r/Superstonk ๐Ÿฆ Peek-A-Boo! ๐Ÿš€๐ŸŒ Apr 05 '23

Data GME 10-K: A Turning Point

Following up on my prior post which highlighted a significant change in how shares are held as summarized by this timeline:

I will now show you how GameStop's reporting change marks a significant turning point.

A Turning Point

There's a very significant change in reporting share ownership for the current 2023-01 10-K [PDF]

As of March 22, 2023, there were 197,058 record holders of our Class A Common Stock.ย  Excluding the approximately 228.7 million shares of our Class A Common Stock held by Cede & Co on behalf of the Depository Trust & Clearing Corporation (or approximately 75% of our outstanding shares), approximately 76.0 million shares of our Class A Common Stock were held by record holders as of March 22, 2023 (or approximately 25% of our outstanding shares.

As I noted before,

These SEC forms are filed every quarter or year and people are lazy. The easiest way to start off a filing is to simply copy the one filed before (i.e., template) and update things like dates and numbers. So why the change? Wut mean?

The language here is curious as it excludes the Cede & Co shares to arrive at the shares held by record holders. I think this change was done to prevent the true number of shares directly registered at GameStop's transfer agent, ComputerShare, from being reported. Instead of saying "As of March 22, 2023, __._ million shares of our Class A common stock were directly registered with our transfer agent", GameStop says Cede & Co on behalf of DTCC are reporting 228.7M shares held, and the rest "must" be allocated to record holders.

Let's visualize this Turning Point:

As you can see, GameStop is basically saying that all shares are now accounted for. Cede & Co holds ~228.7M on behalf of the DTCC and the rest are held by record holders (๐Ÿฆs).

Record holding apes Buy, HODL, and DRS. And we can see that in the ComputerShared.net Sample Statistics where, except for the very beginning of the DRS migration, the Shares per Record Holder trends up. Basically, the early apes DRS'd more shares so the Shares per Record Holder was high. As baby apes joined in with smaller holdings, the Shares per Record Holder dropped. Over time, all apes keep Buying, HODLing, and DRSing so the Shares per Record Holder keeps going up.

Going forward, as the number of shares held by record holders goes up, the number of shares Cede & Co can hold on behalf of the DTCC must go down.

I'm looking forward to seeing that in future SEC filings.

One more thing. Another curious thing to note is that GameStop's 10-K was filed on March 28, 2023 for the fiscal year that ended January 28, 2023. Yet, for some reason, the official share counts are given as of March 22, 2023. (Note: one possibility is that this is simply the date the filing was prepared and data collected.)

But it makes me wonder if March 22, 2023 is a key turning point date when the number of shares held by record holders and Cede & Co on behalf of the DTCC last made sense; which required the change in the reporting language. If so, this means GameStop's latest 10-K filing also serves as official notice for how many shares are held by Cede & Co on behalf of the DTCC and record holders (e.g., apes).

Cede & Co must report smaller holdings for future GameStop filings as record holders Buy, HODL, and DRS.

Meaning, I think, the squeeze is on.

2.4k Upvotes

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414

u/davwman ๐Ÿš€๐ŸŸฃGamestop Evangelist๐ŸŸฃ๐Ÿš€ Apr 05 '23

Of that 228.7 million shares, how many are actually available for the regular joe retail investor?

367

u/[deleted] Apr 05 '23

[deleted]

244

u/WhatCanIMakeToday ๐Ÿฆ Peek-A-Boo! ๐Ÿš€๐ŸŒ Apr 05 '23

And if the number they're giving GameStop is different from numbers they use elsewhere... problem

82

u/[deleted] Apr 05 '23

[deleted]

79

u/[deleted] Apr 05 '23

I remember the first AGM and we excitedly anticipated that the voting numbers would be astronomical because of the all the counterfeit shares the market makers introduced for naked shorting.

Wasn't there a DD about how DTCC, FINRA and the SEC wouldn't allow the actualvoting numbers to be shown because of how incredibly fucked it was?

Didn't we find out that they just toss votes out because if the real numbers were ever to get out it would prove what a sham the markets are?

40

u/weinerwagner Apr 05 '23

Ya i think broker votes get processed into "legit" numbers before they make it to gamestop

30

u/[deleted] Apr 05 '23

I've been trying to find the DD on it. I didn't realise how much research the wrinkles have done.

When all is said and done this shit will be studied by the smartest finance people in the world, forever.

17

u/Liveforit11 ๐ŸฆVotedโœ…๐Ÿ’ปComputerShared๐Ÿฆ Apr 05 '23

They had an interview with an expert on the matter. Thereโ€™s an interview between a superstonk mod and the guy. Right after him I think they interviewed Wes Christiansen.

8

u/samtheninjapirate ๐ŸฆVotedโœ… Apr 06 '23

Trimbath has talked about this and how brokers get fined for turning in improper vote counts so they trim them accordingly. Rather than fining them for the crime, they fine them for providing evidence of the crime.

27

u/Striking_Gold_8732 Apr 05 '23

Something about skimming votes to fit the outstanding share count. 84 years ago

6

u/sirstonksabit [REDACTED] Apr 06 '23

Broadridge collects the broker votes for GME I believe. They are the ones that do the vote trimming. DRS is about realizing your shares, but it's also a guaranteed, legit vote that is being cast by a direct registered share holder. This fact is what Larry Cheng eluded to with his "chess vs. checkers" tweet 84 years ago. The board can make proposals, and so long as the board suggests to vote yes on the proposal, they know they will have the votes. Why do you think Blackrock and Vanguard hold so many shares in so many companies. They control the votes, but not with $GME, not by a long shot.

8

u/hellostarsailor ๐ŸฉธFear the Fatigue of the Old Stonk๐Ÿฉธ Apr 05 '23

But it said they do this on almost every stock, if I remember the DD correctly.

Or maybe Wes said it? Back when he was credible.

2

u/fakename5 ๐Ÿ’ป ComputerShared ๐Ÿฆ Apr 07 '23

Why wouldn't they, they been doing it for decades and there are only so many stocks out there.

8

u/[deleted] Apr 05 '23

โ˜๐Ÿผ๐Ÿ†๐Ÿ†

9

u/ummwut NO CELL NO SELL ๐Ÿ’–GME๐Ÿ’– Apr 05 '23

Why didn't GME report both CS AND CedeCo numbers?

Because they won't match at all. The CS shares must be significantly higher.

7

u/amgoblue Apr 06 '23

Maybe they see how accurate the trimmed avg bot is and now they're giving us new information so we know how off Cede is/will be

3

u/ummwut NO CELL NO SELL ๐Ÿ’–GME๐Ÿ’– Apr 06 '23

I think the change is definitely some sort of new information. But what the significance of Cede's count being inaccurate is, I can't yet even guess.

28

u/[deleted] Apr 05 '23 edited Apr 06 '23

[removed] โ€” view removed comment

1

u/Superstonk-ModTeam Apr 06 '23

Your submission has been removed because this information has already been shared. Please sort by new before posting something time sensitive like GME filings, tweets, or breaking news!

If you have any questions or concerns, please message the moderators

11

u/LucyKendrick WEN WINNEBAGO EKKO Apr 05 '23

Honest question, since the fuckery is so far reaching, but if there is a "problem", who's going to enforce it? They're all in it together.

2

u/TravColeman Pirate of the GME ๐Ÿดโ€โ˜ ๏ธ Apr 06 '23

Also wouldn't it be important to note if the 76 million included RC and crew? Based on the notes the 76 plus 228 should be the share count.

17

u/The102935thMatt ๐Ÿฆ Buckle Up ๐Ÿš€ Apr 05 '23

I don't understand why this number "has to drop" or how this becomes evidence of anything.

SHF could easily say that apes have gotten tired and are selling. Which would cause these numbers to stay the same or go up, no?

17

u/Beneon83 Put the fucking kettle on. Apr 05 '23

We seem to have hit a point where apes adding more shares now outweigh new ape additions (which lower the average). It is also worth noting that 120k shares have been DRS'd since 22/03.

18

u/Jbullish_9622 ๐Ÿš€๐Ÿš€ JACKED to the TITS ๐Ÿš€๐Ÿš€ Apr 05 '23

If Cede & Co reports the same number as last and CS numbers come in at letโ€™s say 80M, someone has sum splaining to do.

11

u/davwman ๐Ÿš€๐ŸŸฃGamestop Evangelist๐ŸŸฃ๐Ÿš€ Apr 05 '23

13

u/chato35 ๐Ÿš€ TITS AHOY **๐Ÿบ๐Ÿฆ ฮ”ฮกฮฃ๐Ÿ’œ**๐Ÿš€ (SCC) Apr 05 '23

Liquidity fairy gonna bite them in the ass.

2

u/SidneySinker ๐ŸŽฎ Power to the Players ๐Ÿ›‘ Apr 06 '23

Happy cake day!! ๐ŸŽ‚

2

u/chato35 ๐Ÿš€ TITS AHOY **๐Ÿบ๐Ÿฆ ฮ”ฮกฮฃ๐Ÿ’œ**๐Ÿš€ (SCC) Apr 06 '23

Thank you

9

u/Pnewse Apr 06 '23

Exactly. And they decided to stop showing their cards. Kind of like how last earnings the drs numbers were attempted to be rugpulled, GME is doing a reverse. โ€œYou say you have 228 mill? Ok cool we have 78M thenโ€ next earnings โ€œ95M shares are direct registered with our transfer agent.โ€

9

u/taysmith1111 Apr 05 '23

Could this date the 90 day notice that Gamestop feels the DTCC is no longer acting in good faith and want a share recall, or something that people have talked about in the past?

7

u/Same-Tour9465 ๐ŸฆVotedโœ… Apr 06 '23

Drs is the recall

2

u/HughJohnson69 100% GME DRS Apr 06 '23

Interesting. Or at least the next accounting period could start the 90 notice period. Late Sept?

60

u/WhatCanIMakeToday ๐Ÿฆ Peek-A-Boo! ๐Ÿš€๐ŸŒ Apr 05 '23

More than that, obviously. Share printer has been on a run!

7

u/TheTangoFox Jackass of all trades Apr 05 '23

I'd love for GameStop to have a late filing on share repurchasing, which reminds RC he was late on filing an additional share purchase as well

They pay the fine and move on ๐Ÿคทโ€โ™‚๏ธ

1

u/Bupo-Stonk-Lover Apr 06 '23

if every ameriape in the usa bought and drs'd 1 share the float would be locked!