Tuesday - January 31, 2023

Today's newsletter will take 2.47 minutes to read.

DRS UPDATE: 51.38*% (estimated percent of GME shares direct registered)

*source: Computershared.net

On tap this morning:

• Monday recap

• GameStop NFT update

• Did you know?

• A Reminder about FTDs

Good Morning! This is Mother Squeezer, the newsletter that is noticing a shift in the narrative and brings you updates and insights along with timely information about our favorite Activist Investor, Ryan Cohen, and our favorite stocks - GME and BBBY.

For those of you who weren't around GameStop back before it "sneezed", a lot of similarities are being observed with the current BBBY situation. The media was cramming the bankruptcy narrative down our throats, trying to create enough fear to have us exit our positions.

It seems a shift in the narrative is starting. Sure, the mainstream media is still heavily promoting that BBBY is heading towards "imminent bankruptcy", but yesterday, a hedge fund guy shared a video with his followers.

If you have a couple of minutes, watch it and see if you can sense the level of fear behind his voice. He doesn't seem very happy about "JPM" (JP Morgan) not pulling the plug on BBBY:

Link to heggie meltdown

Monday Recap: BBBY traded between a low of $2.44 and a high of $3.28 before closing at $2.87. Trading volume was 65.02 million shares.

Cost to borrow: There were 450,000 shares available to borrow this morning and as of now, 350,000 remain. The cost to borrow has remained highly elevated at 283.9%. 

Pre market: Bed Bath and Beyond is trading down $0.13 to $2.74 a decrease of 4.53% on over 1.4 million volume.

Max pain: The current max pain for BBBY has remained at $2.50.

Monday Recap: GME traded between a low of $21.13 and a high of $23.48 before closing at $21.25. Trading volume was 4.95 million shares.

Cost to borrow: There were 550,000 shares available earlier this morning. Currently there are 45,000 remaining. The cost to borrow has dipped a tad to 19.6%.

Pre market: GameStop is trading down $0.05 to $21.20 a decrease of 0.24% on 20 thousand volume.

Max pain: The current max pain for GME has remained at $21.00.

GameStopNFT tweeted:

Anyone up for a roadtrip? Cybercrew were the creators of the original GameStopNFT art.

Did you know?

Failure to deliver (FTD) refers to a situation where one party in a trading contract (whether it's shares, futures, options, or forward contracts) doesn't deliver on their obligation. Such failures occur when a buyer (the party with a long position) doesn't have enough money to take delivery and pay for the transaction at settlement.

A failure can also occur when the seller (the party with a short position) does not own all or any of the underlying assets required at settlement, and so cannot make the delivery.

A Reminder About FTDs

The latest FTD (fails to deliver) data came out recently and to no surprise, the number of shares that were not delivered for BBBY is truly staggering. This table below shows 9 days of data:

To illustrate the ridiculousness of what's going on, a redditor created this story to explain it in non-stock terms:

Spread the Word

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!

Some of our Favorite Resources

Start Here

BBBY: Ben - Mr. Business

GME: Richard Newton

Computershared.net

For errors, omissions or if you 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.