GameStop Shares Rise Following Michael Burry's Buy-In

• Burry announced his GameStop position via social media, stating he has been buying shares recently
• He values the stock at roughly 1x tangible book value and 1x net asset value at current purchase prices
• Burry cited confidence in Ryan Cohen's ability to invest and deploy the company's capital and cash flows, potentially over a 50-year horizon

Summary

Key Development:

Renowned investor Michael Burry, famous for his successful bet against the housing market prior to the 2008 financial crisis, has disclosed a new position in GameStop (GME), driving shares higher on January 26, 2026.

Investment Rationale:

Burry stated he has been actively accumulating GameStop shares recently, believing he is purchasing near "1x tangible book value / 1x net asset value." He expressed confidence in the long-term investment opportunity, citing GameStop Chairman Ryan Cohen's capital allocation capabilities over a potential 50-year horizon.

Market Context:

The disclosure represents a significant endorsement from a high-profile investor known for contrarian, value-oriented positions. Burry's involvement adds credibility to GameStop's fundamental valuation story, shifting focus from the stock's previous meme-stock volatility to underlying asset value.

Key Figure:

• Michael Burry: Founder of Scion Asset Management, whose housing market short was featured in "The Big Short"
• Ryan Cohen: GameStop Chairman referenced as key to future capital deployment strategy

Market Implications:

Burry's public disclosure likely triggered immediate buying interest, as his track record commands significant market attention. The emphasis on tangible book value suggests GameStop may be trading at historically attractive valuation levels. This institutional validation could attract other value-focused investors who previously avoided the stock due to its retail-driven trading history.

The timing of this disclosure and Burry's confidence in Cohen's leadership may signal a potential fundamental re-rating of GameStop shares beyond its meme-stock reputation.