Gamestop CEO Ryan Cohen buys $10.78 million in shares

GameStop Corp . (NYSE:GME) President, CEO, and Chairman Ryan Cohen has expanded his stake in the company by purchasing an additional 500,000 shares of Class A common stock. The transaction, dated April 3, 2025, was executed at a price of $21.55 per share, amounting to a total investment of approximately $10.78 million. The purchase comes as GameStop trades at a P/E ratio of 73x, with the stock showing a notable negative correlation to broader market movements with a beta of -0.41. Following this acquisition, Cohen's direct ownership of GameStop shares increased to 37,347,842 shares. This move comes after a recent internal transfer where Cohen consolidated shares previously held through RC Ventures LLC into his direct ownership. The company maintains strong financial health with a current ratio of 8.05, indicating robust liquidity. InvestingPro analysis reveals 12 additional key insights about GameStop's financial position and market performance.

In other recent news, GameStop Corp. has announced the pricing of $1.3 billion in 0.00% Convertible Senior Notes due 2030, directed at qualified institutional buyers. The company expects to raise approximately $1.28 billion, with plans to allocate these funds for general corporate purposes, including investments in Bitcoin. The initial conversion rate is set at 33.4970 shares per $1,000 principal amount of notes, equating to a conversion price of about $29.85 per share, representing a 37.5% premium over the stock's recent weighted average price. Wedbush Securities has adjusted its outlook on GameStop, increasing the price target to $13.50 from $11.50 while maintaining an Outperform rating, citing the details of the recent convertible notes offering. However, they also maintained an Underperform rating with a steady price target of $11.50, expressing skepticism about the company's Bitcoin investment strategy and the bond offering's appeal. Baird analysts have maintained a neutral stance on GameStop, incorporating the company's fourth-quarter results into their updated business model and noting possible improvements due to strategic changes. Despite these developments, some investors have reacted cautiously to the convertible notes offering, concerned about potential dilution and the implications of investing in cryptocurrency.

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