GameStop Shares Surge as Michael Burry Discloses Long-Term Value Bet
GameStop shares rallied more than 6% after Michael Burry revealed his position in the company, framing it as a long-term value play rather than a meme-driven trade. The Scion Asset Management founder, famous for his 'Big Short' bet, emphasized tangible book value and net asset metrics in a Substack post.
Burry's endorsement hinges on Ryan Cohen's leadership and the company's capital allocation strategy. "I believe in Ryan, I like the setup, the governance, the strategy as I see it," he wrote, dismissing speculation about another short squeeze. GameStop previously gained notoriety during the 2021 retail trading frenzy but has since stabilized NEAR $25 per share.
The company Leveraged its meme-stock status to raise billions through equity offerings, leaving it with substantial cash reserves. Burry's stance reflects a patient, fundamentals-driven approach—a stark contrast to the volatility that once defined the stock.
