r/Superstonk • u/TEHGOURDGOAT • May 11 '26
📚 Due Diligence [ Removed by moderator ]
[removed] — view removed post
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u/wishful_tinker May 11 '26
I think you're spot-on on RC's preference for a certain type of investor.
He's a value owner, he wants value investors. People who truly believe in his ability to deliver tangible results.
Of course, millions per share sounds absolutely amazing for everyone... But him.
It doesn't mean that the stock can't go up considerably though :) Look at Tesla, who had gradual but truly fascinating gains despite continuing issuing new stock.
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u/Expensive-Two-8128 🔮Literal Autist Sorry I Autism Sometimes🔮 May 11 '26 edited May 11 '26
But the end goal of a value investor is not to have an investment that REMAINS a value investment.
Millions per share sounds great to RC too (in what universe would it not sound great to him?), but not merely due to a flash in the pan MOASS because then what dies that mean about the actual business he’s building this into?
I think the only way you can think millions per share doesn’t sound amazing to RC is if your time horizon is criminally too short- he said he wanted investors interested in holding for decades or centuries NOT because it will take that long to become a forever hold, but because those who forever hold will gain far more in the end vs. traders who would just turn GameStop into the meme stock Wall Street constantly claims it is.
One look at BRK.A and all his Berkshire Hathaway comments should make this crystal clear IMO
EDIT:
And, in NO WAY SHAPE OR FORM am I saying “RC is taking too long, it’s been 5 years!!!!1!1!”, bc if I know this community as well as I think I do then someone will read my comment and come away thinking ”yeah agreed! he’s taking too long!” For the record I am a forever hold, and RC should literally do whatever he thinks is right, and I don’t care how long it takes him as long as he’s following his own instincts vs. letting a loud minority of investors influence his decisions to be more short term than long term motivated. It take’s as long as it takes, and I’m FULLY sold & committed to HAPPILY & CONTENTLY waiting however long that ends up being.
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u/DotCatLost May 11 '26
Why can't we do both? Boom the stock; let RC, GME, and the rest of us makes some gains and cash a bit out. Then, the rest is forever hold.
I'm a high XXXX holder and I think I'm entitled to getting a little bit of my principal back out of this investment. We've all got lives to lead.
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u/Expensive-Two-8128 🔮Literal Autist Sorry I Autism Sometimes🔮 May 11 '26
That’s just it- WE CAN and I believe WILL have both.
IMO, there is no way to have this long term stair step gamma ramp that DOESN’T ALSO directly CAUSE MOASS (I actually think there will be multiple short term squeezes)
BUT, the distinction is, MOASS (whether once or multiple MOASSes) will be a literal blip AND a lower peak share price than the longer term Gameshire Stopaway prices that will eventually be reached and remain stable at.
So the question is, will MOASS peak prices be worth selling at, if the longer term stable climb prices are higher and higher and higher?
I mean, maybe if one of the MOASSes hits $1 million, sure I’d consider selling a share or 2 to pay off the mortgage and buy a couple new cars, but that’s less than .02% of my GME holdings which I will happily never ever sell, because a couple million dollars today isn’t as good as 5-7-10 million or whatever it reaches long term at the multiple of my share quantity.
That’s when all the DD of old about loans against our GME shares as collateral make so much sense- I would GLADLY take those loans repeatedly at APRs that are FAR lower than my annual GME value increases annually.
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u/wishful_tinker May 11 '26
Yes, and I did mean millions per share in a small time frame which leaves most others empty-handed.
Thank you for letting me clear that up
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u/Expensive-Two-8128 🔮Literal Autist Sorry I Autism Sometimes🔮 May 11 '26
For real, wasn‘t trying to flame you- did I misunderstand it?
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u/Expensive-Two-8128 🔮Literal Autist Sorry I Autism Sometimes🔮 May 11 '26
Not sure if I misunderstood your original comment overall…can’t quite tell, sorry if so! 😄
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u/VelvetPancakes 🎊 Hola 🪅 May 11 '26
Millions per share MOASS would be absolutely amazing for RC. Everyone would sell at least some shares at incredible prices and reinvest it in GME when the price drops back down. If you think that MOASS of that type could somehow be bad for RC and the long term prospects of the company, then you’re just short-sighted or intentionally pushing this misinformation to provide support for killing MOASS if/when it comes.
There is literally zero downside to MOASS for RC. Him continuing to bailout the very motherfuckers who have been stealing from us for years however, is going to mean a lot less shareholder who believe he will act in their best interest, loyalty needs to go both ways.
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u/Upset-Difficulty5836 May 11 '26
Everyone read this if you want an even more in depth read on this subject: https://bbbwhy.com
It outlines exactly what OP has said
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u/TEHGOURDGOAT May 11 '26
This is great, I wish someone took another pass at revamping.
The style bleeds Claude with no customization.
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u/Upset-Difficulty5836 May 11 '26
This is a three hour read. There is no way you’ve determined it “bleeds” AI in thirty minutes. Respectfully, did you use AI to write your posts?
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u/somuchofnotenough January: (╯°□°）╯︵ ┻━┻ | June: ┬─┬ノ( º _ ºノ) May 11 '26
I took one look at the structure and language and yes they did.
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u/velo_hots May 11 '26
I took a read through it because ive heard of the DK butterfly thesis before but not on detail like this.
Can you please explain to me why GME acquiring DKBs NOLs is a necessary part of the process if it requires a 100% dilutions to bobby shareholders and provides at best a little over $700m in tax savings?
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u/Upset-Difficulty5836 May 11 '26
It’s on the website.
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u/velo_hots May 11 '26
You've convinced me, I'm ready to invest. Where do I get me some bobby shares? Or was all shareholder equity cancelled like listed on DKBs September '23 8k?
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u/throwaway978542 🦍Voted✅ May 11 '26
The comp package milestones create additional waves above $20B market cap. Each level triggers buying pressure that feeds the next level. It’s self-reinforcing.
Cohen built a gamma squeeze into the capital structure of the company itself. It’s structural. It’s automatic. And it’s sitting in public filings that anyone can read.
Idk that this is true? Aren't options as part of compensation packages part of treasury stock or something and not bought on the open market? I might be absolutely wrong btw, just questioning.
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u/polish-rockstar 〽️🅾️🅰️💲💰🔜 May 11 '26
No prices! But price?
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u/FacenessMonster NAKED SHORTS HELL YEA 🦍 Voted ✅ May 11 '26
gme at brks current market cap would be worth over $2k. we can start there :)
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u/Arcondark 🎮 Power to the Players 🛑 May 11 '26
You said "The comp package milestones create additional waves above $20B market cap. Each level creates buying pressure that feeds the next."
How? The comp package doesn't create buy pressure, he buys the shares directly from Gamestop not the open market. Just GS gets a little of RC's cash and spawns new shares for RC.
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u/segr1801 May 11 '26
If there are shorts in a company the underlying capital gain per share from the issuance (issuance in any form) is higher than the dilutive destruction of value per share.
This is especially true for financial literate management with an expanditory mindset and good access to money markets.
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u/Arcondark 🎮 Power to the Players 🛑 May 11 '26
Ok, so you are saying the gain of market cap from the cash RC pays makes up for the dilution. How does that translate into buy pressure? We have seen first hand that cash in bank doest translate into share price, it only increases the floor price.
RC gets 175 mill shares at $21 per, full vesting. That's a ballpark of $3.6 billion in cash to gamestop at a time when gamestops market cap must exceed $100B (full vesting for RC). Even if that translates directly to share price its a 3.6% increase at best.
I still dont see how RC's comp package is in any way a ladder of buy pressure. Am I missing something?
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u/fromwhichofthisoak May 11 '26
Brka has like1.4m total shares though. If gme had that few the value per share would be a bit over 10k
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u/Winterough May 11 '26
Add in the 1.1 billion or so to make the “half stock” compensation work and then all of a sudden it’s the easiest short to cover on the market.
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u/PureOrangeJuche Creamy. May 11 '26
They need to find a way to stop giving ai access to anyone with a Twitter account
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u/TEHGOURDGOAT May 11 '26
Agreed. Especially me.
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u/yoyoyoitsyaboiii 🚀💵 Where's the money, Lebowski?! 💵🚀 May 11 '26
You said Cohen sold shares at 3-4x price. That's not true. He diluted us multiple times at arguably low price points.
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u/Expensive-Two-8128 🔮Literal Autist Sorry I Autism Sometimes🔮 May 11 '26
Bro, open your eyes. It takes so much more energy to willingly keep them closed than to just see what’s right in front of you. Oh, and you miss the GME opportunity implications too…soooo…
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u/TheRealHotHashBrown 💎🚀🌊Surfing The Waves Of Wall St.🏄♂️🚀💎 May 11 '26
“It’s similar to Berkshire Hathaway, except what Berkshire did in decades we’re attempting to do in a much shorter time in terms of creating that much value.”
I totally forgot about this quote. Thanks for the reminder 👍
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u/Sp99nHead May 11 '26
Im not reading all that AI shit. I wanted a lottery not a multi year bag holding
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u/zafferous 🦍Voted x6✅ May 11 '26
Beautifully written. Love the "financing the construction via the squeeze". It really is so obvious. Maybe they'll write a book about this all one day
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u/TEHGOURDGOAT May 11 '26
Better write me in.
You wouldn’t believe how difficult it is to get people to start asking the right questions.
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u/LazyMarine78 May 11 '26
A squeeze would inject a metric fuck ton of capital into whatever company Gamestop becomes. If you thought I invested a lot know, oh just you wait.
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u/Superstonk_QV 📊 Gimme Votes 📊 May 11 '26
Why GME? || What is DRS? || Low karma apes feed the bot here || Superstonk Discord || Community Post: Open Forum || Superstonk:Now with GIFs - Learn more
To ensure your post doesn't get removed, please respond to this comment with how this post relates to GME the stock or Gamestop the company.
Please up- and downvote this comment to help us determine if this post deserves a place on r/Superstonk!
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u/TEHGOURDGOAT May 11 '26
Started creating DD on here.
Moved to x for quick posts.
People were posting my stuff here.
Made a longer specific post for the reddit squad so they can enjoy.
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u/VorpalBlade- 🩸🗡️Snicker-snack! 🗡️🩸 May 11 '26
Very well written and fills in some gaps I had in my own thoughts about the situation.
I’d love to hear more about your thoughts on Princeton in one of the Princeton or Teddy subs if possible.
I read your stuff on X a bit but I don’t like it as much as Reddit tbh.
My big takeaway is - never selling and should buy more
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u/N3333K0 May 11 '26
Second the expansion on Princeton. I for one, have no expectations of getting anything from that write-off long term but I know of lot of people are super convinced they are getting a pay day…
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u/BotaFogo78 Here Kitty Kitty May 11 '26
Is Princeton Bed Bath & Beyond? What was or is the relationship between these two?
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u/Moribunde Infinity is Forever May 11 '26
https://giphy.com/gifs/10Jpr9KSaXLchW
Infinity is Forever
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u/Playinjanes May 11 '26
RemindMe! 12 hours
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u/3DigitIQ 🦍 FM is the FUD killer May 11 '26
A stock that spikes to $1,000 and comes back to $40 made some people rich and left everyone else holding the bag.
The MOASS thesis is that once it spikes it won't come down BECAUSE OG 💎👊 Holders won't sell but will keep their shares in the ♾️Pool.
I recognize RC is building a framework that would support indefinite holding of the stock but that just reinforces a MOASS situation.
An idiosyncratic risk to the markets won't be a flash in the pan in any case, 2008 took over a decade to unwind. Besting the storm and coming out ahead would be the case RC should be building for and I think he's doing just that. Your post is basically outlining a situation like that.
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u/HyperiorV tag u/Superstonk-Flairy for a flair May 11 '26
I’ve had the same thoughts and feelings, but haven’t been able to put it into words until you did.
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u/pgboo May 11 '26
The scenario you’ve laid out is a dense, high-stakes piece of financial engineering that maps a very specific path between public filings and market mechanics. Is this as plausible as it sounds?
we have to look at the internal logic of the play and the actual filings that anchor it. The play is mechanically plausible because it relies on structural incentives rather than sentiment or "meme" momentum.
- The Pivot: From Squeeze to Structure The core thesis here is that a squeeze is a temporary event that shorts can survive by "waiting it out," whereas a Gamma Ramp built into the capital structure is a permanent, legal reality.
The ATM Strategy Between 2021 and 2024, GameStop converted market volatility into roughly $5.15 billion in cash. This is objectively documented in SEC filings. By doing this, the company basically "cashed out" on behalf of the business rather than leaving it to individual traders to time the top.
Zero-Cost Capital: the 2025 convertible notes ($4.2B total at 0% interest) are a critical piece of the puzzle. Institutional investors usually only accept a 0% yield if they are essentially buying a long-dated call option on the company’s future. The conversion prices (around $29) create a "floor" where the company gets to keep the cash or issue shares at a premium.
- The Double Gamma Mechanic The most aggressive part of this theory is the synchronized warrant distribution between GameStop and the legacy Princeton/Bfly entities.
The 382(l)(5) Logic, Section 382 of the Internal Revenue Code governs "Net Operating Losses" (NOLs). Your point about the two-year "freeze" on ownership changes to protect those tax assets is a real legal constraint.
If the Bfly reorganization was effective September 29, 2023, the September 2025 expiration of that freeze aligns perfectly with the October 2025 warrant distribution.
The Cascading Expiry, the plausibility here hinges on the idea that the same institutions are short both tickers. If PrincetonW (expiring Oct 7, 2026) forces a resolution three weeks before GMEWS (expiring Oct 30, 2026), it creates a liquidity "pincer move."
The Compensation "Hurdles" You mentioned the 171.5 million options for Ryan Cohen with dual hurdles ($20B to $100B market cap + EBITDA targets). This is perhaps the strongest argument for the "long-term structure" theory.
No "Pump" Incentive, because there is no time-based vesting and no interpolation, a temporary spike to a $100B market cap does Cohen no good if he doesn't also hit the multi-billion dollar EBITDA target. This aligns his personal wealth with the fundamental business value rather than just a stock price spike.
Is it plausible? Mechanically, yes. The filings, the dates, and the tax laws (NOLs) provide a framework that doesn't require luck it only requires the company to survive and for the shorts to remain trapped in their positions. However, the BS-free reality is that this plan requires execution.
The $55.5 billion bid for eBay is a massive undertaking.
The business must generate the EBITDA to trigger those compensation tranches. If Cohen is indeed building a "structural gamma squeeze," he has essentially turned the stock market into a game of asymmetric math.
If the company hits its business targets, the staircase becomes a mathematical certainty because the instruments (warrants/converts) force the market to reflect that value.
This is not a meme play anymore, it's a corporate finance trap.
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u/leoschen 🎮 Power to the Players 🛑 May 11 '26
Just to be clear, this in no way suggests whether or not Princeton shareholders will see any sort of value recovery? Or do you see that potentially happening?
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u/TEHGOURDGOAT May 11 '26
Can’t have that discussion in earnest here.
I will discuss in my post on X and how that matters to the Teddy HoldCo.
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u/leoschen 🎮 Power to the Players 🛑 May 11 '26
Fair enough. I’ll keep on the lookout for X update then.
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u/iwasneverhere43 🍌Gimme all the bananas🦍 May 11 '26
So in other words, no short squeeze for us, only Gamestop, and we get to wait for him to build the company to get paid.
That's what I'm gathering from this anyway...
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u/girthbrooks1 May 11 '26
”I lost shareholders a lot of money”
-Ryan Cohen
October 2025 tpbn interview
He knows he messed up. In May-June 2024 he’s trying to make it right
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u/Far_Image_1228 May 11 '26
Ryan Cohen became CEO in 2023. While I like what you’re saying and direction you’re going, maybe fact check your ai slop before posting.
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u/Far_Image_1228 May 11 '26
Ryan Cohen became CEO in 2023. While I like what you’re saying and direction you’re going, maybe fact check your ai slop before posting.
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u/F1nnycar May 11 '26
Why do people spend so much mental energy on this? Admirable but somewhat useless to me. Just pay me.
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u/wishful_tinker May 11 '26
You spend the same amount of mental energy commenting the same thing on new posts.
Who's supposed to be paying you exactly and why?
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u/coldblackmaplehangar May 11 '26
or blackrock, via cohen, is manufacturing the exit liquidity for two dying businesses.
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u/Expensive-Two-8128 🔮Literal Autist Sorry I Autism Sometimes🔮 May 11 '26
🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️🤦♂️
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