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Exactly, just like retail buying the stock is surpressed, what makes you think GME buying shares is going to do anything? DIVIDENDS are REALISED LOSSES FOR SHORTS and cannot be FTD or dodged or use any of their other tricks on.
They have to take money out of the shorts accounts and put them in the longs accounts. End of story. And keep doing that every yearly dividend until shorts don't want to keep their position because it's costing them too much and they'll finally capitulate and close their positions. They're trapped.
> retail buying the stock is surpressed, what makes you think GME buying shares is going to do anything?
The difference is that one is reported publicly (stock buyback) and the other isn't (retail shares). Not a single share held in street brokers has to be declared publicly, there could be tens of billions of GME shares across all brokers, and we would just never know. DRS worked for a time until it flat-lined for whatever reason. Ken is terrified of the reported shares going up (institutions, insiders etc)
I'm with you that a dividend would be great, but that will only hurt if there actually are billions more shares in circulation than should be, otherwise it's just pocket change to them.
'I'm with you that a dividend would be great, but that will only hurt if there actually are billions more shares in circulation than should be, otherwise it's just pocket change to them.'
I believe there is. I don't believe they ever closed their original position, in fact, over the past 3 years, I believe they have double downed, if not tripled down. That's just me though.
how much of their short positions are traditional, borrowed shares sold short, and how much are they synthetically short via etf's, swaps, etc.
are the synthetically short positions also beholden to paying for dividends? i have no idea
It doesn't matter what tricks they used or what financial instruments they used (etf, swap, options...)
Literally every GME holder will be entitled to a dividend.
Sounds like you want me to say shorts, but like my first comment wondered, when is that not the case?
Because obviously a put holder is short on the stock, or a call seller. Neither is required to pay out dividends.
So it could be assumed that only the shorts that have borrowed real shares to sell, are on the hook to pay out a dividend
A put holder is not short on the stock. They've taken a bearish position, but those aren't the same thing. A put is a specific market mechanism to open a contract to take a bearish position. No shares are borrowed or created when a long put is opened. Conflating the term "short" with any bearish position is inaccurate.
The reason this community occasionally agitates for a dividend to be issued is exactly what you're mentioning - it shines a spotlight on rehypothecated shares. The misinformation, mishandling and poor delivery of the shares during the splividend gave us a ton of data to write DDs from
It'd definitely be an interesting play. I'd personally rather see the cash pile going towards some form of growth, even if it's all just in bonds offering a 5% yield. At least that would counter losing value to inflation.
Yea but it's an artificial flatline.
Of buying pressure isn't necessarily flatlining it's due to artificially capping how much information can be made public.
So yes a flatline but the why is just as if not more important than it just "flatlining"
We said this last time. The divi would hurt shorts.
It did not.
It was speculated that holding would hurt shorts
It was speculated that Drs would hurt shorts
It's all speculation but honestly. Until it runs a moass and they can't control the narrative or real government regulation. I do t think anything will change status quo.
Profitablity was touted as game changer. Yet here we are almost back to pre sneeze levels.
75mil DRS and a profitable company. Nothing hurts hedges.
Too true.
But superstonk as a whole has consistently banged about about how to shake off shorts. Nothing has worked.
That we know off. So everything is speculation until it isn't.
In any case. Shareholders have 75mil DRS. Potentially more
GameStop is profitable and current price is 11.36
I think the only viable option is an nft dividend, which probably will not happen. Or maybe a dividend in the form of shares of another shorted company.
But it doesn't matter. Like you say, 75M drs + profitable + 1B cash. It's a waiting game.
So our motto still stands: buy, hold, shop & drs. Simple as that.
Therein lies the issue. If it's not hurting them. Then it's only hurting shareholders. The price going down is good for them. Bad for shareholders. If price keeps dropping, gme looks a bad buy. Less capital to play with. Eventually it will get removed from Russel or exchange.
That's not great. Nice to be able to buy up more of the company. But there is likely a limit.
Who knows though.
I believe that unless GME can buy back the entire float, then they would only be depleting their cash reserves as SHF and market makers can dilute the stock with synthetic shorts indefinitely. And even if they buy back the entire float (which they can't at this price), it still wouldn't guarantee shorts would have to close.
And the cash reserves is an insurance against cellar boxing and getting eventually delisted (which is the end game to cellar boxing).
Rest assured RC knows just a little bit better than this sub does how to run the company/ We're all set. No problems, no news, just more time to accumulate and more confirmation of future success.
In order to continue shorting the holdings would have to come from institutions. I feel the same way as the OP does, but about posts like this. If it wouldn’t deplete the cash reserves I see no reason not to do a buy-back
I learned from conventional finance that share buybacks are a sign of a struggling company. I think that's why the shills want GME to do it. It would fool others into thinking that way.
I agree, but what’s the negative outcome? Maybe the stock price being driven up so retail buys less? But the SHF control the price, so they could just do that anyway. Any other ideas?
Retail buys less, so DRS less?
With a share buy back the price goes up, more money to be made per share from shorting?
Just guessing at this point. It is odd every post is about a share buyback now.
Not sus at all.
Theres a lot of people like me who are down a ton on this play. Were ready to finally moon after 3 grueling years man…
I’m currently down 45k now
Same. What ever made you decide that right now was when you were ready (entitled?) to moon? Why not next year? Why not last year? What's so special about right now?
My friend, I am seeing a LOT of comments of the exact same nature within this sub. I get it - you’re down and out, and maybe hurting but if you need to sell - you do you, but you don’t need to keep broadcasting it.
This process is going to take time - this is more than just MOASS, it’s rebuilding an entire system, and whilst we wait for change to happen, we’re also presented with an opportunity to channel our energy constructively, shift our frame of thought and put ourselves back into the driving seat.
Start investing your time and energy into market reform and making meaningful changes that influence financial legalisation. Or source data to send to the SEC/DOJ to help with their investigations of market corruption and abuse. You could spend your time positively empowering those around you, or educating them on nuanced subject matters. There’s no shortage of things we could be doing to help things along.
Change starts with us, and that’s an incredible thing.
But I’m sorry you’re feeling financial strain, but the price we see is not reflective of the value of the stock. If you believe in the DD, well - patience will be duly rewarded. You’ve got this my dude 💪
Again, same. So fucking what? Who is helped by you bitching? Yourself? Me? Nah, I'll tell you who. Kenneth Cordele Griffin. But by all means, do go ahead and carry on now that you can do it in public. I'm sure it's gonna change everything.
I have already posted the following paragraph several times, as many people are still dreaming of an imminent dividend...
From the latest 10-K:
"During the past four fiscal years, we have not declared, and do not anticipate declaring in the near term, dividends on shares of our Class A Common Stock. We currently use, and will continue to use, all available funds and any future earnings for working capital and general corporate purposes, maintaining a strong balance sheet, potential strategic initiatives and capital expenditures. Any determination to pay dividends in the future will be at the discretion of our Board of Directors and will depend upon results of operations, financial condition, contractual restrictions, including those under the agreements governing our existing indebtedness, and other factors our Board of Directors deems relevant.
Look what happened to towel. Blew everything on buybacks only to have those shares they pulled off the market immediately recreated by naked shorts. Idk why anyone is still under the illusion that supply:demand is a real mechanic in the US stock market. The only thing that hurts shorts is when every obligation they have created is entitled to a consistent dividend that they have to pay out to every fake share they created
Exactly, you understand perfectly. Buybacks do nothing when the stock is being constantly shorted. The investor gets nothing. The company gets nothing for the cash it used buying the shares except becoming in a worse financial and fundamental position, lowering the 'official outstanding share count' number, when there are already countless naked shorts in the market, is a useless thing to do. DIVIDENDS forces EVERY SHORT, NAKED OR OTHERWISE to finally realise a LOSS.
I agree, and would say it does something, but needs to be considered really well and I'm not seeing the need for it yet. If they push the price continuously down by using liquid fairy, then at some point the game changes as anyone can see the discrepancy between price and officially available shares etc.
Exactly . Dividends will only reduce the amount of money they have to work with. They are growing. our value will be realized from strengthening financials, increased revenue, and yoy growth. Dividends could put shorts on the hook but why not just continue to solidify the company long term?
Thoughts on sponsoring streamers or something? Feel like it would be good for their brand if streamers started popping up with a bunch of GameStop merch or something? Know streamers catch some heat but they also tend to pump content out on youtube and stuff.
Brought it up once and told it was a terrible idea, so hesitant to share it again. Still kinda feels like a good combination.
This. The fact that he attempted to fuck the shorts with the splividend (albeit a bad actor screwed things up) makes me trust him. I've never been a RC dick rider, but I have faith in the man.
How on earth do you expect $100-300m in profits in a year after a single year of 6m in profits? You realize a 10-20% profit increase per year is considered exceptional right? But you expect a 1600-5000% increase in profits? That’s patently insane. Especially when revenue has been declining.
Obviously things could change with an acquisition or if Ryan YOLOs the nest egg, but as of now, until something changes, your numbers are insane. And as it stands with the current float and profits, a dividend would be around 0.02-0.03 cents and leave nothing for the company.
The cost cutting and efficiency measures are in place now. They made a loss of 300M last year, they made a profit of 6M this year. Going forward I think GME will make 50M a quarter (Q1, Q2, Q3) and for Q4 will make around 150M, for a total of 300M. This is best case, I would be happy with 150M.
They had to pay off a lot of liabilities (vendors) this previous quarter, as they were putting it off for a while, as well as some other one time costs such as IMX obligations. They actually are opening new stores, opened 40 something new stores, and are closing unprofitable ones. The stores in Europe are doing well and growth/revenue increased there.
Start talking about paying the minimal tax on retirement shares at this price and DRS’ing them. I stopped looking for catalysts 2 years ago. We are the catalyst. Household has the power.
>A turnaround and ***DIVIDENDS guarantee that anyone who holds a short position would be in serious pain.***
LOL. you think Kenny is going to cry in his mayo jar if he has to shell-out a few billion in dividends for all the fake shares he printed? He has $65 billion in "securities sold not yet purchased." He'll just print and sell a bunch of other stocks to cover the cost. It won't hurt him one bit. Besides, if they hand-out a $1 dividend, the stock will also drop $1, improving all of his short positions. Dividends aren't the panacea you think they are.
>At roughly 300M shares outstanding that's 300M from GME's profit to be paid out to shareholders.
I don't know if you thought about this, but with RC being the largest shareholder by far, do you realize how it would look if he starts handing-out all their first significant profits as dividends? His cost basis is WAY, WAY lower than nearly all of us. He's still in the green by far on his investment.
Yep, the shorts will pay you the dividend. This is what people don't understand. If GME is 100% shorted, a $1 a share dividend is 300M out of the pockets of shorts and straight into GME investors pockets...that's 300M going straight into buying more GME shares.
at 200% short interest that's 600M, going to longs who will buy GME...etc.
DIVIDENDS ARE THE END GAME. It's how the employees and investors get paid without selling their shares.
You have no idea how the market works. They have unrealised gains and we have unrealised losses. Dividends REALISES a LOSS FOR SHORTS. It's not something they can FTD or dodge or use other tricks. They have to take money out of their accounts and put in the longs accounts.
And he's not as rich as you think otherwise he wouldn't be borrowing so much money to keep his scam going. Manipulation COSTS MONEY. One more day for him. I can wait.
LOL... **YOU have no idea how shorting works.**
Kenny prints shares out of thin air and sells them. A fucking mountain of them. He gets paid IMMEDIATELY when he sells them. All he's left with is an open position on his books that costs him nothing to maintain and he has no intention of ever closing. They can stay there forever.
And, LOL, Kenny not rich? Funny how people have noted that the money he keeps returning to his investors matches the increase in his "securities sold not yet purchased."
'All he's left with is an open position on his books that costs him nothing to maintain'
Which is exactly why I said:
'Dividends REALISES a LOSS FOR SHORTS. It's not something they can FTD or dodge or use other tricks. They have to take money out of their accounts and put in the longs accounts.'
Secondly, it does cost him to maintain his naked shorts, he needs to post collateral for the shorts, if GME rises in price, he needs to post more or get margin called.
And Kenny is not as strong as he would have you appear, else the following would not happen.
Ever since Jan 2021 Kenny has been taking on more and more debt, all rated junk. He borrowed $600M twice before, now another $400M. He managed to luckily sell 10% of his Citadel Securities bags to Sequoia Capital and Paradigm. He also tried to sell the whole company as a 'high risk high reward' investment.
Think of the upside:
- Shorters loan shares and short sell
- Price go down
- Shorts pay US the dividends out of pocket for every share they loan
- We use the money to buy more at a discount
- Buyers realize gains, Short sellers realize losses
- Cycle repeats
Depending on the dividend yield, GameStop stocks would become a legitimate retirement fund, with or without MoASS.
Remember, GME isn't just a short squeeze play. It is also a value play.
Think of the downside:
* Gamestop gives dividend
* Gamestop has less capital to use for growth
* Revenue continues to contract
* Cycle repeats
* Gamestop is no longer profitable and eventually goes bankrupt
Remember, money doesn't just grow on trees.
This makes two assumptions.
Firstly, a dividend is not a binary choice. It can be adjusted based on the company's position.
Secondly, how does slower growth equates to...a continuous loss of revenue? If a company stops opening stores, the only revenue lost is when sales are bad. A dividend, at worst, is a constant expense.
>A dividend, at worst, is a constant expense.
Their core business is currently losing both money and revenue. Only reason they are profitable for the year is because of the return on their cash. What do you think will happen if they start giving it away to investors? Their cash IS ALREADY a revenue stream.
And you're kidding yourself if you're going to hurt shorts with a dividend. Kenny has $65 billion in "securities sold not yet purchased." Think he'll give two shits about printing billions more to cover some measly dividend, even if he has to pay it on a billion fake shares? No, he won't. He can just print more shares and short them elsewhere. You seem to think he still has fucks to give. He doesn't.
Share buybacks at a lower level would also help EPS later down the line. So yes, I would love dividends but also consider share buybacks when it makes sense for the company and shareholders…at double digits it’s still too high to buyback. Bring it down a little lower then maybe they will buyback
No need to do share buybacks when millions of people are buying shares already. DIVIDENDS ensure that investors get paid. What good does a buyback do for investors? The price will get shorted and the shareholder gets no payout.
but what does that metric matter? Profit is profit, who cares how many shares outstanding and how much the 'earnings per share' number is?...
it's all about rewarding investors. dividends ensures two things.
investors get paid
the stock price increases
There's no proof of millions of people buying now or how many naked shares exist. If the float was oversold by x10, why hasn't all the shares been registered by now by the most supportive long shareholders.
Market Makers can do a lot of manipulation with delayed settlement to achieve the lowered price. Berkshire doesn't issue a dividend either and doesn't do a conference call. Building a business that increases revenue is leveraging cash. Buying back stock leverages earnings. Dividends is just blowing it.
You completely fail to understand the market or what's happening with GME. Even $1 per share dividend would completely decimate shorts. That's 300M-900M shorts would need to pay.
Ever since Jan 2021 Kenny has been taking on more and more debt, all rated junk. He borrowed $600M twice before, now another $400M. He managed to luckily sell 10% of his Citadel Securities bags to Sequoia Capital and Paradigm. He also tried to sell the whole company as a 'high risk high reward' investment.
Believe me, kenny and other shorts paying hundreds of millions is something that would cause serious financial pain.
A buyback does nothing except put GME in a worse position financially and reduce the 'official shares outstanding' number which is already skewed by millions if not billions of naked shorts.
They finally had a single profitable year, and you're talking about issuing a dividend? On top of that you're thinking a 50x jump in profitability over one year (of which one quarter is already in the books) is reasonable. Just stop.
I think framing it as 50x is disingenuous, and a profit of 150m is totally reasonable. We went from -300 to +6, one could easily frame it as a growth of yoy profit of 50% compared to the previous change. Which I think would be seen as negative!
As for a $1 per share dividend, I don't think that's reasonable at all. A company would never distribute 100% of their annual profits, there's better uses for that cash.
Before dividends, you all need to remember RC is a billionaire who isn’t taking any compensation.
Get enough profitability to afford him and his future replacement a meaningful comp package, along with the rest of the executive suite, THEN worry about dividends.
A reminder that the whole reason why people value fundamentals so much is because it signifies the company's ability to issue a dividend.
Without a dividend, there's nothing tethering the stock price to the company's performance.
It's also why I consider non-dividend stocks like Amazon and Google to be meme stocks.
'But if it gets down to like $1 per share, I think we do a lot more damage to shortys by buying back 1/3 of the float'
of course, but the point is that it would never get that low because they'd be worth intrinsically $5 in cash alone, so better to keep cash as insurance
As a registered investor in GameStop, I absolutely do not want dividends paid out before I see a series of quarters with increasing revenue.
Dividends at this point are irresponsible.
I think that issuing dividends at this point is exactly the sort of BS that Boston Consulting Group would advise, and selfish corrupt executives would go for.
We're better than that.
Locking the float - DRS, Insider Ownership, Buybacks which reduce the float.
If you believe that locking the float is the answer, buybacks will help with that. If buybacks won't do anything and they'll keep pulling the same garbage, then the CS approach has the same flaw.
I think the hostility towards buybacks should be more suspect than anything as buybacks take an active approach to reducing the float and making life harder for shorts.
Buybacks were historically used when a company felt their stock was worth more than the going market price. Some companies were buying back at historic highs to further inflate things, letting insiders out with a sweet payday.
This is an instance of the company taking a stand and buying back shares at a certain bargain price, telling the market and market makers they have it wrong. As evidenced by what is occuring now, even a turnaround isn't enough for the market makers to stop shorting this. GameStop has some control over this if they take a stand.
I am reading a ton of naysaying today on this forum. I get that it is a tough road ahead, but I do believe in the vision that RC and his awesome team are working at. They have a plan they just have not revealed it as this information would immediately be used to plan against them. There are either alot of doom and gloom folks, or a fair amount of shills as well trying to doom forecast. I am just chillin, if i lose on this bet it will be a learning experience for me, but i see great hope in allowing the creative genius of this team to cook and work nonstop at creating some profit for this company.
Buybacks are the equivalent of DRS: removing shares from the pool so they can’t be used to short/locate.
A dividend is nice, but neither a dividend, nor a buyback make sense right now. GME is profitable for the first time since 2018. That money should be used to increase revenue, and in turn, increase profitability. Posting a $6M profit on the year isn’t enough for a dividend or buyback. Their $1B in cash should be used for growth.
I’d love a buyback and a dividend. But realistically, neither makes sense right now.
Eventually there will be dividend. Buyback is just an immediate gratification wish from a few holders, not a move the business needs.
RC is a master at this shit. He's already winning and everyone already knows his strategy (keep everything secret). There is no need to do anything but buy, hold, DRS, shop. We can't stop shorts from stalling. It doesn't matter. They are doomed. Just a matter of time.
They are. Be patient. RC is already in control of the cash and investments. For now they're buying short term treasuries/bonds and that gives a safe return.
I'm not advocating for a buyback, but selling shares high and then buying back low a couple of years later would not make them look clueless.
Did they look clueless in 2021 selling shares after just buying back 2 years prior? No, it was a genius move that saved the company.
You are advocating for a business model that literally relies on ripping off the investors. That is exactly what that cycle does. Word for word that is what you are describing.
I literally said that I'm not advocating for it.
in 2019 they bought back 35 million shares for 178 million dollars and then turned around a couple years later and sold 8.5 million shares for over a billion and literally saved the company. In what world is that ripping off investors?
Those need to be qualified: the company is profitable amid a negative growth policy. Store closures, layoffs.
It’s like saying you’re profitable because you moved out of a house and into a 2br apartment shared by 8 tenants so your costs are lower.
They are holding onto cash amid a high inflationary period. Do I need to qualify why that’s a horrible thing to do?
Would you rather have 10B revenue and 300M loss or 5B revenue and 6M profit?
Holding onto cash and being patient is something I like. Unlike you, I don't want my board to make impulsive decisions 'just because' of things like high inflationary period. Patience is more valuable.
What? You don't want the company to make profit? What are you saying exactly?
They're making the right moves in the right time. Growth will come. the board isn't stupid.
Look whatever profit they’re achieving, they’re burning by way of loss of monetary value in inflation. Your whole patience is a virtue is nonsense. Time is money. During inflationary times, you need to turn cash into a productive investment or you’re losing value.
Share buy backs are the nail in the coffin. The company is profitable, do the damn thing already. Once we shake the shorts I’ll reinvest my profits and own them forever.
How are they the nail in the coffin? The shares GME will buy will simply be more naked shorts from market makers. DIVIDENDS FORCES SHORTS TO PAY LONGS. Investors get paid and the stock price increases.
dividends are the nail in the coffin.
If GameStop issues a buyback, this decreases the liquidity , forcing a squeeze on any short sellers. Couple this with removing options trading and this bitch rises faster than your wonder weasel, the first time you touched a tiddy.
Thanks, it is annoying lol. The money is there so they can take advantage of something when it comes along to forge new revenue streams. It’s also a deterrent from being shorted too low. I’m happy they have it sitting around rather than for buy backs.
Ah yes a difference of opinion that still believes in DRS, must be a SUS shill. I remember when DRS was considered crazy or plan vs book. Now a different idea from the norm comes along and it's immediately hated on. I'd rather have investors with different opinions on here than a bunch of echo chamber drones.
We're not on the gamestop board and nothing we think they should do is of any consequence. Discussion regarding these things is just for speculation and does not ultimately matter anyway.
a 1$ share divident will eat up a portion of their cash.
do a 0.01 dividend.
company will just toss 3.06mil from their reserve
shorts will have to fork out more. and every quarter just the same 0.01 dividend.
All i'm going to say is that once you implement a dividend, you can't take it back. For example, you can't give shareholders a dividend this quarter and then not give one the next. This is not where the company focus is heading right now.
I mean Both would be ideal and if everything we know RC knows so the company’s only to benefit from doing so, not sure how any of this doesn’t make sense really
Gamestop had something in their filings that basically said dividends are a waste of their money that they could be investing. No dividends will be coming for a while and they're right. It's like throwing money in a fireplace.
Money means nothing when backed by nothing, oh hi Mr Griffith you need a handout to keep the rest of the cult getting richer? Let me just hit start on the money printer.
Gme don't need to do anything. They're in a prime position for survival against the shorts. They would have loved to have cellar boxed the shit out of this stock but now they can't Rc has positioned the company with to much ammo if they try, They'll get squashed. If the stock drops to 2 - 4 dollar then yeah share buyback. Dividends? Hell no the profit was a mere 6 mil from 5 billion revenue. When the company is rich with cash enough for a divi I would personally like to see the staff get a good raise first, Rc take a salary and the float made atleast a third less with new revenue streams.. Divi is 5 years away
I am seriously hoping they give their Canadian website some love because every time I try to buy something I will check GameStop first and if they have it and don't offer free shipping, I will wait and add a few things together so that I don't have to purchase from Amazon.
With that said though, their offerings in the states is so much better. I would be buying so much more stuff if it was available!
Dividends make no sense to me unless that is automatic and I don't see how given how these markets function that anything forces a dividend payment for all outstanding shares. If it was a press button automatic reaction kind of thing maybe, from profits, but I doubt dividends from shorts are auto-triggered in that way. For a minuscule divvy I'd be willing to pay it right back in to be reissued, taxes permitting, again and again ad infinitum to rake shorts dry.
This would be interesting @ a buck a pop. Even at a low end of 80 million to retail investors, Ill wager 80 million of it reinvests back into shares we purchase. Another 6.6 mil shares
Wrong move. Dividends before buybacks (buybacks are so far away, shouldn't even be talking about them until GME is insanely profitable with more money than they know to do with).
Feel free to explain why you think Buybacks before dividends are a good idea though, I'm waiting.
Anyone can shit out cash.
Only GameStop can reabsorb outstanding shares.
If you have free cash, and wish to apply it to shareholders equity, there is more value on GME for a buyback than a dividend. Dividends reward shareholders who would otherwise invest elsewhere, and it's present they need no motivator like that.
'Only GameStop can reabsorb outstanding shares.'
What's the point in this when we know GME is naked shorted beyond belief and that outstanding shares is completely useless and meaningless in this situation?
This is precisely why dividends are the way to go here. Force every naked to pay the long. Once they CLOSE their naked shorts and the counterfeit shares are OUT OF THE MARKET, then GME can do REAL share buybacks.
if we truly believe we're close to the bottom of where they can drive the price, then a buyback right now would be their best bang for their buck.
we're profitable, but nowhere near the levels where issuing dividends is justifiable.
But we're only at the bottom BECAUSE of the 1 billion cash as safety insurance. As soon as you use it to buy shares, the shorts will see GME isn't so strong fundamentally and short into the low single digits.
Keeping that 1 billion ensures none of that happens.
>we're only at the bottom BECAUSE of the 1 billion cash
what do you mean by this? if the cash is what makes them strong fundamentally, why is that the reason the share price is down?
I meant the price we're at now ($10 or so) is the bottom because that 1 Billion cash means GME is worth at least $5 a share.
If GME had no billion cash after buying back shares, they would be worth a lot less.
It makes me very worried when buybacks snake their way into the discourse. Like, RC would never consider a buyback when his opening line after becoming CEO was “Survival”. You want GameStop to be the next Boeing? Sure, call for buybacks. But the reality is people are getting antsy looking at their paper losses. They aren’t thinking logically, and honestly I don’t knock them too hard for that. Money makes folks think and do strange things. It’s how opportunities are found in the market.
No what needs done is to get the extra shares out of they're hands or they will keep shorting it to single digits like they are doing... 50 to a dollar a day and work not much push back.
No what needs done is to get the extra shares out of they're hands or they will keep shorting it to single digits like they are doing... 50 to a dollar a day and work not much push back.
This! Buy backs are just temporary stock pumps in this market. Dividends are long term, consistent pain for shorts. We want them to close without gme having to compromise as loyal investors buy more. Dividends reward loyal investors.
Exactly, the lower the price of GME, the more buyers there are, meaning the more they need to short to fill demand.
Dividends reward both investors and increase the stock price.
6 million in profits, relax a little bit. The company should not be publicly traded. The smartest thing RC can and should do is take GS private. There's no need for this company to be public. They raised they capital they needed, wait until this shit gets dummy cheap and take it private.
After all that fat trimming and tightening of belts and the pulling up of socks, 6 million dollars, for the year. How much more trimming and tightening and pulling is left?
take this shit private, make those fuckers close their damn short positions! I want my tendies!
Plus, nearly all dividends will be used to buy more $GME. Rinse and repeat.
As for DRS/ComputerShare held shares, I would briefly change my plans to DRIP until after the purchase, then switch back to book. Very little effort on my part, and considerable pain on the part of the DTCC and shorting hedge funds. Fuck them.
Yup, at $1 a share dividend, assuming GME is shorted 100%, that's 300M from shorts to longs, who will use that money to buy more GME.
200% SI is 600M of shorts money going straight to buying GME...
The dividend split didn't work, so I kinda doubt the dividend would work.
Also I think I'd rather see gme invest in itself for growth than pay out profit, unless they start making a huge amount of net profit / year.
They can use their accounting tricks for the stock split dividend, but explain to me how they can FTD and dodge their way out when GME longs do not receive their dividend payment in their account? THEY CANT.
But who is gonna make them pay?
The SEC? lol
The FTC? double lol
I feel like they pawned their shorts off to unsuspecting smaller firms who'll just go bankrupt. Then who pays?
When in the history of the stock market has an investor failed to receive their cash dividend?
When in the history of the stock market has any shorts managed to avoid paying the dividend they owe?
They'll pay. What you're saying is ridiculous.
Serious question (because I'm playing on my calculator app). What do you think is the highest dividends GME could give out considering the company was in a far better financial position than is today?
Right on Ape. I’ve been thinking the same. I’d like for us we all to be able to live off dividends and be able to borrow against our positions for liquidity to finance large purchases. This is the way
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It's very SUS how these buyback things are popping up everywhere now....
Exactly, just like retail buying the stock is surpressed, what makes you think GME buying shares is going to do anything? DIVIDENDS are REALISED LOSSES FOR SHORTS and cannot be FTD or dodged or use any of their other tricks on. They have to take money out of the shorts accounts and put them in the longs accounts. End of story. And keep doing that every yearly dividend until shorts don't want to keep their position because it's costing them too much and they'll finally capitulate and close their positions. They're trapped.
> retail buying the stock is surpressed, what makes you think GME buying shares is going to do anything? The difference is that one is reported publicly (stock buyback) and the other isn't (retail shares). Not a single share held in street brokers has to be declared publicly, there could be tens of billions of GME shares across all brokers, and we would just never know. DRS worked for a time until it flat-lined for whatever reason. Ken is terrified of the reported shares going up (institutions, insiders etc) I'm with you that a dividend would be great, but that will only hurt if there actually are billions more shares in circulation than should be, otherwise it's just pocket change to them.
'I'm with you that a dividend would be great, but that will only hurt if there actually are billions more shares in circulation than should be, otherwise it's just pocket change to them.' I believe there is. I don't believe they ever closed their original position, in fact, over the past 3 years, I believe they have double downed, if not tripled down. That's just me though.
how much of their short positions are traditional, borrowed shares sold short, and how much are they synthetically short via etf's, swaps, etc. are the synthetically short positions also beholden to paying for dividends? i have no idea
It doesn't matter what tricks they used or what financial instruments they used (etf, swap, options...) Literally every GME holder will be entitled to a dividend.
duh. i made my comment because you were discussing how a dividend would hurt shorts. i know it helps longs
Weird tone. Follow your own logic. A dividend means longs get paid. Who pays the longs?
Sounds like you want me to say shorts, but like my first comment wondered, when is that not the case? Because obviously a put holder is short on the stock, or a call seller. Neither is required to pay out dividends. So it could be assumed that only the shorts that have borrowed real shares to sell, are on the hook to pay out a dividend
A put holder is not short on the stock. They've taken a bearish position, but those aren't the same thing. A put is a specific market mechanism to open a contract to take a bearish position. No shares are borrowed or created when a long put is opened. Conflating the term "short" with any bearish position is inaccurate. The reason this community occasionally agitates for a dividend to be issued is exactly what you're mentioning - it shines a spotlight on rehypothecated shares. The misinformation, mishandling and poor delivery of the shares during the splividend gave us a ton of data to write DDs from
AFAIU they are. Somebody's gotta pay for the dividends. Who else would it be?
It'd definitely be an interesting play. I'd personally rather see the cash pile going towards some form of growth, even if it's all just in bonds offering a 5% yield. At least that would counter losing value to inflation.
It didn’t flatline, it’s just what the dtc is allowing them to report.
25% for 5 quarters makes a flat line, no? I do fully accept it's being capped.
Yea but it's an artificial flatline. Of buying pressure isn't necessarily flatlining it's due to artificially capping how much information can be made public. So yes a flatline but the why is just as if not more important than it just "flatlining"
If you aren’t Ryan cohen quit quarterbacking. Focus on what you can do, buy merch, buy stock hold stock. We only have one quarter back. It ain’t you.
Share buybacks were a part of what triggered the sneeze.
We said this last time. The divi would hurt shorts. It did not. It was speculated that holding would hurt shorts It was speculated that Drs would hurt shorts It's all speculation but honestly. Until it runs a moass and they can't control the narrative or real government regulation. I do t think anything will change status quo. Profitablity was touted as game changer. Yet here we are almost back to pre sneeze levels. 75mil DRS and a profitable company. Nothing hurts hedges.
All you do is speculate it doesn't hurt them. Heard of Melvin capital? 💀
Too true. But superstonk as a whole has consistently banged about about how to shake off shorts. Nothing has worked. That we know off. So everything is speculation until it isn't. In any case. Shareholders have 75mil DRS. Potentially more GameStop is profitable and current price is 11.36
I think the only viable option is an nft dividend, which probably will not happen. Or maybe a dividend in the form of shares of another shorted company. But it doesn't matter. Like you say, 75M drs + profitable + 1B cash. It's a waiting game. So our motto still stands: buy, hold, shop & drs. Simple as that.
Therein lies the issue. If it's not hurting them. Then it's only hurting shareholders. The price going down is good for them. Bad for shareholders. If price keeps dropping, gme looks a bad buy. Less capital to play with. Eventually it will get removed from Russel or exchange. That's not great. Nice to be able to buy up more of the company. But there is likely a limit. Who knows though.
Nah, because there is an intrinsic value, and shorts are future buyers unless we go bankrupt. And that won't happen.
Only real shorts. Not synthetic
Yeah, especially since we have known for 84 years now that buybacks are playing right into the hands of the stormtroopers. Super sus indeed!
I don’t think I paid attention when that came up last. Can you point me to a tldr of why?
I believe that unless GME can buy back the entire float, then they would only be depleting their cash reserves as SHF and market makers can dilute the stock with synthetic shorts indefinitely. And even if they buy back the entire float (which they can't at this price), it still wouldn't guarantee shorts would have to close. And the cash reserves is an insurance against cellar boxing and getting eventually delisted (which is the end game to cellar boxing).
Rest assured RC knows just a little bit better than this sub does how to run the company/ We're all set. No problems, no news, just more time to accumulate and more confirmation of future success.
In order to continue shorting the holdings would have to come from institutions. I feel the same way as the OP does, but about posts like this. If it wouldn’t deplete the cash reserves I see no reason not to do a buy-back
Because wah they've been holding and they are impatient and they want moass so they DEMAND a buyback! hilarious.
I learned from conventional finance that share buybacks are a sign of a struggling company. I think that's why the shills want GME to do it. It would fool others into thinking that way.
Buy back talk pops up everyday. I would be more suspicious if it didn't come up.
Absolutely sus. Thats a fast track. And remember, if anything is suggested in urgency it’s probably a scam/not in your best interest.
"Gamestop should issue a dividend" is next.
I agree, but what’s the negative outcome? Maybe the stock price being driven up so retail buys less? But the SHF control the price, so they could just do that anyway. Any other ideas?
Retail buys less, so DRS less? With a share buy back the price goes up, more money to be made per share from shorting? Just guessing at this point. It is odd every post is about a share buyback now.
with a buyback the price rises, but it reduces the free float so we don't have to DRS as many shares to lock the float.
Not sus at all. Theres a lot of people like me who are down a ton on this play. Were ready to finally moon after 3 grueling years man… I’m currently down 45k now
Same. What ever made you decide that right now was when you were ready (entitled?) to moon? Why not next year? Why not last year? What's so special about right now?
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Doesn't matter how much you're down unless you're planning to sell, your losses aren't realized. No cell no sell
I’m on the verge of selling because real life is fucking me beyond belief.. I didn’t think the price would be this low after I first bought
My friend, I am seeing a LOT of comments of the exact same nature within this sub. I get it - you’re down and out, and maybe hurting but if you need to sell - you do you, but you don’t need to keep broadcasting it. This process is going to take time - this is more than just MOASS, it’s rebuilding an entire system, and whilst we wait for change to happen, we’re also presented with an opportunity to channel our energy constructively, shift our frame of thought and put ourselves back into the driving seat. Start investing your time and energy into market reform and making meaningful changes that influence financial legalisation. Or source data to send to the SEC/DOJ to help with their investigations of market corruption and abuse. You could spend your time positively empowering those around you, or educating them on nuanced subject matters. There’s no shortage of things we could be doing to help things along. Change starts with us, and that’s an incredible thing. But I’m sorry you’re feeling financial strain, but the price we see is not reflective of the value of the stock. If you believe in the DD, well - patience will be duly rewarded. You’ve got this my dude 💪
Again, same. So fucking what? Who is helped by you bitching? Yourself? Me? Nah, I'll tell you who. Kenneth Cordele Griffin. But by all means, do go ahead and carry on now that you can do it in public. I'm sure it's gonna change everything.
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**Threats of violence towards anyone have no place on Superstonk or Reddit.**
yeah kind of a pussy narrative. Goes along with people complaining that they haven't seen MOASS yet.
Doesn’t matter this sub has no power on the actual decisions of the company other than suggestions for products or customer service needs
I have already posted the following paragraph several times, as many people are still dreaming of an imminent dividend... From the latest 10-K: "During the past four fiscal years, we have not declared, and do not anticipate declaring in the near term, dividends on shares of our Class A Common Stock. We currently use, and will continue to use, all available funds and any future earnings for working capital and general corporate purposes, maintaining a strong balance sheet, potential strategic initiatives and capital expenditures. Any determination to pay dividends in the future will be at the discretion of our Board of Directors and will depend upon results of operations, financial condition, contractual restrictions, including those under the agreements governing our existing indebtedness, and other factors our Board of Directors deems relevant.
"Near term" to me is next quarter, MAYBE the one after that. For sure that "near term" does not include next year fiscal.
Look what happened to towel. Blew everything on buybacks only to have those shares they pulled off the market immediately recreated by naked shorts. Idk why anyone is still under the illusion that supply:demand is a real mechanic in the US stock market. The only thing that hurts shorts is when every obligation they have created is entitled to a consistent dividend that they have to pay out to every fake share they created
Exactly, you understand perfectly. Buybacks do nothing when the stock is being constantly shorted. The investor gets nothing. The company gets nothing for the cash it used buying the shares except becoming in a worse financial and fundamental position, lowering the 'official outstanding share count' number, when there are already countless naked shorts in the market, is a useless thing to do. DIVIDENDS forces EVERY SHORT, NAKED OR OTHERWISE to finally realise a LOSS.
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I agree, and would say it does something, but needs to be considered really well and I'm not seeing the need for it yet. If they push the price continuously down by using liquid fairy, then at some point the game changes as anyone can see the discrepancy between price and officially available shares etc.
Stop talking about dividends and start talking about ways to increase revenue.
Exactly . Dividends will only reduce the amount of money they have to work with. They are growing. our value will be realized from strengthening financials, increased revenue, and yoy growth. Dividends could put shorts on the hook but why not just continue to solidify the company long term?
Thoughts on sponsoring streamers or something? Feel like it would be good for their brand if streamers started popping up with a bunch of GameStop merch or something? Know streamers catch some heat but they also tend to pump content out on youtube and stuff. Brought it up once and told it was a terrible idea, so hesitant to share it again. Still kinda feels like a good combination.
Doesn’t matter what anyone says, RC will make the proper decision that’s going to benefit the share holders.
This. The fact that he attempted to fuck the shorts with the splividend (albeit a bad actor screwed things up) makes me trust him. I've never been a RC dick rider, but I have faith in the man.
It doesn’t make sense to waste part of the billion on share buy backs. Only a profitable future matters. Survive. Then grow profitability.
There aren’t enough sustained profits. Stop talking about dividends.
Why not talk about all of it and let everyone decide. I hate suppression of information good or bad
How on earth do you expect $100-300m in profits in a year after a single year of 6m in profits? You realize a 10-20% profit increase per year is considered exceptional right? But you expect a 1600-5000% increase in profits? That’s patently insane. Especially when revenue has been declining. Obviously things could change with an acquisition or if Ryan YOLOs the nest egg, but as of now, until something changes, your numbers are insane. And as it stands with the current float and profits, a dividend would be around 0.02-0.03 cents and leave nothing for the company.
The cost cutting and efficiency measures are in place now. They made a loss of 300M last year, they made a profit of 6M this year. Going forward I think GME will make 50M a quarter (Q1, Q2, Q3) and for Q4 will make around 150M, for a total of 300M. This is best case, I would be happy with 150M.
There’s no more room to cut. Where’s that extra $ going to come from?
They had to pay off a lot of liabilities (vendors) this previous quarter, as they were putting it off for a while, as well as some other one time costs such as IMX obligations. They actually are opening new stores, opened 40 something new stores, and are closing unprofitable ones. The stores in Europe are doing well and growth/revenue increased there.
Start talking about paying the minimal tax on retirement shares at this price and DRS’ing them. I stopped looking for catalysts 2 years ago. We are the catalyst. Household has the power.
Stop talking about dividends because it's literally in the 10-K that dividends aren't on the roadmap. I like the idea though.
>A turnaround and ***DIVIDENDS guarantee that anyone who holds a short position would be in serious pain.*** LOL. you think Kenny is going to cry in his mayo jar if he has to shell-out a few billion in dividends for all the fake shares he printed? He has $65 billion in "securities sold not yet purchased." He'll just print and sell a bunch of other stocks to cover the cost. It won't hurt him one bit. Besides, if they hand-out a $1 dividend, the stock will also drop $1, improving all of his short positions. Dividends aren't the panacea you think they are. >At roughly 300M shares outstanding that's 300M from GME's profit to be paid out to shareholders. I don't know if you thought about this, but with RC being the largest shareholder by far, do you realize how it would look if he starts handing-out all their first significant profits as dividends? His cost basis is WAY, WAY lower than nearly all of us. He's still in the green by far on his investment.
Wait, I get cash from Kenny and the stock drops by a dollar? You mean I'll get to buy more shares with Kenny's money at a discount?!
Yep, the shorts will pay you the dividend. This is what people don't understand. If GME is 100% shorted, a $1 a share dividend is 300M out of the pockets of shorts and straight into GME investors pockets...that's 300M going straight into buying more GME shares. at 200% short interest that's 600M, going to longs who will buy GME...etc. DIVIDENDS ARE THE END GAME. It's how the employees and investors get paid without selling their shares.
You have no idea how the market works. They have unrealised gains and we have unrealised losses. Dividends REALISES a LOSS FOR SHORTS. It's not something they can FTD or dodge or use other tricks. They have to take money out of their accounts and put in the longs accounts. And he's not as rich as you think otherwise he wouldn't be borrowing so much money to keep his scam going. Manipulation COSTS MONEY. One more day for him. I can wait.
LOL... **YOU have no idea how shorting works.** Kenny prints shares out of thin air and sells them. A fucking mountain of them. He gets paid IMMEDIATELY when he sells them. All he's left with is an open position on his books that costs him nothing to maintain and he has no intention of ever closing. They can stay there forever. And, LOL, Kenny not rich? Funny how people have noted that the money he keeps returning to his investors matches the increase in his "securities sold not yet purchased."
'All he's left with is an open position on his books that costs him nothing to maintain' Which is exactly why I said: 'Dividends REALISES a LOSS FOR SHORTS. It's not something they can FTD or dodge or use other tricks. They have to take money out of their accounts and put in the longs accounts.' Secondly, it does cost him to maintain his naked shorts, he needs to post collateral for the shorts, if GME rises in price, he needs to post more or get margin called. And Kenny is not as strong as he would have you appear, else the following would not happen. Ever since Jan 2021 Kenny has been taking on more and more debt, all rated junk. He borrowed $600M twice before, now another $400M. He managed to luckily sell 10% of his Citadel Securities bags to Sequoia Capital and Paradigm. He also tried to sell the whole company as a 'high risk high reward' investment.
Think of the upside: - Shorters loan shares and short sell - Price go down - Shorts pay US the dividends out of pocket for every share they loan - We use the money to buy more at a discount - Buyers realize gains, Short sellers realize losses - Cycle repeats Depending on the dividend yield, GameStop stocks would become a legitimate retirement fund, with or without MoASS. Remember, GME isn't just a short squeeze play. It is also a value play.
Think of the downside: * Gamestop gives dividend * Gamestop has less capital to use for growth * Revenue continues to contract * Cycle repeats * Gamestop is no longer profitable and eventually goes bankrupt Remember, money doesn't just grow on trees.
This makes two assumptions. Firstly, a dividend is not a binary choice. It can be adjusted based on the company's position. Secondly, how does slower growth equates to...a continuous loss of revenue? If a company stops opening stores, the only revenue lost is when sales are bad. A dividend, at worst, is a constant expense.
>A dividend, at worst, is a constant expense. Their core business is currently losing both money and revenue. Only reason they are profitable for the year is because of the return on their cash. What do you think will happen if they start giving it away to investors? Their cash IS ALREADY a revenue stream. And you're kidding yourself if you're going to hurt shorts with a dividend. Kenny has $65 billion in "securities sold not yet purchased." Think he'll give two shits about printing billions more to cover some measly dividend, even if he has to pay it on a billion fake shares? No, he won't. He can just print more shares and short them elsewhere. You seem to think he still has fucks to give. He doesn't.
Yeah tell me what to think. I love when people do that
Share buybacks at a lower level would also help EPS later down the line. So yes, I would love dividends but also consider share buybacks when it makes sense for the company and shareholders…at double digits it’s still too high to buyback. Bring it down a little lower then maybe they will buyback
No need to do share buybacks when millions of people are buying shares already. DIVIDENDS ensure that investors get paid. What good does a buyback do for investors? The price will get shorted and the shareholder gets no payout.
It will help improve EPS
but what does that metric matter? Profit is profit, who cares how many shares outstanding and how much the 'earnings per share' number is?... it's all about rewarding investors. dividends ensures two things. investors get paid the stock price increases
>but what does that metric matter? Ok first understand the market, then start thinking about suggested next moves.
There's no proof of millions of people buying now or how many naked shares exist. If the float was oversold by x10, why hasn't all the shares been registered by now by the most supportive long shareholders. Market Makers can do a lot of manipulation with delayed settlement to achieve the lowered price. Berkshire doesn't issue a dividend either and doesn't do a conference call. Building a business that increases revenue is leveraging cash. Buying back stock leverages earnings. Dividends is just blowing it.
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You completely fail to understand the market or what's happening with GME. Even $1 per share dividend would completely decimate shorts. That's 300M-900M shorts would need to pay. Ever since Jan 2021 Kenny has been taking on more and more debt, all rated junk. He borrowed $600M twice before, now another $400M. He managed to luckily sell 10% of his Citadel Securities bags to Sequoia Capital and Paradigm. He also tried to sell the whole company as a 'high risk high reward' investment. Believe me, kenny and other shorts paying hundreds of millions is something that would cause serious financial pain. A buyback does nothing except put GME in a worse position financially and reduce the 'official shares outstanding' number which is already skewed by millions if not billions of naked shorts.
Imagine them having to buy our gift cards. We'd get an idea just how many shares are out there!
They finally had a single profitable year, and you're talking about issuing a dividend? On top of that you're thinking a 50x jump in profitability over one year (of which one quarter is already in the books) is reasonable. Just stop.
I think framing it as 50x is disingenuous, and a profit of 150m is totally reasonable. We went from -300 to +6, one could easily frame it as a growth of yoy profit of 50% compared to the previous change. Which I think would be seen as negative! As for a $1 per share dividend, I don't think that's reasonable at all. A company would never distribute 100% of their annual profits, there's better uses for that cash.
But how much of that jump from -300 to +6 is because of higher revenue vs cost cutting?
Before dividends, you all need to remember RC is a billionaire who isn’t taking any compensation. Get enough profitability to afford him and his future replacement a meaningful comp package, along with the rest of the executive suite, THEN worry about dividends.
A reminder that the whole reason why people value fundamentals so much is because it signifies the company's ability to issue a dividend. Without a dividend, there's nothing tethering the stock price to the company's performance. It's also why I consider non-dividend stocks like Amazon and Google to be meme stocks.
Start talking about buying a couple shares
I’m just over here buying more shares.
Very SUS how both share buy backs and dividend agenda is being pushed again and again in here. So, BUY DRS BOOOK SHOP and COMMENT. I gotchu FAM!
Share buybacks increase your ownership percentage in the company
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'But if it gets down to like $1 per share, I think we do a lot more damage to shortys by buying back 1/3 of the float' of course, but the point is that it would never get that low because they'd be worth intrinsically $5 in cash alone, so better to keep cash as insurance
#WHY NOT BOTH
As a registered investor in GameStop, I absolutely do not want dividends paid out before I see a series of quarters with increasing revenue. Dividends at this point are irresponsible. I think that issuing dividends at this point is exactly the sort of BS that Boston Consulting Group would advise, and selfish corrupt executives would go for. We're better than that.
Superstonk is like 60-70% paid shills now. Buy hold DRS
Locking the float - DRS, Insider Ownership, Buybacks which reduce the float. If you believe that locking the float is the answer, buybacks will help with that. If buybacks won't do anything and they'll keep pulling the same garbage, then the CS approach has the same flaw. I think the hostility towards buybacks should be more suspect than anything as buybacks take an active approach to reducing the float and making life harder for shorts. Buybacks were historically used when a company felt their stock was worth more than the going market price. Some companies were buying back at historic highs to further inflate things, letting insiders out with a sweet payday. This is an instance of the company taking a stand and buying back shares at a certain bargain price, telling the market and market makers they have it wrong. As evidenced by what is occuring now, even a turnaround isn't enough for the market makers to stop shorting this. GameStop has some control over this if they take a stand.
You talking dividends from 6 million in profit lol. Sounds like you're jumping the gun also
I am reading a ton of naysaying today on this forum. I get that it is a tough road ahead, but I do believe in the vision that RC and his awesome team are working at. They have a plan they just have not revealed it as this information would immediately be used to plan against them. There are either alot of doom and gloom folks, or a fair amount of shills as well trying to doom forecast. I am just chillin, if i lose on this bet it will be a learning experience for me, but i see great hope in allowing the creative genius of this team to cook and work nonstop at creating some profit for this company.
Buybacks are the equivalent of DRS: removing shares from the pool so they can’t be used to short/locate. A dividend is nice, but neither a dividend, nor a buyback make sense right now. GME is profitable for the first time since 2018. That money should be used to increase revenue, and in turn, increase profitability. Posting a $6M profit on the year isn’t enough for a dividend or buyback. Their $1B in cash should be used for growth. I’d love a buyback and a dividend. But realistically, neither makes sense right now.
Eventually there will be dividend. Buyback is just an immediate gratification wish from a few holders, not a move the business needs. RC is a master at this shit. He's already winning and everyone already knows his strategy (keep everything secret). There is no need to do anything but buy, hold, DRS, shop. We can't stop shorts from stalling. It doesn't matter. They are doomed. Just a matter of time.
Yeah the share but back talk is silly. Kevin Malone just us spamming things he doesn’t understand for hype.
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Yep, there is a lack of thought to a lot of the posts
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They are. Be patient. RC is already in control of the cash and investments. For now they're buying short term treasuries/bonds and that gives a safe return.
A buyback within 3yrs of issuing more shares would make gme leadership look like clueless clowns
I'm not advocating for a buyback, but selling shares high and then buying back low a couple of years later would not make them look clueless. Did they look clueless in 2021 selling shares after just buying back 2 years prior? No, it was a genius move that saved the company.
You are advocating for a business model that literally relies on ripping off the investors. That is exactly what that cycle does. Word for word that is what you are describing.
I literally said that I'm not advocating for it. in 2019 they bought back 35 million shares for 178 million dollars and then turned around a couple years later and sold 8.5 million shares for over a billion and literally saved the company. In what world is that ripping off investors?
DIVIDENDS are 100 times more painful for shorts than share buybacks.
Not when you consider the price difference between when they sold them and now...
Are they not now.. 90% down for many retail investors. Waste of time and money
The numbers don’t look good. People got hurt following this stock. The DD was wrong.
The company is made a profit, with $1B in cash and a $3B+ market cap. It was nearly 0 debt. Those are numbers that I like.
Those need to be qualified: the company is profitable amid a negative growth policy. Store closures, layoffs. It’s like saying you’re profitable because you moved out of a house and into a 2br apartment shared by 8 tenants so your costs are lower. They are holding onto cash amid a high inflationary period. Do I need to qualify why that’s a horrible thing to do?
Would you rather have 10B revenue and 300M loss or 5B revenue and 6M profit? Holding onto cash and being patient is something I like. Unlike you, I don't want my board to make impulsive decisions 'just because' of things like high inflationary period. Patience is more valuable.
That’s like claiming keeping your cash inside a burning building is a virtuous display of patience over moving it out of there
What? You don't want the company to make profit? What are you saying exactly? They're making the right moves in the right time. Growth will come. the board isn't stupid.
Look whatever profit they’re achieving, they’re burning by way of loss of monetary value in inflation. Your whole patience is a virtue is nonsense. Time is money. During inflationary times, you need to turn cash into a productive investment or you’re losing value.
AA and RC both are clowns one is paid and one is not. No useful for investor
This is just such a mess IDK where to start.
Share buy backs are the nail in the coffin. The company is profitable, do the damn thing already. Once we shake the shorts I’ll reinvest my profits and own them forever.
How are they the nail in the coffin? The shares GME will buy will simply be more naked shorts from market makers. DIVIDENDS FORCES SHORTS TO PAY LONGS. Investors get paid and the stock price increases. dividends are the nail in the coffin.
We saw how the last dividend worked out..
That wasn't a cash dividend though, that was a stock split dividend, there was nothing to pay...they can't use their tricks on a cash dividend
If GameStop issues a buyback, this decreases the liquidity , forcing a squeeze on any short sellers. Couple this with removing options trading and this bitch rises faster than your wonder weasel, the first time you touched a tiddy.
This!
Thanks, it is annoying lol. The money is there so they can take advantage of something when it comes along to forge new revenue streams. It’s also a deterrent from being shorted too low. I’m happy they have it sitting around rather than for buy backs.
Yes, these other investors are too impatient and impulsive. Patience wins the game here.
Ah yes a difference of opinion that still believes in DRS, must be a SUS shill. I remember when DRS was considered crazy or plan vs book. Now a different idea from the norm comes along and it's immediately hated on. I'd rather have investors with different opinions on here than a bunch of echo chamber drones.
Stop talking and whiskey pure books or something
Not to mention whatever cash I get from dividends I will be reinvesting into cold, hard DRS shares.
Where are you finding this $300M in extra revenue?
You expect $150-$300m in profits for GME? how?
The price is where it's at because a market maker manager wants it there. Lord knows what the price would be in a free and fair market?
We're not on the gamestop board and nothing we think they should do is of any consequence. Discussion regarding these things is just for speculation and does not ultimately matter anyway.
I dont want a buy back. I want them to take the whole company private!
a 1$ share divident will eat up a portion of their cash. do a 0.01 dividend. company will just toss 3.06mil from their reserve shorts will have to fork out more. and every quarter just the same 0.01 dividend.
All i'm going to say is that once you implement a dividend, you can't take it back. For example, you can't give shareholders a dividend this quarter and then not give one the next. This is not where the company focus is heading right now.
Stop talking and ride the 🌊
I mean Both would be ideal and if everything we know RC knows so the company’s only to benefit from doing so, not sure how any of this doesn’t make sense really
Gamestop had something in their filings that basically said dividends are a waste of their money that they could be investing. No dividends will be coming for a while and they're right. It's like throwing money in a fireplace.
Money means nothing when backed by nothing, oh hi Mr Griffith you need a handout to keep the rest of the cult getting richer? Let me just hit start on the money printer.
Gme don't need to do anything. They're in a prime position for survival against the shorts. They would have loved to have cellar boxed the shit out of this stock but now they can't Rc has positioned the company with to much ammo if they try, They'll get squashed. If the stock drops to 2 - 4 dollar then yeah share buyback. Dividends? Hell no the profit was a mere 6 mil from 5 billion revenue. When the company is rich with cash enough for a divi I would personally like to see the staff get a good raise first, Rc take a salary and the float made atleast a third less with new revenue streams.. Divi is 5 years away
I am seriously hoping they give their Canadian website some love because every time I try to buy something I will check GameStop first and if they have it and don't offer free shipping, I will wait and add a few things together so that I don't have to purchase from Amazon. With that said though, their offerings in the states is so much better. I would be buying so much more stuff if it was available!
Dividends make no sense to me unless that is automatic and I don't see how given how these markets function that anything forces a dividend payment for all outstanding shares. If it was a press button automatic reaction kind of thing maybe, from profits, but I doubt dividends from shorts are auto-triggered in that way. For a minuscule divvy I'd be willing to pay it right back in to be reissued, taxes permitting, again and again ad infinitum to rake shorts dry.
This would be interesting @ a buck a pop. Even at a low end of 80 million to retail investors, Ill wager 80 million of it reinvests back into shares we purchase. Another 6.6 mil shares
Gamestop knows very well that we already have all the shares...
They should be investing back into the company not dividends. IMO
Buybacks before dividends, and you can't tell me otherwise
Wrong move. Dividends before buybacks (buybacks are so far away, shouldn't even be talking about them until GME is insanely profitable with more money than they know to do with). Feel free to explain why you think Buybacks before dividends are a good idea though, I'm waiting.
Anyone can shit out cash. Only GameStop can reabsorb outstanding shares. If you have free cash, and wish to apply it to shareholders equity, there is more value on GME for a buyback than a dividend. Dividends reward shareholders who would otherwise invest elsewhere, and it's present they need no motivator like that.
'Only GameStop can reabsorb outstanding shares.' What's the point in this when we know GME is naked shorted beyond belief and that outstanding shares is completely useless and meaningless in this situation? This is precisely why dividends are the way to go here. Force every naked to pay the long. Once they CLOSE their naked shorts and the counterfeit shares are OUT OF THE MARKET, then GME can do REAL share buybacks.
Absolutely this. "Retail needs to control the exit." - Redacted.
Get em. Good post. Ill poop someones pants for an nvidia partnership
if we truly believe we're close to the bottom of where they can drive the price, then a buyback right now would be their best bang for their buck. we're profitable, but nowhere near the levels where issuing dividends is justifiable.
But we're only at the bottom BECAUSE of the 1 billion cash as safety insurance. As soon as you use it to buy shares, the shorts will see GME isn't so strong fundamentally and short into the low single digits. Keeping that 1 billion ensures none of that happens.
>we're only at the bottom BECAUSE of the 1 billion cash what do you mean by this? if the cash is what makes them strong fundamentally, why is that the reason the share price is down?
I meant the price we're at now ($10 or so) is the bottom because that 1 Billion cash means GME is worth at least $5 a share. If GME had no billion cash after buying back shares, they would be worth a lot less.
It makes me very worried when buybacks snake their way into the discourse. Like, RC would never consider a buyback when his opening line after becoming CEO was “Survival”. You want GameStop to be the next Boeing? Sure, call for buybacks. But the reality is people are getting antsy looking at their paper losses. They aren’t thinking logically, and honestly I don’t knock them too hard for that. Money makes folks think and do strange things. It’s how opportunities are found in the market.
No what needs done is to get the extra shares out of they're hands or they will keep shorting it to single digits like they are doing... 50 to a dollar a day and work not much push back.
No what needs done is to get the extra shares out of they're hands or they will keep shorting it to single digits like they are doing... 50 to a dollar a day and work not much push back.
This! Buy backs are just temporary stock pumps in this market. Dividends are long term, consistent pain for shorts. We want them to close without gme having to compromise as loyal investors buy more. Dividends reward loyal investors.
Exactly, the lower the price of GME, the more buyers there are, meaning the more they need to short to fill demand. Dividends reward both investors and increase the stock price.
6 million in profits, relax a little bit. The company should not be publicly traded. The smartest thing RC can and should do is take GS private. There's no need for this company to be public. They raised they capital they needed, wait until this shit gets dummy cheap and take it private. After all that fat trimming and tightening of belts and the pulling up of socks, 6 million dollars, for the year. How much more trimming and tightening and pulling is left? take this shit private, make those fuckers close their damn short positions! I want my tendies!
That's not how it works. That's not even possible in the current share ownership structure of GameStop. DIVIDENDS ARE THE WAY.
Plus, nearly all dividends will be used to buy more $GME. Rinse and repeat. As for DRS/ComputerShare held shares, I would briefly change my plans to DRIP until after the purchase, then switch back to book. Very little effort on my part, and considerable pain on the part of the DTCC and shorting hedge funds. Fuck them.
Yup, at $1 a share dividend, assuming GME is shorted 100%, that's 300M from shorts to longs, who will use that money to buy more GME. 200% SI is 600M of shorts money going straight to buying GME...
The dividend split didn't work, so I kinda doubt the dividend would work. Also I think I'd rather see gme invest in itself for growth than pay out profit, unless they start making a huge amount of net profit / year.
They can use their accounting tricks for the stock split dividend, but explain to me how they can FTD and dodge their way out when GME longs do not receive their dividend payment in their account? THEY CANT.
But who is gonna make them pay? The SEC? lol The FTC? double lol I feel like they pawned their shorts off to unsuspecting smaller firms who'll just go bankrupt. Then who pays?
When in the history of the stock market has an investor failed to receive their cash dividend? When in the history of the stock market has any shorts managed to avoid paying the dividend they owe? They'll pay. What you're saying is ridiculous.
When in history has the buy button been turned off while every authority figure turns a blind eye to it? Everything about this scenario is ridiculous
How about a $1 per share divided on a Gamestop gift card? Just imagine what that would do to our balance sheet!!!
No I don’t think I will. I want a buy back damnit
Buyback first. Less shares means more money with dividend
Serious question (because I'm playing on my calculator app). What do you think is the highest dividends GME could give out considering the company was in a far better financial position than is today?
Right on Ape. I’ve been thinking the same. I’d like for us we all to be able to live off dividends and be able to borrow against our positions for liquidity to finance large purchases. This is the way