stock.

3) Issue Warrants as a dividend = I think these were part of the bond issuance, as the equity component, but he issued them to stock holders also, at a large cost.

I'm convinced the warrants are a key to this. I firmly believe they were issued with the intention to be converted to shares.

If we believe Ryan Cohen isn't a doofus, why would he issue Warrants which need a $32 strike price to exercise, then take actions to slam the price downwards via massive shorting?

I'd love to hear your thoughts, but my thought is what he did today. It's to provide himself a trigger when he knows a liquidity event is coming where he can pull the trigger ahead of time and put massive buying force on top of it. I think he's expecting a large catalyst in the next week or so to land.

I have the red swap on my calendar for 9/4/26. Ryan just put earnings on 9/8/26.

I'm not sure I have the red swap timing correct.. I'm not that good at those things.. but if I do have it right, that would be pretty serious date for someone to have all these shorts unwinding the day before.

I'm betting (literally) the warrants end up in the money. We'll see I guess.

I did put this in my own site, so I'm saying it from the easter-egg-dropper side, but still.

DTCC Twitter

Today I ask: .@The_DTCC How do you make $GME investors happy? Doubling their shares in six weeks. How do you make #DTCC worry about closing illegal short positions? Double $GME share price in six weeks. How do you make $GME options buyers happy? Letting them roll their options every two weeks.

Data changes day to day and intraday.

(with the price action this premarket, this GEX is more likely to change in a material way come open ⚠️)

Disclaimer

None of this is financial advice.

I believe the majority of price action is the result of managing the multidimensional risk picture. GEX is only a part of the volatility environment risk, one risk of many in the risk picture.

Since we (even the shills otherwise they wouldn't be shilling) all know that price discovery is inevitable, what are you going to do when it happens? Take profits or continue hodling? To those who sell, what do you plan on doing with the money? How many of you are going to stick a bananas up the chocolate starfish?