No Result
View All Result
SUBMIT YOUR ARTICLES
  • Login
Saturday, October 4, 2025
TheAdviserMagazine.com
  • Home
  • Financial Planning
    • Financial Planning
    • Personal Finance
  • Market Research
    • Business
    • Investing
    • Money
    • Economy
    • Markets
    • Stocks
    • Trading
  • 401k Plans
  • College
  • IRS & Taxes
  • Estate Plans
  • Social Security
  • Medicare
  • Legal
  • Home
  • Financial Planning
    • Financial Planning
    • Personal Finance
  • Market Research
    • Business
    • Investing
    • Money
    • Economy
    • Markets
    • Stocks
    • Trading
  • 401k Plans
  • College
  • IRS & Taxes
  • Estate Plans
  • Social Security
  • Medicare
  • Legal
No Result
View All Result
TheAdviserMagazine.com
No Result
View All Result
Home Market Research Markets

GameStop shares tank as retailer reveals convertible debt offering, trading cards plan

by TheAdviserMagazine
4 months ago
in Markets
Reading Time: 3 mins read
A A
GameStop shares tank as retailer reveals convertible debt offering, trading cards plan
Share on FacebookShare on TwitterShare on LInkedIn


A Gamestop store is seen in Union Square on April 4, 2025 in New York City. 

Michael M. Santiago | Getty Images

GameStop shares slid Thursday after the video game retailer announced plans for a $1.75 billion convertible notes offering to potentially fund its new bitcoin purchase strategy. The company also said it would turn its focus toward the trading card market.

The retailer said it intends to use the net proceeds from the note offering for general corporate purposes, “including making investments in a manner consistent with GameStop’s Investment Policy and potential acquisitions.”

Part of the investment policy is to add cryptocurrencies to its balance sheet. Last month, GameStop bought 4,710 bitcoins, worth more than half a billion dollars.

The stock tanked 23% in afternoon trading.

Stock Chart IconStock chart icon

GameStop

GameStop is following in the footsteps of software company MicroStrategy, now known as Strategy, which bought billions of dollars worth of bitcoin in recent years to become the largest corporate holder of the flagship cryptocurrency. That decision prompted a rapid, albeit volatile, rise for Strategy’s stock.

Strategy has issued various forms of securities including convertible debt to fund its bitcoin purchases.

CEO Ryan Cohen recently said GameStop’s decision to buy bitcoin is driven by macro concerns as the digital coin, with its fixed supply and decentralized nature, could serve as protection against certain risks.

The brick-and-mortar retailer reported a decline in fiscal first-quarter revenue on Tuesday as demand for online gaming rose. Its revenue dropped 17% year over year to $732.4 million. 

The shares fell 5% on Wednesday after those results. Wall Street appears uncertain the video game retailer can mimic the success of MicroStrategy.

Wedbush analyst Michael Pachter reiterated his underperform rating on GameStop on Wednesday, saying the meme stock has consistently capitalized on “greater fools” willing to pay more than twice its asset value for its shares. The Wedbush analyst believes the bitcoin buying strategy makes little sense as the company, already trading at 2.4 times cash, isn’t likely to drive an even greater premium by converting more cash to crypto.

Separately, Cohen said on Thursday at the company’s annual meeting that GameStop is focusing on trading cards as “a natural extension” of its existing business, according to a transcript on FactSet. He said that this market is embedded in physical retail and has “high margin potential.”

GameStop’s collectibles revenue in the first quarter surged 54% on a year-over-year basis, driven by growing demand for trading cards – in particular, the Pokémon Trading Card Game, the company said.

Data tracker Circana said its March Omnibus survey revealed that 19% of adults have purchased Pokémon trading cards for themselves in the past six months.

The majority are collecting the cards as a hobby or for decoration, Circana said. The firm added that adults have been helping to boost toy sales, with the demographic accounting for the highest spending among all age groups in the first quarter. 

—CNBC’s Christina Cheddar Berk contributed reporting.

Correction: GameStop shares fell 5% on Wednesday. An earlier version misstated the percentage.

Don’t miss these insights from CNBC PRO



Source link

Tags: CardsconvertibledebtGameStopOfferingplanretailerrevealssharestankTrading
ShareTweetShare
Previous Post

Costco to Restore Key Benefit for Executive Members at Select Stores

Next Post

How advisors should talk to clients about looming inflation

Related Posts

edit post
Bitcoin rallies to within 1% of all-time high, gaining safe-haven status during shutdown

Bitcoin rallies to within 1% of all-time high, gaining safe-haven status during shutdown

by TheAdviserMagazine
October 4, 2025
0

Bitcoin rallied on Friday to within striking distance of its record high as the U.S. government's shutdown entered its third...

edit post
U.S., Europe brands take on the Chinese consumer

U.S., Europe brands take on the Chinese consumer

by TheAdviserMagazine
October 3, 2025
0

Pictured here is Louis Vuitton's new cruise ship-shaped store in Shanghai, China, on June 28, 2025.Bloomberg | Bloomberg | Getty...

edit post
Now This Common Supplement May Slow Aging, Too

Now This Common Supplement May Slow Aging, Too

by TheAdviserMagazine
October 3, 2025
0

puhhha / Shutterstock.comResearchers have identified a common supplement that can slow aging. It may even be in your medicine cabinet...

edit post
Chicago Fed President Goolsbee ‘a little wary’ about cutting interest rates too quickly

Chicago Fed President Goolsbee ‘a little wary’ about cutting interest rates too quickly

by TheAdviserMagazine
October 3, 2025
0

Chicago Federal Reserve President Austan Goolsbee said Friday he's leery of cutting interest rates too quickly as threats increase both...

edit post
3 Trump Tax Cuts That Democrats Want to Expand Even More

3 Trump Tax Cuts That Democrats Want to Expand Even More

by TheAdviserMagazine
October 3, 2025
0

Pla2na / Shutterstock.comIt is a rare day when President Donald Trump and congressional Democrats agree on a big issue. But...

edit post
Innovation pipeline, portfolio in focus ahead of Johnson & Johnson’s Q3 earnings

Innovation pipeline, portfolio in focus ahead of Johnson & Johnson’s Q3 earnings

by TheAdviserMagazine
October 3, 2025
0

For Johnson & Johnson (NYSE: JNJ), 2025 has been a strong year, marked by an impressive financial performance that drove...

Next Post
edit post
How advisors should talk to clients about looming inflation

How advisors should talk to clients about looming inflation

edit post
Wealthsimple Trade in-depth review 2025: The pros and cons of investing on this app

Wealthsimple Trade in-depth review 2025: The pros and cons of investing on this app

  • Trending
  • Comments
  • Latest
edit post
What Happens If a Spouse Dies Without a Will in North Carolina?

What Happens If a Spouse Dies Without a Will in North Carolina?

September 14, 2025
edit post
California May Reimplement Mask Mandates

California May Reimplement Mask Mandates

September 5, 2025
edit post
Does a Will Need to Be Notarized in North Carolina?

Does a Will Need to Be Notarized in North Carolina?

September 8, 2025
edit post
DACA recipients no longer eligible for Marketplace health insurance and subsidies

DACA recipients no longer eligible for Marketplace health insurance and subsidies

September 11, 2025
edit post
‘Quiet luxury’ is coming for the housing market, The Corcoran Group CEO says. It’s not just the Hamptons, Aspen, and Miami anymore

‘Quiet luxury’ is coming for the housing market, The Corcoran Group CEO says. It’s not just the Hamptons, Aspen, and Miami anymore

September 9, 2025
edit post
Tips to Apply for Mental Health SSDI Without Therapy

Tips to Apply for Mental Health SSDI Without Therapy

September 19, 2025
edit post
Bitcoin rallies to within 1% of all-time high, gaining safe-haven status during shutdown

Bitcoin rallies to within 1% of all-time high, gaining safe-haven status during shutdown

0
edit post
Jeff Bezos agrees with OpenAI’s Sam Altman: We’re in an AI bubble. But Amazon’s founder says the benefits will be ‘gigantic’

Jeff Bezos agrees with OpenAI’s Sam Altman: We’re in an AI bubble. But Amazon’s founder says the benefits will be ‘gigantic’

0
edit post
How MillerMusmar CPAs Switched to Canopy During Tax Season

How MillerMusmar CPAs Switched to Canopy During Tax Season

0
edit post
Detroit Doesn’t Want More Real Estate Investors—But Their New Policy is Creating More

Detroit Doesn’t Want More Real Estate Investors—But Their New Policy is Creating More

0
edit post
*HOT* Extra 50% off Gap Factory Clearance + Free Shipping = Prices from .99 shipped!

*HOT* Extra 50% off Gap Factory Clearance + Free Shipping = Prices from $3.99 shipped!

0
edit post
In other news this week: Monterro launches new €1.7B funds, Teylor lands €150M, Vibe.co raises €42.5M and more

In other news this week: Monterro launches new €1.7B funds, Teylor lands €150M, Vibe.co raises €42.5M and more

0
edit post
Jeff Bezos agrees with OpenAI’s Sam Altman: We’re in an AI bubble. But Amazon’s founder says the benefits will be ‘gigantic’

Jeff Bezos agrees with OpenAI’s Sam Altman: We’re in an AI bubble. But Amazon’s founder says the benefits will be ‘gigantic’

October 4, 2025
edit post
Bitcoin rallies to within 1% of all-time high, gaining safe-haven status during shutdown

Bitcoin rallies to within 1% of all-time high, gaining safe-haven status during shutdown

October 4, 2025
edit post
FLOKI Makes History With First ETP in Europe as Price Surges 30%

FLOKI Makes History With First ETP in Europe as Price Surges 30%

October 4, 2025
edit post
In other news this week: Monterro launches new €1.7B funds, Teylor lands €150M, Vibe.co raises €42.5M and more

In other news this week: Monterro launches new €1.7B funds, Teylor lands €150M, Vibe.co raises €42.5M and more

October 4, 2025
edit post
CreditAccess, Fusion Finance: Motilal Oswal bet on recovery-led growth in microfinance

CreditAccess, Fusion Finance: Motilal Oswal bet on recovery-led growth in microfinance

October 4, 2025
edit post
Former Tesla exec claims EV industry will grow, not shrink, after death of ,500 tax credit: ‘The market’s established’

Former Tesla exec claims EV industry will grow, not shrink, after death of $7,500 tax credit: ‘The market’s established’

October 4, 2025
The Adviser Magazine

The first and only national digital and print magazine that connects individuals, families, and businesses to Fee-Only financial advisers, accountants, attorneys and college guidance counselors.

CATEGORIES

  • 401k Plans
  • Business
  • College
  • Cryptocurrency
  • Economy
  • Estate Plans
  • Financial Planning
  • Investing
  • IRS & Taxes
  • Legal
  • Market Analysis
  • Markets
  • Medicare
  • Money
  • Personal Finance
  • Social Security
  • Startups
  • Stock Market
  • Trading

LATEST UPDATES

  • Jeff Bezos agrees with OpenAI’s Sam Altman: We’re in an AI bubble. But Amazon’s founder says the benefits will be ‘gigantic’
  • Bitcoin rallies to within 1% of all-time high, gaining safe-haven status during shutdown
  • FLOKI Makes History With First ETP in Europe as Price Surges 30%
  • Our Great Privacy Policy
  • Terms of Use, Legal Notices & Disclosures
  • Contact us
  • About Us

© Copyright 2024 All Rights Reserved
See articles for original source and related links to external sites.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • Home
  • Financial Planning
    • Financial Planning
    • Personal Finance
  • Market Research
    • Business
    • Investing
    • Money
    • Economy
    • Markets
    • Stocks
    • Trading
  • 401k Plans
  • College
  • IRS & Taxes
  • Estate Plans
  • Social Security
  • Medicare
  • Legal

© Copyright 2024 All Rights Reserved
See articles for original source and related links to external sites.