Wednesday - January 11, 2023

Today's newsletter will take 3.37 minutes to read.

DRS UPDATE: 50.00*% (estimated percent of GME shares direct registered)

*source: Computershared.net

On tap this morning:

• Tuesday recap

• GameStop NFT update

• Did you know?

• More on Carl Icahn

• Closing Thoughts: How high can these stocks go?

Good Morning! This is Mother Squeezer, the newsletter that didn't sleep much last night with all of the excitement but still brings you updates and insights along with timely information about our favorite Activist Investor, Ryan Cohen, and our favorite stocks - GME and BBBY.

We've had 2 green days in a row for BBBY and after hours was up almost another 20%! The price is still low, but volume is pouring in and the cost to borrow continues to rise. These are early indicators of a potential, rapid upward price movement for multiple stocks!

If the stock basket theory is proven true (again) we should see GME, KOSS and others rise in price along with BBBY. Keep your eyes peeled and look out for movement on these tickers!

Breaking: Late yesterday, CNBC reported Sue Gove, CEO of Bed Bath and Beyond notified employees of a town hall meeting scheduled for today. After looking into "town hall meetings" this piece of information was discovered about Eliminating Uncertainty:

Oh, and BBBY was placed on Reg SHO again last night! 🚀

Tuesday Recap: BBBY traded between a low of $1.70 and a high of $2.24 before closing at $2.07. Trading volume was 113.74 million shares.

Cost to borrow: There were 100,000 shares available to borrow this morning and as of now, 0 remain. The cost to borrow has shot up to 67.3%.

Pre market: Bed Bath and Beyond is trading up $0.51 to $2.58 an increase of 24.64% on over 8.8 million volume.

Max pain: The current max pain for BBBY has remained at $1.50.

GME Update: We haven't mentioned much about GameStop lately because they operate in stealth mode and there hasn't been much new lately to speculate on. We did come across this little gem about future earnings, it seems with additional closings of underperforming stores, profitability is achievable in as soon as a few quarters:

Oh, and the DRS estimate is back up to 50%!

Tuesday Recap: GME traded between a low of $16.25 and a high of $18.09 before closing at $17.77. Trading volume was 4.40 million shares.

Cost to borrow: There were 100,000 shares available earlier this morning. Currently there are 20,000 remaining. The cost to borrow has remained climbed to 22.6%.

Pre market: GameStop is trading up $0.53 to $18.30 an increase of 2.98% on 95 thousand volume.

Max pain: The current max pain for GME has remained at $17.00.

GameStopNFT tweeted:

Power to the players!

Did you know?

Carl Icahn argues that most CEOs are overpaid and that their salaries are not comparable to shareholder returns.

To deliver value to shareholders, Icahn purchases a large number of a corporation's shares and then requests a new board of directors or the sale of its assets.

The Icahn lift is a phenomenon whereby a stock's price rises after Carl Icahn purchases its shares.

More on Carl Icahn

Carl Icahn once said, "My investment philosophy, generally, with exceptions, is to buy something when no one wants it." More specifically, as a contrarian investor, he identifies stocks with low price-to-earnings (P/E) ratios or with book values that exceed the current market valuation.

Icahn then aggressively purchases a significant position in the corporation and either calls for the election of an entirely new board of directors or the divestiture of assets in order to deliver more value to shareholders. Icahn focuses publicly on CEO compensation, arguing that many top executives are grossly overpaid and that their pay is not commensurate with shareholder returns.

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!

Closing Thoughts

How High Can These Stocks Go?

Several readers have reached out asking about price targets. Listen, short squeezes are incredibly unpredictable. We encourage everyone to come up with their own price points and selling strategies ahead of time. This may involve scaling out of your positions along the way up or on the way down.

Here's a perspective on price from "Famous Dan" we found worthy of sharing:

From the best of our research, the "Biggest Short Squeeze in History" saw Volkswagen climb from around $375 a share to over $1,250. See this article for more short squeeze summaries.

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.