Out of Meme Magic: GameStop Announces Widespread Store Closures
Struggling video game retailer and notorious meme stock GameStop has revealed its intention to close a significant number of stores across the United States after shutting down 300 locations in the previous year. One analyst noted, "GameStop has virtually ...
Looks like a normal hit piece on GME. a lot of FUD, with no facts on how many stores they plan to sell.
They also didn't mention the fact that they have zero debt and 4.5 billion in cash.
Articals like this tell me to buy more. A lot more.
True on the number of upcoming anticipated/projected store closures, but the article cited some negative sales numbers --
"...The analysts also highlighted the significant decline in annual revenue, with hardware and accessory sales plummeting by 28 percent and software sales falling by 15 percent. Additionally, collectible sales have experienced a 3.7 percent decrease, according to Retail Dive. ..."
That said, when POTUS takes the reins again in late January I expect the market in general to bounce back (with notable exceptions like "healthcare"). As I said, I don't follow GME so am not familiar with any propaganda/hit pieces that get lobbed at it, just wanted to report it here as a brief search didn't show anyone brought this up as yet.
They didnt mention the proffit they made,but i agree the company needs to buy something and go different directions, buy buy baby would fit right in.
I expect this year will be a repeat of 4 years ago,with very simiilar spikes in Jan and March. 2017 and 2021 cycle the swaps/ shorts need to be reset or purchased. They company also said they don't anticipate selling anymore shares.
If we have a big run,I will sell my non- drs shares and try to ride the wave,sell high and buy low again.
https://www.reddit.com/r/Superstonk/comments/1hbyto8/gme_has_been_riding_4year_cycles_since_2017_the/
Here is some good DD on the 4 year cycle.
Are you familiar with Retail Dive (the analysts cited)? I did a cursory look at their leadership and nothing jumped out at me, but did not delve deeper. I'm largely out of the investment world these days so don't know the reputable players vs the market manipulators.
No.
Fox News aired positive news for GME last week: https://old.reddit.com/r/Superstonk/comments/1hcy40b/first_stop_50_next_stop_100_plus/
Then DailyMail suddenly did a hit peice like the next day. This Breitbart article is a direct repost of the DM article: https://www.dailymail.co.uk/galleries/article-14190017/Major-video-game-retailer-plans-widespread-store-shutdowns.html
After 4 years the GME floor is higher than its ever been for the last month. Just look at a 1 year chart (when in doubt, zoom out). Gensler is out, Trump is in, Nunes has already put the short sellers on notice for RICO violations.
So now they are pulling out the bigger MSM guns. Its a desperate attempt to stop FOMO.
And the store closures were in Germany where GME have just ceased operating:
https://old.reddit.com/r/Superstonk/comments/1h88bby/its_oficial_now_gamestop_goes_dark_in_germany/
Thanks. I knew about the 300 stores,I didn't know or forgot they were all in Germany. They write shit like this to prevent FOMO buying.
Seeing non financial MSM like DailyMail doing anti-FOMO hitpeices is extremely bullish.
They would just not report it at all if they werent afraid of FOMO.
"... all in Germany. ..."
Please see my comments on this, below (in another comment). Here's the link for reported domestic/USA store closures for this company. I'm just the messenger here, have no vested interest here other than to inform fellow anons who DO have a vested interest in this. If the data contained in the following link is fictitious, made-up, etc, that's one thing, but if it's accurate, it does no one any good to pretend things are as they wish, not what they are. It's also not unusual for CEOs to shutter bricks-and-mortar locations to realign their assets to more profitable areas as they read and analyze the data for their businesses. Closures of stores isn't a death knell for a business and may, in fact, prove to be more profitable over time if the CEOs future projections were accurate. CEOs take risks and realign the company's assets as they see fit as part of their skill sets, just a normal MO.
This post is reporting that there were store closures and there will be more of them. Another anon is claiming there were no USA store closures yet the following link lists them. There's a disconnect here and getting the reality, the truth, out is part of what anons do here at GAW. If the data in the following link is fictitious, the comments of others seeming to verify store closures near them also fake and made-up, all the articles about domestic store closures made-up, not real, that's one thing, but wishful thinking creating an alternate reality is really not what we should be doing. MHO
You decide what you do with data that can potentially affect your everyday life.
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https://gsclosing.blogspot.com/2024/01/all-2024-closings-ytd-11.html
Thanks that's good to know,and more than I expected. I like lots of other companies more for their growth potential. The main things I like here are the shorts and the 4.5 billion in the bank.
You're welcome and thank you for your data points. Several anons here brought up some good data and analysis. It will be interesting watching what direction the CEO here takes this firm, but I expect the economy to be booming in many and most sectors (not all) so revenue/sales are likely to rise.
What this CEO may have done with the locations issue is flood the market with lots of b-&-m to get the name out there and ubiquitous then start whittling away at the less profitable (or, in cases like California, more prone to theft) ones. I've seen firms do this. For the buying public who like shopping on location, they'll then travel to a nearby town if the store in their area closes. I don't know enough about the infrastructure costs of this firm to speak on it, but if he bought the space vs rent he may have made some money on building/commercial sales in the interim, but expects that to taper off or go negative.
I don't currently trade in investments, but never did get devoted enough to wade into the options trading. I've known people who have done it quite successfully, but you really need to spend a lot of time watching the company, the sector, the market and the world, frankly. You seem to be paying close attention to this firm (as one should) and seem to be levelheaded in weighing the developments. Best of luck with this and your other financial endeavors.
Latest earnings report was good. My shares are drs, (directly registered) and I will continue to hold.
The holders of short positions are getting crippled by GME's ability to brush off the attacks. I do hope BlackRock is worried about a zillion short shares it holds. Just think of the interest on those shorts, too.
Got it. Anon Pbman2 alluded to this looking like a hit piece also.
Short and distort. The news is financial propaganda. It’s not just political sites that have narrative. Our entire society is rigged and propagandized. Our decisions are being influenced by false narratives.
Capitulation. https://www.reddit.com/r/Superstonk/s/bNEzmn5TDs
Ahhh... That's where that meme came from. Funny video!
down sizing unprofitable locations is a positive for stock investors.
it means less money wasted.
How is this a surprise? The entire gaming market has gone download only. Who's going to drive down to the store to pay $70 for a CD key just to go home and have to download the game anyway? If you don't want to give out your credit card info to the services used then you can find giftcards for all the major distributors in the impulse buy section of your grocery store
That's a good point about the subscription/online aspect of it though the tangibles still have a need for physical stores for those who like to touch and feel products before purchasing them. From what I'm reading the CEO appears to be curtailing the international business, closing stores in entire countries, and not surprising due to the direction we're heading with international trade, tariffs, etc. But as far as domestically, I also think the current crushing inflationary pressure over the past four years of the jokers trying to lead the country over a cliff has curtailed people's discretionary spending and affected sales/revenue. Not just this business, but many if not most.
I'm not clear yet on the number of domestic stores there are, but from the ballpark estimate of 4000 or so current stores I'm seeing (domestic+international) that seems to me to be somewhat overextended. In looking through data on domestic store closures it appears there are several places where there were multiple stores in one city/town. I've seen other firms operate like this over time - get a bricks-and-mortar presence on every other corner (so to speak) to become ubiquitous, a household name, then shutter the ones that aren't profitable.
It also seems, from various articles, that the CEO may be looking to steer the business in different directions so that's worth keeping an eye on.
As a gamer... This makes sense. The stores don't cater to PC gamers at all, and they don't have a lot that you would expect for handheld and console gaming. The merch could be interesting, but the selection they stock is insanely out of touch with things people want.
I don't want to see Gamestop go away, but I have been looking for the past couple years wondering how they are paying rent.
The direct link --
https://www.breitbart.com/tech/2024/12/13/out-of-meme-magic-gamestop-announces-widespread-store-closures/
Economic problems and/or crime. Lots of retail stores are closing.
Good points, both issues.
In looking over the list of 2024 store closures (link below) the largest number per state is California with 33 closures so far. In light of the marxist pro-crime leadership there I don't expect this to change much in the short term for Cali. As far as the overall/general economy goes, however, I expect that to pick up quite a bit after January and become robust.
Still, as I mentioned in another comment, some retail CEOs choose to pop a store on every corner (figuratively speaking) in early stages then whittle away those that aren't performing as well. I'm diving into this firm briefly, but from what I'm reading online - in light of this post article inre further closures - it appears the CEO may be looking to shift direction a bit even with a healing economy. I'm not sure what the implications of this are or will be, but it's worth keeping an eye on if you invest in this firm, imho.
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https://gsclosing.blogspot.com/2024/01/all-2024-closings-ytd-11.html
Note: I randomly checked about 15 of these stores and they're closed, as stated.
What the crap is this article going coming out in Breitbart??
Breitbart is nothing like what it used to be since they murdered Andrew Breitbart in 2012. Look at reddits decline since they murdered Adam Swartz.
This is just a direct repost of a DailyMail hit-piece that came out the day after Fox News did a positive segment on GME.
https://greatawakening.win/p/19A0ooFT1R/x/c/4ZHjfHg9nd9
Yeah. Daily Mail is about like the NYP here, though. They don’t usually do hit pieces, either.
"...struggling... notorious..."
As I said, I don't follow this topic normally, but Breitbart is definitely projecting a negative and disparaging slant on this company. It may stem from the analysts' report, not sure as I haven't delved into Retail Dive in any depth to see if they have a bias.
And as Pbman2 stated, the information in the article is incomplete, citing only certain data points while ignoring others, cherry-picking. It also seems "fuzzy" to me with a vague allusion to "a significant number" of upcoming store closures; most financial/business projections of this nature I've seen try to at least give a ballpark estimate on these types of upcoming events. (Eg - "Company XYZ plans to shed between twenty and thirty locations domestically in the northwest region due to continued downward economic pressures...").
Did they shut down 300 locations last year? as the article stated?
Yes,but they should be threw closing store,maybe a couple more like the artical said. They implied their would be many more and the company is on the ropes. They are not.
According to the article --
"... In March, GameStop reported the closure of 287 stores worldwide over the past 12 months, ..."
This does say "past" so I assume it's already occurred, but was "worldwide" so I don't know how the domestic/USA market was affected by this. I'm guessing the past four years of punishing inflation has put a damper on people's discretionary spending, that those struggling to feed and house their families aren't in a position to invest.
Not USA stores. They closed down stores in Germany couple months ago. Germany wasnt profitable for them.
https://old.reddit.com/r/Superstonk/comments/1h88bby/its_oficial_now_gamestop_goes_dark_in_germany/
Are you saying that the list of 201 USA stores closed in 2024, provided in the following link, is fictitious? Several of the comments to this data seem to bear out the veracity that these USA closures are real. Are you saying this is all made up?
As I've mentioned a couple times in this post/thread, I don't normally follow this topic/stock/company, have no vested interest in it one way or another (though I certainly fall on the side of anons and others who are standing strong and holding against the bevy of market manipulators who try to use the market as their own, personal, rigged game). A simple DDG search of GameStop store closures seems to also verify that many USA stores were closed this year. Your comments are that this is not true.
There's one thing wishing something wasn't true and another thing as to it actually being true or not. "Not USA stores.". Your claim is that the following list of 201 of them in the USA (of the purported 287 total store closures) is made up, never occurred. People holding this asset need to know the reality of the situation, not what someone wishes an "alternate reality" to be. It's not unusual for any corporation to shutter bricks-and-mortar locations based on current and projected future market conditions as they analyze their sales and revenue data, cost projections, etc, and move resources to more profitable areas. It's considered normal business operations and generally promotes an increase in holdings value over time if the CEOs projections were accurate.
Don't shoot the messenger here; I'm simply trying to share reported data that I know affects several anons here. If the following source is fictitious, made-up, not true and that, as you claim, "Not USA stores." is the reality, please verify your statement for the benefit of all interested parties here.
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https://gsclosing.blogspot.com/2024/01/all-2024-closings-ytd-11.html
No dates on any of those store closures so it means nothing. How does a blog post made in January 2024 list all the 2024 closures?
Of course the recent msm article would include the German stores.
RC has been trimming the fat and closing non profitable stores for years now. Nothing new in your wall of 'Greetings fellow anons..I totally don't care about the gme but im very concerned blah blah etc' text.
I randomly checked about fifteen of the stores on that list - all closed. I suspect the list was started in January 2024 and is kept updated throughout the year to the present. Obviously you didn't bother to check this.
Look, anon, your schtick about all of the 300 store closures being shuttered being in Germany is false. You fervently want to believe in your fantasy so have at it. You can attack the messenger all you want here, but the fact remains that I've provided information, real data, to those who choose to consider it. Your implication that my stance is "blah blah", as you term it, is juvenile, and meant to throw shade on my intentions here. I assume this is based on the fact that you don't like the reality of these store closures - so much so that you literally told another anon that all those store closures were in Germany when they're not. Now you're admitting that they have been "trimming the fat... Nothing new...".
What is it you want here, anon? Any facts you don't like should not be shared? Any new disclosures, any new projections, from the CEO here should not be shared if they're not in line with what you want to hear? He's signalling that there will be more store closures coming, but you don't want this to happen? As a (former, currently inactive) investor myself I take in ALL data to keep a pulse on what direction firms I've invested in are moving, if I agree with the CEOs, how I think this might affect valuations, etc.
Personally I'm currently bullish on the market (with notable exceptions like healthcare), mostly due to the incoming political leader and administration. I have not studied the gaming market nor this GameStop firm, have read posts about it here, but I suspect at least some of the current downturn in sales and concurrent store closures has to do with the past four years of crushing inflationary pressure causing people's discretionary spending to be severely curtailed. Perhaps that's why the CEO has been vague about the number of upcoming store closures as he waits to see how Trump's first months and year affect his firm's market and future projections. Or he may genuinely just want to alter the layout of his company's holdings and segue into different products. Whatever the future holds it's my opinion that the more data an investor has, the better decisions they can make.
Yes, the Breitbart article has a negative slant to it, but it's incumbent upon us to pull out facts, real data, from information provided however they choose to portray it. You can do whatever you want with this data - ignore it, fantasize it away in your mind and try to convince others it's not true as well, etc. Your choice, your consequences. Others here who have an interest in this can make their own decisions as to what to do with it.
Another wall of text for something that you totally dont care about.
Im not here to convince you of anything. Just go ahead and short it genius.
Not shorting anything, anon. Lost respect for you when you made up "facts" to suit your feelings. Done engaging with you.
I located this list, don't know how reliable or accurate the source is, but I'm reading this as closures that occurred in 2024 domestically. I didn't count them myself, but it says 201 closures so the remaining 86 store closures must have been international locations.
https://gsclosing.blogspot.com/2024/01/all-2024-closings-ytd-11.html
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Edit: Counted and there are 201 domestic locations on this list. I randomly checked several and they are closed.