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GameStop makes $55.5B takeover offer for eBay

bbc.co.uk

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Re: GameStop makes $55.5B takeover offer for eBay

#491

Post by 59percentmore »

turtlesdown11 wrote: post #481
asynchronous13 wrote: post #470

Earlier quoted context omitted.

Key financial results for Gamestop from the recent fiscal year (2025–2026) include: Net Income: $418.4 million Gross Profit: $1.196 billion Total Revenue: $3.63 billion Operating Income: $285.9 million

Operating income was $232.1 million, not $285.9 million. https://investor.gamestop.com/news-releases/news-details/202... That total revenue also declined 5% YoY

Total revenue declined because they closed stores. But income went up because those stores were losing money.

They also made a lot off of interest on their cash, but that is going to get cut by about 30% if this goes through, as the combined cash position Gamestop has access to declines from 9 billion to 6 billion. Or so I've heard.

Re: GameStop makes $55.5B takeover offer for eBay

#492

Post by Apocryphon »

radlad wrote: post #336
metalliqaz wrote: post #264

Earlier quoted context omitted.

Yes, exactly. In fact there were some ebay "helper" companies that made a go of it in the early 2000's. They went out of business because it doesn't add enough value. USPS created Media Mail and flat rate boxes, and UPS stores are found in nearly every community. They handle the hard part (shipping) well enough. The only thing I can think of is Gamestop positioning to become a clearing house for fan swag or gaming it…

I remember one of these shops all the way back in the late 2000s. At the time I was confused about whether it was operated by eBay or a third party. It did not last long.

Memorialized: https://www.youtube.com/watch?v=FNsFEhHLlHA

Re: GameStop makes $55.5B takeover offer for eBay

#493

Post by LtdJorge »

rahimnathwani wrote: post #483
CobrastanJorji wrote: post #477

Earlier quoted context omitted.

Well, partly it's an audience thing. Hacker News has a lot of folks who work at tech startups, and if you work at a tech startup, dilution is nearly always a very bad word for you.

If you work at a tech startup then you probably hope your company raises an additional round of funding, i.e. you hope you get diluted.

Isn’t that done with already existing shares (from the founders)? Then it wouldn’t be dilution.

Re: GameStop makes $55.5B takeover offer for eBay

#494

Post by cableshaft »

delfinom wrote: post #435
hnav wrote: post #432

Earlier quoted context omitted.

There's friction though, if the process is under one roof end-to-end, ebay can take 30-40% (15-20% today) of every transaction by just letting you dump your old stuff. Might even eat FB marketplace and CL.

People trying to sell their used junk aren't going to accept a 30-40% cut. It's why they aren't using eBay these days in the first place.

I would. I don't sell on eBay because it's a hassle to manage all the rest of it. So I end up taking it to a place like Half-Price Books instead and get hardly anything, but at least it gets out of the house. 30-40% cut would be a significant step up compared to what I get from those places.

Re: GameStop makes $55.5B takeover offer for eBay

#495

Post by TimMeade »

oneneptune wrote: post #436
FireBeyond wrote: post #424

Earlier quoted context omitted.

Yeah, I got fucked over by eBay and will never sell on there again. eBay let someone scam me out of $700. I sold a Mavic 2 Pro drone with 5 batteries. The whole process was a mess. Scammer initially complained that it didn't come with a CrystalSky tablet that was in one picture (that was only added AFTER after he had bid already and asked to see Flight Logs, and was explicitly disclaimed as not being a part of the pa…

anecdotally; this is why I now use fb marketplace exclusively to sell stuff. cash only. meet in person; feel free to test / inspect stuff. All sales are final and are as-is.

Yep and hate even that. Someone can make the next unicorn to fix this pain.

Re: GameStop makes $55.5B takeover offer for eBay

#498

Post by akiselev »

Barbing wrote: post #374
elzbardico wrote: post #321

Earlier quoted context omitted.

This book got a unfortunate title. Private Equity can be a completely legitimate activity. What it needs is some regulation on some underhanded financial tatics it uses, such as LBO.

Hilton is a good example, right? But vast majority of the time it’s bad?

The vast majority of the time, you don't hear about it at all. Leveraged buyouts and the monopolistic strategies like buying out all the private doctors or veterinarians in a region get all the negative press but they're a tiny fraction of private equity.

The big money is in really boring industries like mining/oil/resource extraction, power plants, infrastructure, construction, and other industries that are predictable and in high demand everywhere. PE firms often get the best deals because they thrive on those kinds of connections and can offer up large amounts of capital on favorable terms in exchange for first dibs. The "rich get richer" is their primary strategy and it works without minmaxing exploitation because that's a bottom feeder strategy, not one that can guarantee steady returns on tens of billions of dollars.

Re: GameStop makes $55.5B takeover offer for eBay

#499

Post by Melatonic »

giancarlostoro wrote: post #240

The original shorting of GameStop back in 2021 gave them a bit of a boost back into the green. While people were doing the GME to the moon, GameStop made more shares to sell, and paid off a bit of its debts, I think it made about a billion dollars in profit, they're still struggling, but it helped prolong their life. A friend of mine also pointed out and this made it click for me that it makes 100% sense, GameStop is…

Or they screwup eBay and saddle it with tons of debt and raise the selling fees massively

Re: GameStop makes $55.5B takeover offer for eBay

#500

Post by SV_BubbleTime »

turtlesdown11 wrote: post #461
maxk42 wrote: post #423

Earlier quoted context omitted.

I guess you missed the part where they turned around and became profitable.

Perhaps a simple analogy would work here - you made $86,000 in 2016, and had a $6,000 surplus that represents your profit. In 2020 you made $50,000 and spent $5,0000 of your savings to stay afloat. You shrink your lifestyle. Now in 2025, you make $35,000 a year, and have a $2,000 surplus. There are no prospects for more income and you expect to earn $32,500 next year, and maybe $30,000 the year after. Would you consi…

Again, facts, they have 9 billion in cash. How many companies have that on hand?
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