Key facts
- GameStop CEO Ryan Cohen requested his proposed performance award be withdrawn.
- The award was contingent on GameStop reaching a $100 billion market capitalization and $10 billion in cumulative performance EBITDA.
- Cohen's compensation was entirely "at-risk," with no guaranteed salary or bonuses.
- GameStop is shifting its focus to the potential acquisition of eBay.
- The award consisted of options to purchase over 171 million shares at $20.66 per share.
GameStop Corp. announced that its Board of Directors has granted the request of Chairman and CEO Ryan Cohen to withdraw a proposed long-term performance award. The award, approved in January 2026, was designed to incentivize Cohen to achieve significant growth, with full vesting contingent upon the company reaching a $100 billion market capitalization and $10 billion in cumulative performance EBITDA. Cohen's compensation under the award was entirely "at-risk," meaning he would only be paid if these substantial market and operational goals were met.
Since Cohen joined the board in January 2021, GameStop's market capitalization has grown from approximately $1.3 billion to $9.3 billion. During this period, the company also saw a significant reduction in Selling, General, and Administrative expenses and transitioned from a net loss to a net income.
The proposed award consisted of options to purchase over 171 million shares of Class A common stock at an exercise price of $20.66 per share. These options were structured in nine tranches, each with specific market capitalization and cumulative performance EBITDA hurdles that needed to be met for vesting.
Cohen stated that he wants leadership to be fully focused on GameStop's operating performance and its proposed acquisition of eBay. The company indicated it would release additional materials regarding the eBay acquisition this week.