Tommy, good to see you, glad you made it. Nsthil knows about
this place, he said he may check in. It doesn't appear that anyone
has up to date contact info for Buk or Ben Martin though.
Re GME I posted after earnings last week, similar thoughts to
yourself really.
marketrap.com/me...rnings
Bull case - huge short interest, 47.257M shares, 43.3% and
rising as they buyback. 10x earnings is fair IMO, and we could
easily see repeated short squeezes. Virtual reality is on the
horizon which means expensive hardware to sell, albeit to a likely
niche market, but it could bring hype.
Bear case - I still believe they're doomed long term. In the
medium term, the stock could be 10x earnings a year from now and
still be $38, so the only benefit to a shareholder is dividend,
which makes it a Sell relative to other places to put money. That's
not sexy. Neither is transforming into the new Radio Shack.
I think the best way to play it this year is selling options
premiums for the volatility. I'm assuming it'll spend a lot of time
in the $35-$45 range. In the months of dividends you could even buy
the stock and sell covered calls. You could offset against a
potential market shock causing a crash (because let's face it, if
the market tanks GME will likely be very weak) by buying otm puts
for 10c say.