GameStop Eyes Potential Acquisition of eBay Amid Ongoing Challenges

GameStop, the beleaguered video game retailer valued at around $12 billion, is eyeing a potential acquisition of eBay, an e-commerce giant worth approximately $46 billion.

According to a report, GameStop is discreetly amassing shares of eBay in anticipation of a bid that could materialize by the end of this month. While the specifics of the offer remain unclear, a source indicated that GameStop’s CEO, Ryan Cohen, might take the proposal directly to eBay’s shareholders if the current leadership shows disinterest.

In its latest earnings report for the full year of 2025, GameStop reported sales of $3.6 billion, a slight decline from $3.8 billion the previous year. However, the company achieved an operating income of $232.1 million, marking a turnaround after years of losses, including a $26.2 million operating loss in 2024. In contrast, eBay recently announced its first quarter 2026 results, revealing a revenue of $3.1 billion for the quarter, a 19 percent increase year-over-year. For the full year of 2025, eBay’s revenue reached $11.1 billion, up 8 percent from the prior year.

Over the past decade, GameStop has faced significant challenges, primarily due to a decline in physical game sales as digital gaming gained traction, a trend that intensified during the COVID-19 pandemic. The company has experienced tumultuous leadership changes as various executives sought to steer it back to stability. Following a stock surge in 2021, then-CEO George Sherman announced his resignation, paving the way for Ryan Cohen, founder of Chewy, to join the board. In 2022, GameStop ventured into the NFT space but quickly shut down its marketplace the following year. Cohen took over as CEO in 2023, implementing drastic measures to revitalize the company, including significant staff and store cuts, selling off some international operations, and making headlines for his comments on diversity, equity, and inclusion. Recently, GameStop has been promoting a “return” to physical and retro games, with plans to introduce retro sections in all U.S. stores this month, alongside a growing interest in acquiring large amounts of Bitcoin.

This latest development follows Cohen’s earlier statements expressing a desire for GameStop to acquire a major company to boost its market cap to $100 billion, a move that could net him a $35 billion payout. While it may seem far-fetched for GameStop to pursue a larger and seemingly more stable company, Cohen appears ready to take a significant risk. He remarked in January that the potential acquisition could either be a stroke of genius or a complete misstep.

Cohen has cultivated a dedicated following among investors, particularly those drawn to meme stocks, and his past actions have led to unexpected surges in investment based on his decisions or even his social media activity. It remains to be seen how even a hint of GameStop’s interest in acquiring eBay will impact the stock prices of both companies.