Thursday - August 4, 2022

Today's newsletter will take 3.02 minutes to read. Unless you haven't yet had your coffee.

DRS UPDATE: 51.134*% (Estimated Percent Direct Registered) 

*source: Computershared.net

Speaking of the jittery juice, how did the hipster burn their tongue?

They drank their coffee before it was cool. /joke

Yesterday's joke seemed to be a hit. We heard from one of our readers that they really enjoyed it. Ok, that was Malinda, Tim's wife. Another reader commented about liking having the estimated read time at the top of the newsletter (thanks MK). Because of this feedback, we'll continue to do both.

Good Morning! This is Mother Squeezer, the fun newsletter bringing you updates and insights about our favorite Activist Investor, Ryan Cohen, and our favorite stocks - GME and BBBY.

Three in a row this week. Can we make it four? Things have been green and good for GME and BBBY holders this week.

BBBY had a bizarre trading day. It ranged between a high of $6.14 to $5.58 on the low. The bizarre thing is how it hit these boundaries. It reached its high early in the morning and then started trickling down. Then, some news broke that Bed Bath and Beyond might look to the private credit market to boost liquidity, and the price took an immediate nosedive, hitting the low of the session before climbing back over $6 to close the day at at $6.07.

We had another massive volume day with over 13.8 million shares changing hands. One thing we're watching for today is the amount of borrowable shares. Yesterday, we started the day before trading hours with 350,000 shares to borrow on Interactive Brokers. We ended the day with only 100,000. We're not sure if those shares were already used to take the price down or they are on standby.

What do we think of this "news"? While we're excited about the prospects of Bed Bath and Beyond getting itself in a better financial position, the story from yesterday is just a rumor with no basis. We trust in Ryan Cohen and his plan that he chooses not to telegraph. BBBY has several options to come up with cash and tapping into private credit is just one option. We're waiting to hear something from BBBY which will most likely come at the end of this month. 

One fascinating observation about the partnership that was announced on Tuesday with Loverly is what this could mean for Bed Bath and Beyond in increased revenue. The Knot estimates the average wedding registry is worth $4134 per couple. If Bed Bath and Beyond can capture just 5% of the wedding registry market, that would be an additional $4.96 billon in revenue. That would be an incredible boost and has us extremely bullish on BBBY!

GameStop closed up 5.83% ending the day at $37.93, again on lower than average volume. The volume has remained dry for GME. This is not a bad thing, just an observation. Things have been pretty quiet. This is part of Ryan Cohens strategy, not broadcasting his moves. He's done an excellent job of that, this keeps the "bad guys" in the dark and gives us investors the advantage.

One interesting thing to note about GME is we closed the day above the pre-split price of $151 for the first time since the split. That's $37.75 per share post split for those of you that are finding it too early to crunch numbers. Another notable update is the DRS estimate. We're now over 51% of having the entire float direct registered. The rate of direct registering has been accelerating. If you haven't direct registered your shares with Computershare and need help, let us know. We'll be glad to point you in the right direction.

Both Bed Bath and Beyond and GameStop are trading up in the pre market so let's see what today brings! There was 300,000 shares of GME borrowed before open today so we would expect to see a dip from these shares being used to drive the price down. However, with a strong recovery, we just may make it four green days in a row!

While we wait to hear from Ryan Cohen on Twitter, let's flashback to a previous tweet:

It's been brought to our attention that Mother Squeezer resembles Ryan's grandmother. While we do acknowledge the resemblance, we can confirm with absolute certainty that Granny Cohen is not affiliated with this newsletter. However, we love you and like you Ryan.

We love Ryan Cohen and think he's the greatest Activist Investor of our generation. We are passionate followers of his moves and words and would love for others to know more about this great leader. We feel strongly that life is all about learning who to follow. If you have someone that needs more RC in their life, share Mother Squeezer with them!

^ sneak peak at something that's in the works

Have something to share? Let us know!

Financial Disclaimer: None of this is meant to be financial advice. We love Ryan Cohen, RC Ventures, GameStop and Bed Bath and Beyond, and like learning and sharing these insights and commentary.