Exactly one month ago, we introduced the world to Ryan Cohen – the guy who bought 9 million shares of GameStop stock in the middle of 2020 when it was trading at $8 a share. By reaching 12 million people on Facebook alone, our original article from January 28 became one of Celebrity Net Worth’s most popular pieces ever. During the first wave of GameStop craze, when the price of a share rose from $19 to $400 or more, Ryan Cohen, a relatively unknown businessman, became a multi-billionaire on paper. We believed the craze was over when GameStop’s stock returned to reality and settled in the $40–$50 region. We were mistaken. GameStop fever has returned, baby! And it all started with a picture of an ice cream cone…
A Quick Backstory
Before becoming GameStop famous, Ryan Cohen was known for being the co-founder of online pet food/toy company Chewy.com. Chewy was purchased by PetSmart in 2017 for $3.35 billion. Chewy went public through PetSmart in 2019. Chewy’s market valuation as of right now is $42 billion.
As we previously indicated, at some point in the middle of 2020, Ryan purchased 9 million shares—exactly 9,001,000—of GameStop at an average cost of $8 per share. He currently holds about 10% of GameStop. He invested about $76 million in total to buy his shares. He was given a seat on GameStop’s board of directors and mostly stayed quiet for the next few months.
Ryan publicly criticized GameStop’s performance in a letter to the board of directors that was published in November 2020. The company’s share price was roughly $10 at the time. The share price was roughly $30 five years ago.
[Disclaimer – I do not own any shares of GameStop and this article is not advising you to buy or sell shares in anything. entirely informational and entertaining…]
Mania Part 1
The stock completed the day on January 26 a few cents under $148.
For a brief shining moment on Wednesday January 27, GameStop shares hit $483 per share. Ryan’s 9 million shares at that price were worth slightly less than $4.4 billion.
Mania Cools Down
On January 28, the hysteria started to subside.
January 28: GameStop ended the day at $193 per share. Ryan’s stock was valued at $1.7 billion at that time.
February 2: GameStop closed at $90 on Tuesday. lowering Ryan’s ownership to $810,000,000.
Mania Part 2
I had to dig into this for a half an hour to figure out the meaning. What I discovered is as follows:
“Moving Average Convergence Divergence” is a term used in finance. Some financial nerds refer to the momentum indicator, often known by the acronym “MACD,” as a “trend-following momentum indicator that signals when a stock might be overbought or undersold.” In a nutshell, it’s a signal that it would be a good idea to purchase or sell stocks.
MACD. such like McDonald’s Hence, Cohen’s tweet’s ice cream cone.
Again, when Ryan sent his tweet at 1:57 PM EST GME was at $49. GME was trading at $91 when markets closed two and a half hours later.
Here is a graph I made of some noteworthy events from the previous week:
Thursday’s market opening saw Ryan’s shares briefly valued =
With GME ending at $101.74 on Friday, the value of Ryan’s 9,001,000 shares was =
And when the markets opened on Monday, that is where we began.
When markets closed on Monday, GameStop was up 18% on the day, closing at $120.40. Ryan’s shares were worth at that time =
Are there going to be a few more loops on the roller coaster? We’ll keep you posted!
South Texas was getting a ton of rain and the rivers were flooding A new system was implemented to help transfer the water from North Texas where the rain originated
Meteorologist Heather Tesch determines when it rains throughout the days.
You can get your room earlier by try this
Guest enjoy indulging in late checkout at some of the best hotels and resorts. Their ability to spend more time...
White House touts victories with the Inflation Reduction Act despite Republican opposition
White House Communications Director Kate Bedingfield applauded the passage of the Inflation Reduction Act on Sunday, which garnered support from...
Chelsea and Tottenham 2: Coaches clash in London as Chelsea and Tottenham draw
This has been the Battle of the Bridge, Part 2. As this time, Antonio Conte and Thomas Tuchel have played...
Norway puts down loved walrus Freya, destroyer of boats
NORWAY — Authorities in Oslo have made the decision to euthanize a walrus.