Skip to main content

GameStop’s largest shareholder has made $4m an hour amid stock price chaos

GameStop’s three largest shareholders have now made more than $2 billion as its stocks continued to skyrocket throughout the week.

Since Tuesday video game retailer GameStop’s stock has jumped nearly 140 per cent as it was caught in the middle of battle between Wall Street short sellers and independent traders.

The stock price surge, manufactured by an army of amateur day traders in a bid to scupper Wall Street bets against the company, has seen its largest shareholder Ryan Cohen’s net worth explode.

Cohen, who owns a 13 per cent stake in the company, has seen his net worth increase an average of $90 million a day over the past two weeks as stock surged more than 1550 per cent, the equivalent of $4 million an hour.

READ MORE: GameStop stock jumps 92% overnight as it becomes centre of multi-billion dollar Wall Street battle

His stake is now worth around $1.3 billion.

Meanwhile former Credit Acceptance Corp chief executive Donald Foss has seen his five per cent stake grow to be worth more than $500 million, after purchasing it for roughly $12 million last year.

The next largest shareholder, GameStop’s chief executive George Sherman, has seen his 3.4 per cent stake grow to be worth $350 million.

It comes after prominent short-seller Citron Research announced last week that it had shorted GameStop stock, stating that the company was “pretty much in terminal decline”.

This sparked the David and Goliath battle, with one of the independent traders and member of Reddit group r/WallStreetBets stating in an open letter to CNBC: “I sincerely hope they suffer. We want to see the loss porn”.

While the short sellers have indeed lost billions other Wall Street giants like BlackRock, which purchased 9.2 million shares in GameStop last year, have cashed in seeing its stake growth to be worth over $3 billion.

In response to the dramatic events, Citron Research’s Andrew Left told Reuters: “If I had never been involved in GameStop and came to this right now, would I still short this stock? 100 per cent,”

“This is an old school, failing mall-based video retailer and investors can’t change the perception of that.”

Click here to sign up to Charged’s free daily email newsletter

The post GameStop’s largest shareholder has made $4m an hour amid stock price chaos appeared first on Retail Gazette.



from Retail Gazette https://ift.tt/36fCpo3
via IFTTT
Labels:

Comments

Post a Comment

Popular posts from this blog

Eagle Labs launches impirica CBD brand

ST. PETERSBURG, Fla. — Eagle Labs has launched impirica, a new brand of CBD intended to eliminate consumer fear, and increase confidence, in trying the exciting new cannabidiol category. Michael Law Although most Americans have now heard about CBD, many are very confused and concerned about product quality. This is inhibiting trial in the category and holding back conversion into sales. In fact, a 2017 study by Johns Hopkins University found that two out of three CBD products on the shelf did not contain the amount of CBD reflected on the label. Furthermore, in 2018 and 2019, the FDA sent notices to a substantial number of CBD manufacturers advising them of serious concerns about product quality or egregious medical claims. The impirica brand looks different than most CBD brands — the brand name itself connotes testing and trust, says Eagle Labs chief commercial officer Michael Law. “It doesn’t use the traditional category colors of browns and greens, and you won’t find a hemp...
68 comments
Read more

Coronavirus Recovery: Canadian Small Businesses Must Focus on Easing Employee, Customer Fears

By M. Tina Dacin and Laura Rees A small business has been  given the green light to reopen amid the COVID-19 pandemic . What does it need to consider for employees and customers? Small business owners are reorganizing physical space to account for continued distancing requirements and rethinking supply chains to deliver products and services in new ways to meet changing demand patterns. But they must not forget the hearts and minds of employees and customers. That doesn’t mean replacing a focus on the bottom line, but it helps address the need for a new set of expectations and ways of communicating in terms of product or service offerings, delivery methods and real-time feedback. Based on our expertise in organizational behaviour and past research we’ve conducted, we provide a set of recommendations to help small businesses thrive in our new COVID-19 economy by looking after the hearts and minds of the people most important to businesses — employees and customers. Fear, Anxi...
1 comment
Read more

World's 1st Pizza Subscription Service Launches in Toronto

general assembly subscription user opening delivery box of pizza. photo: general assembly pizza By Mario Toneguzzi Toronto-based General Assembly Pizza has launched what it describes as the world’s first pizza subscription service as it also plans to aggressively expand its product offering in the near future by opening a new concept in the market. "Since opening our doors in 2017, we have pushed for the best guest-experience possible — that's why our dough is 100 percent naturally leavened, that's why we have a purpose-built 400-square-foot pick-up and delivery area, and that's why we’ve launched a direct-to-consumer subscription-based ecommerce platform,” said Founder & CEO Ali Khan Lalani. “In 2020, providing the best guest experience means General Assembly Pizza has to be more than a restaurant. I'm proud to say that after almost six months of planning, many roadblocks, and countless pivots — all while maintaining our day-to-day restaurant operatio...
1 comment
Read more