Published on: February 2, 2026, 02:43h.
Updated on: February 2, 2026, 02:43h.
- Prominent investor builds share in the gaming retailer
- GameStop CEO Cohen reveals plans for substantial acquisition
- Burry names MGM and Wynn as alternatives for GameStop’s acquisition
GameStop (NYSE: GME) experienced a notable increase in share value today as Dr. Michael Burry, a well-known investor, confirmed he has acquired a substantial stake in the gaming retailer and shared optimistic views on its future while suggesting a list of potential acquisitions, including two major casino firms.
Recently, GameStop CEO Ryan Cohen has been transparent regarding the company’s ambition to acquire, openly expressing his intention to grow the company’s market value to $100 billion, a significant increase from current levels. Burry, who has a history of investing in gaming stocks, identified MGM Resorts International (NYSE: MGM) and Wynn Resorts (NASDAQ: WYNN) as potential candidates for acquisition.
In addition to MGM and Wynn, the investor noted ADT (NYSE: ADT) as a top candidate for a takeover by GameStop, highlighting the expected synergies between them. Wayfair (NYSE: W) also made it to Burry’s shortlist of acquisition prospects. Burry proposed several other entities that could serve as plausible targets for Cohen’s firm, naming MGM and Wynn as additional options alongside Wayfair.
GameStop’s Ambitious Targets: MGM and Wynn
While Cohen has yet to disclose specific target acquisitions for GameStop, he hasn’t publicly stated any interest in entering the casino sector.
It is important to recognize that acquiring either MGM or Wynn would demand significant investment from GameStop. At the end of Q3, the company reported cash reserves of $4.5 billion. Furthermore, with Cohen’s 0% convertible bonds and warrants, an additional $6.1 billion could be infused if GameStop’s stock exceeds $30. At current market prices, GameStop also holds $369 million in Bitcoin.
In total, these figures tally to roughly $11 billion, a sum that may still fall short of enticing MGM or Wynn to engage in negotiations. MGM’s market capitalization stands at $9.17 billion, while Wynn is valued at $11.06 billion, meaning any prospective acquisition would need to offer premiums, making $11 billion potentially inadequate.
Burry has previously held positions in MGM and Wynn as well as Las Vegas Sands (NYSE: LVS), but recent filings show he no longer possesses any stakes in these casino stocks.
Cohen’s Background Lacks Gaming Experience
Cohen entered the GameStop scene as an activist investor and was appointed chairman of the board in June 2021, eventually stepping into the CEO role in September 2023. Before that, he founded the online pet supply retailer Chewy (NYSE: CHWY).
Consequently, Cohen does not have direct experience in the gaming industry, a stark contrast to most casino company CEOs. However, his extensive background in online retail may prove advantageous, particularly with MGM’s BetMGM and LeoVegas divisions, although Wynn lacks any online gaming operations. Despite Cohen’s absence of gaming-specific experience, Burry expresses confidence in his strategic moves at GameStop.
“Ryan is turning challenges into opportunities,” Burry remarked in a Monday Substack update. “He’s managing a tough business effectively while leveraging the meme stock phenomenon to gather capital and seize a chance to acquire a robust cash-generating enterprise.”