People have been very unsure about Ryan Cohen using GameStop to buy out eBay when the difference in the size of the companies is still pretty dramatic. But then again, if GameStop moves up to $30 a share, then $35 and higher.
Then warrants start converting into stock while GameStop starts taking in a couple billion more in cash, then things start changing fast. If the market cap moves up toward the $20 billion range while GameStop is sitting on $12 or $13 billion in cash and securities, then the whole thing doesn't look near as awkward anymore.
And if PowerPack is growing like people think it is, and that starts showing up on the books in a serious way, then the situation changes even more.
What I still wonder is why Cohen is making the move now instead of waiting a little while longer. If GameStop was in a 50% better position? How long would that have taken? Only thing I can think of is maybe he believes if he waits too long, somebody else sees the same opportunity and moves first.
There's some alignment that caused RC to make the move now.