Joost, I like your content but parts of your take on Gamestop above are off the mark. e.g. "Ryan Cohen, who has very successfully failed at saving the company while profiting personally." and "He clearly has no intention, or plan, to turn the company around." Did you know that Cohen takes zero salary? So how is he profiting? He is incentivized to grow equity value of the millions of shares that he bought and seems pretty vocal that this is a longer-term play. So, my personal opinion - it seems to me that he at least will have intentions to try to turn the company around.
Hey. Appreciate the comment. You're right, of course, that Cohen's only income opportunity here is to grew share value. But what do you make of the absence of a strong roadmap and a mostly vacant board?
I can see how more clarity on those points would give more comfort. I'm no expert as I've only recently started looking in to gamestop more, but yes can see how people likely need to take more of a leap of faith on something like this one. Seems like many who are bullish are aware of that though (?). But how much transparency on roadmap would you reasonably expect? Many successful business folks keep plans close to the chest. They have stated a few times that their strategy is to reduce their stores footprint, work on assortment of higher value product, etc and they might use their recent proceeds from share offering for investment or M&A. This seems like a personal risk tolerance thing, not a "he clearly has no intention, or plan, to turn the company around" thing. Just my personal opinion
Joost, I like your content but parts of your take on Gamestop above are off the mark. e.g. "Ryan Cohen, who has very successfully failed at saving the company while profiting personally." and "He clearly has no intention, or plan, to turn the company around." Did you know that Cohen takes zero salary? So how is he profiting? He is incentivized to grow equity value of the millions of shares that he bought and seems pretty vocal that this is a longer-term play. So, my personal opinion - it seems to me that he at least will have intentions to try to turn the company around.
Hey. Appreciate the comment. You're right, of course, that Cohen's only income opportunity here is to grew share value. But what do you make of the absence of a strong roadmap and a mostly vacant board?
I can see how more clarity on those points would give more comfort. I'm no expert as I've only recently started looking in to gamestop more, but yes can see how people likely need to take more of a leap of faith on something like this one. Seems like many who are bullish are aware of that though (?). But how much transparency on roadmap would you reasonably expect? Many successful business folks keep plans close to the chest. They have stated a few times that their strategy is to reduce their stores footprint, work on assortment of higher value product, etc and they might use their recent proceeds from share offering for investment or M&A. This seems like a personal risk tolerance thing, not a "he clearly has no intention, or plan, to turn the company around" thing. Just my personal opinion