GameStop ((((GME)- Get a Class A report for GameStop Corp. Jim Cramer has an enemy.
CNBC commentator and founder of The Street has enhanced social media users on his Twitter account through his GameStop take.
However, Cramer isn’t just fighting enthusiasts who believe in the company’s fundamentals. He is fighting the entire online community who wants to get rid of short squeeze from the game.
Shortsellers have a bad reputation among Reddit’s r / WallStreetBets message board residents, and much of the group’s energy and money is by helping companies with suspicious financial conditions such as GameStop and cinema company AMC Entertainment. I got them to pay ((((AMC)- Get Class A Report from AMC Entertainment Holdings, Inc...
GameStop was able to leverage the inflow of cash received from meme stock investors to strengthen its balance sheet.
But it doesn’t impress Cramer. “GameStop is a $ 10 billion empty company,” Cramer told CNBC on Wednesday.
GameStop is climbing the chart
GameStop shares have skyrocketed by more than 25% in the last two days after Chairman Ryan Cohen increased his stake in the company. Buy another 100,000 shares Of the company through his investment company RC Ventures.
Cohen currently owns a total of 9.1 million shares of GameStop, increasing his stake to 11.9%.
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“He comes when he thinks the apes are desperate. He’s the stock ape Jane Goodall,” Kramer said using WallStreetBets. Community-specific terminology for me. “I want a plan other than buying stocks”
Kramer isn’t ready to soften his criticism of the company, as he still believes that the in-store game retail model is no longer viable. He will remain bearish on the company until he plans to pivot his business model.
“GameStop numbers weren’t that big. I still don’t know what he (Cohen) is trying to do. If he explains it, I think we can make a decision,” Kramer said.
But he admits that the company has time to turn it around. “There is no urgency because the balance sheet is good.”
Transition to Gamestop technology
The company in Grapevine, Texas posted an adjusted net loss of $ 141 million, or $ 1.86 per share, for the quarter ended January 29.
Revenue increased 6% from $ 2.12 billion in the year-ago quarter to $ 2.25 billion.
We are currently hoping to move to a technology company and plan to launch a non-fungible token or NFT marketplace by the end of the second quarter of 2022.
“I learned from the mistakes of the last decade that GameStop couldn’t adapt to the future of the game. It was a very cyclical business and lacked capital that needed to be rebuilt from within. It’s important to emphasize. ”Chief Executive Officer Matt Farlon said of the company. Revenue call March 17th.
GameStop has partnered with Immutable X to support the development of the NFT marketplace and offer up to $ 150 million in IMX tokens, the company said.
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