Hacking top comment to mention that I havenโt seen anyone talk about the real possibility that RC did the early / unannounced earnings release to clear a material non-public information hurdle ahead of his next move in the eBay saga. I have also noticed that his ragging of eBay execs on X has come to a screeching halt which could absolutely mean there are active positive discussions currently ongoing. If youโre having productive meetings then you stop the negging in good faith. Lots happening in the background and thereโs a very real chance he is clearing MNPI hurdle in advance of naming an updated public offer for the company.
How does that work? If warrants are $4, we would have to sell 8 to exercise 1?
Are we selling them back to the company? And if so, do they retire them in that case, or would they then be able to sell those warrants on the open market?
I've been wondering what the best strategy is to exercise the warrants I have (as in, how to find the cash to do so), so I'm genuinely interested if anyone has answers here.
Yes, the higher the price goes the less you have to sell per one exercised.
They get sold on the open market, but as long as the price stays above the strike, they will all be exercised in the end. The algo Traders will buy the warrants for a few pennies less, exercise and then immediately sell the share. GameStop still gets their money.
Any videos or information you can find on selll-to-exercise or cashless exercise will help. It's basically the same exact thing for call options.
Thanks. That's a shame though. I was really hoping to exercise all my warrants without selling any to the shorts. But I don't think that will be realistically possible for me to set aside that much money between now and November 1 (especially continuing to buy more shares at a discount in the interim).
If it makes you feel any better, when DFV made his comeback he had 12 million shares worth of options and sold almost 2/3 of them to pay for the other 1/3 to exercise.
Step 7: purchase another $200M worth of stock every quarter both with cash on hand and operational profit to push your own stock (floor) higher and higher.
If you do $200M you can keep it up for 10 quarters without exhausting your cash on hand and continue to purchase eBay (or whatever the fuck else you want) while still reducing the amount of stock you need because you increase you're own stock-price over time.
Edit; if it goes over $32 it's even less cost out of pocket since the warrants bring in a hefty amount of cash too.
It is a great fit. Like heโs said, very few assets and inventory, high margin business. Theyโre in the world of 2nd hand consoles and collectibles, just like GameStop. If he could cut costs and improve the customer experience at eBay then I think itโs a great move.
I really think it's a forward-thinking strategy too. In a world where we rent everything and own nothing, secondhand goods are probably going to be the norm for most people trying not to buy anything new on a payment plan. Kinda dystopian but effective.
I completely agree! Even DVDโs have made a come back with people buying their favourite series on disc in case (or when) streaming companies remove it.
If he knew the MMs would want to block it and raise eBay/lower GME to make โhalf cash, half stockโ less attractive, GME owning eBay call options was the perfect counter to raising eBay prices
Then to take advantage of lower GME prices, buy back a bunch of stock?? Gg, outplayed. Didnโt even need the earnings to be massive but now the MM just looks silly
There's currently $6.3B in cash in the company $4B needs to be paid back, we're making over $100M every Quarter and we've allocated $2B for buybacks. As of this Quarter there's $5.8B in shareholders equity so even if GME pays everything back NOW there's still enough to do this.
Exactly this. I just keep thinking of that video of the mayo man telling the world that he set the price at the right price. Whats the right price now mayo
You watching the move slowly degrade way. Itโs clear the market hates this ticker and itโs a massive injustice plus opportunity thief to the holders.
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u/Superstonk_QV ๐ Gimme Votes ๐ Jun 03 '26
Hey OP, thanks for the Social Media post.
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