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James poses with his new e-bike outside a GameStop store
James poses with his new e-bike outside a GameStop store (GameStop)

One mother’s LinkedIn post inspired GameStop CEO Ryan Cohen to give a surprise gift to a new employee

The GameStop CEO gave James, a teenage employee an Irving, Texas, an e-bike so he could get to work easier.

Luke Kawa

Take a look at GameStop expense control in the Ryan Cohen era and you’d be forgiven for thinking he’s a leader singularly focused on putting the video games and collectibles retailer back on a path to sustained operational success. And on that front, he’s made massive progress: as of Q2, GameStop has strung together five consecutive quarters of positive operating cash flows for the first time in its history.

But it turns out the CEO has a bit of a soft spot for employees who go the extra mile. Or in this case, the extra two miles.

Mara Nichols gushed on LinkedIn about her teenage son James, a GameStop employee in Irving, Texas, who “walked 2 miles in pouring rain to work a 2 hour shift” in his first week on the job. A single mom, Mara said that James’ commitment to his new job made her proud of the lessons she’d instilled in her children.

“I never made any statements about doing such a thing. He was there when I walked in the rain to and from work. He was there when I showed up when others quit,” she wrote. “He is now at work showing me that my example made the lasting impact over my words.”

She probably could never have guessed who else would be inspired by her son’s example: Ryan Cohen.

“I saw the post and liked what his mother had to say so I contacted them,” said Cohen, who called James to thank him for his work ethic and told him he was giving him an e-bike to get to work easier.

“I was so surprised, and I thought it was a joke. I just couldn’t believe it!” James said in a message sent to Sherwood News. “This made me feel even better about working for GameStop. The atmosphere is so nostalgic for the memories I have had here growing up.”

James, who recently purchased a PS5, enjoys playing co-op games like “Gears of War” and “Borderlands” with his brother in his spare time.

Earlier this year, GameStop auctioned off items including a Nintendo Switch 2 that had been damaged when an employee punctured the screen by stapling the receipt to the box during early days of the console’s release — with the offer to add Cohen’s underwear to the collection, as well — for $250,000 to raise money for Children’s Miracle Network Hospitals.

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Nike sinks to lowest level since 2014 after warning of “challenged” sales environment in Q4 report

Did Nike do it?

Investors had a mixed reaction after the global sports apparel company reported its fourth quarter earnings on Tuesday after the bell. Shares initially rose 5% as Nike beat out Wall Street expectations amid a hefty tariff refund bonus. However, the stock then sank to its lowest level since August 2014 in postmarket trading.

Here are the Q4 numbers:

  • Revenue of $11.0 billion (estimate: $10.8 billion).

  • Adjusted earnings per share of $0.20 (estimate: $0.12).

Ahead of this report, Nike warned that results would be flattered by a one-time tariff refund (now estimated at roughly $0.52 per share for the bottom line). That gave the company an extra cushion in snapping its streak of seven quarters of year-over-year profit declines.

Over the past year, the company had been punished by tariffs on imported goods, stagnant consumer spending, and increasing competition from other footwear brands like New Balance, Adidas, and Hoka.

Outgoing CFO Matthew Friend deemed it an “increasingly challenging operating environment, where sell-through remains challenged.”

markets

Rocket Lab deal lifts space stocks

Shares of Rocket Lab are surging after announcing an $8 billion acquisition of satellite communications operator Iridium Communications, helping lift a broader basket of space-related stocks as investors piled back into the sector.

Planet Labs, AST SpaceMobile and Redwire all traded higher alongside Rocket Lab, extending gains in an industry that has drawn enhanced investor attention in recent months in light of the strategic importance that governments place on space and satellite communications infrastructure.

In a presentation, Rocket Lab’s management called the purchase “a shortcut” for its satellite communications business.

Under the terms of the agreement, Iridium shareholders will receive $27 in cash and Rocket Lab stock, valuing Iridium at $54 per share. Backed by a $3.6 billion bridge loan committed by Deutsche Bank and Wells Fargo, Rocket Lab absorbs Iridium’s globally licensed spectrum and an active base of 2.5 million subscribers.

Rocket Lab has also remained one of the most active launch providers in the sector. The company completed its 12th launch of the year last week, maintaining one of the highest launch cadences among commercial space companies.

Today's rally helps offset a brutal stretch for the group. Rocket Lab shares had fallen over 35% over the prior month, while Planet Labs stock was down more than 40% and AST SpaceMobile stock was down around 30% over the same window.

markets
Jake Lahut

Comcast shares rise on news of NBCUniversal spinoff deal

Comcast rose on the news that the telecom behemoth is spinning off NBCUniversal and Sky from its cable portfolio. 

Comcast initially jumped up to 17% in early trading, with the deal leaving management to focus on its core verticals of cable, wireless, and business services. 

NBCUniversal and Sky will form a new publicly traded company, similar to Versant Media, the holding company of CNBC and MS NOW that Comcast officially spun off in January. Bravo, one of the most lucrative properties that remained at Comcast, will remain part of NBCUniversal in the deal. The Universal theme parks and studios will also come with the new spinoff entity, along with Telemundo and Peacock.

Mike Cavanagh, the co-CEO of Comcast, will become the CEO for NBCUniversal, according to CNBC. 

The spinoff will be completed in about a year, according to a Comcast company statement. Its shareholders will also own shares in NBCUniversal, according to the same statement.

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