GameStop, the actions fly. Three become billionaires in one night- Corriere.it

Billionaires and millionaires thanks to video games. The monstrous increase in the shares of GameStop, the video game retail chain listed on the New York Stock Exchange, has brought more than $ 2 billion into the ‘pockets’ of the three largest shareholders individuals of the company. A boom that surprised the world of high finance: but how was this leap possible? Word of mouth has to do with the internet and Elon Musk, the king of Tesla. But let’s go in order.

The boom

The rise starts in January when a group of amateur investors are organizing on Reddit, on the Wallstreetbets channel with 3 million users, to buy GameStop shares and convince hundreds of people to do the same. It works. The share price in a few days rises from $ 4 in 2020 to $ 147 on January 26, 2021, also thanks to the fact that Elon Musk encouraged purchases with a tweet in which he reported the amateur investor channel. Of course, finance is a gamble and it is possible that the wealth created, we speak of “instant wealth in the digital age”, evaporates in a short time. Certainly the investor enterprise is out of the ordinary.

Who has earned

Meanwhile Ryan Cohen thanks. Chewy’s co-founder, who made a $ 76 million investment in GameStop last year to buy 13% of the company, he is now a billionaire. At the close of the market, its share was worth over $ 1.3 billion. The other big winner is Donald Foss, the 76-year-old founder and former CEO of Credit Acceptance Corp. Foss, who lives in Michigan, bought 5% of GameStop last February for about $ 12 million. His stake is now worth more than $ 500 million, bringing his net worth to nearly $ 2 billion, according to Forbes. Then there is the CEO of GameStop, George Sherman, who saw his 3.4% stake in the company reach a value of approximately $ 350 million. According to what was reported by Class Cnbc, none of the three large shareholders seems to have sold any shares. At their own risk, of course.

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