GME

GameStop Corp.
Country: USIndustry: Specialty Retail
$21.02|$0.00 (0.00%)
MC: $9.42B

The company faces significant potential dilution from two large convertible note offerings and outstanding warrants, which could increase the share count by over 45%. While the company is well-capitalized and cash-flow positive, reducing the immediate need for financing, these existing instruments represent a substantial overhang on the stock.

Float & OS: 409,652,015 / 448,009,480
Est. Runway: >10 years

Risk Metrics

Overall Risk
HIGH
Offering Ability
HIGH
Cash Need
LOW
Float Risk
HIGH

Dilution Data

Warrants

  • On October 7, 2025, the company distributed warrants to purchase Class A Common Stock to existing stockholders and holders of convertible notes.
  • Each warrant is exercisable for one share at a cash price of $32.00 and expires on October 30, 2026.
  • A total of 59,153,963 shares are registered for issuance upon the exercise of these warrants.
  • During the three months ended November 1, 2025, only 4,422 warrants were exercised.
  • The warrants are currently considered anti-dilutive as the $32.00 exercise price was above the average market price for the period.

Convertible Notes

  • 0.00% Convertible Senior Notes due 2030:
    • $1.5 billion in principal, convertible at a rate equivalent to ~$29.85 per share.
    • Represents a potential issuance of approximately 50.2 million shares.
  • 0.00% Convertible Senior Notes due 2032:
    • $2.7 billion in principal, convertible at a rate equivalent to ~$28.91 per share.
    • Represents a potential issuance of approximately 93.4 million shares.
  • The company can settle conversions with cash, shares, or a combination.
  • The dilutive effect of these convertible notes added 143.6 million shares to the diluted EPS calculation for the three months ended November 1, 2025.

ATMs

  • The company completed several large At-the-Market (ATM) offerings in the prior fiscal year (2024), selling a total of 140 million shares for gross proceeds of approximately $3.43 billion.
  • No ATM offerings were conducted during the nine months ended November 1, 2025.

Additional Notes

  • The company's diluted weighted-average shares outstanding for the recent quarter was 591.7 million, a significant increase from the basic weighted-average of 447.7 million, primarily due to the impact of convertible notes.
  • A performance-based stock option award for the CEO, Ryan Cohen, is pending stockholder approval and represents potential future dilution upon exercise.
  • The company's investment policy includes Bitcoin as a treasury reserve asset.