Fan-backed Hasbro project: Unicron

[Raider]

Sure, ignore what the actual financial expert says and spread some FUD.

I work at a retailer that has had a ton of FUD spread about it by the media. What is actually going on vs what the media reports is massively different. Media today doesn't care about telling a story accurately, they care about getting clicks. Saying Big W is shutting down half its stores and thousands of people will be out of work was far more "newsworthy" than the reality of the situation.

Is Gamestop in a good financial situation? No. But are they shutting down tomorrow? No.

The big three-quarters of a billion-dollar loss that we all freaked out about was just a one-off accounting thing where they had to write an investment down as a loss. It had no impact on the day to day operation of the company. If it wasn't for that accounting issue they would have made a small profit.

Don't go by media reports, it's not "fake news" but it is written in a way to get clicks instead of properly relay the facts in an easy to understand manner.

Ok I was just trying to elaborate on the issues. You seem to have taken it personally and had a go at me and assumed i read "fake news". I actually read the published company financial statements (I'm a commercial lawyer/accountant) together with the company's legal documents. Together with my knowledge of business structures and potentially failing business (i specialise in insolvency), i think i know - more so than you - what I'm talking about.

Perhaps my Trump comment is what really got you going given you are parroting his signature phrase.

[DELTAprime]

Ok I was just trying to elaborate on the issues. You seem to have taken it personally and had a go at me and assumed i read "fake news". I actually read the published company financial statements (I'm a commercial lawyer/accountant) together with the company's legal documents. Together with my knowledge of business structures and potentially failing business (i specialise in insolvency), i think i know - more so than you - what I'm talking about.

Perhaps my Trump comment is what really got you going given you are parroting his signature phrase.

No, it's not you.

It's the assholes trying to tell me every single week that I'm out of a job because "my store is closing down" because of some idiots in the media that cares more about getting clicks than telling the truth.

[DaptoDog]

While I do not research Gamestop shares, I am a Portfolio Manager and a large institutional shareholder of JB Hi-Fi, EB's main Australian competitor.

I see truth in each side of these perspectives. I wouldn't second guess Raider for a second. Likewise, there are some reasons to explain Gamestop's current malaise that may prove transitory. The main one is that we are at the end of the current console hardware cycle. When Sony and Microsoft release their next gen consoles, that will naturally boost the games retailers. Rumours are the PS5 will be released end 2020.

Also, my understanding is that EB Australia makes good money in Australia. If anything were to happen to its parent Gamestop, it would likely be sold assuming it remained profitable. This is a big difference to TRU in Australia which was running losses for years (therefore no-one wanted to buy it).

Fortunately it was only a $100 deposit, so the financial downside is fairly limited. Missing out on Unicron all together though would suck, no doubt about it. Unfortunately there is some level of risk going with any retailer in this situation. The lowest risk would be to order from Hasbro US direct, but it will be significantly more expensive than the local alternative.

[Raider]

Couldn't agree more mate. I thought you would be best placed to chime in on this subject. Risk is low but still there. Not enough to concern me though. As you point out, this is not a TRU situation.

[Ozgardian]

Next time I transform my toys i'm putting on a tuxedo =)

Thankyou again to eveyone here for bring this primal God to our shores!!!

[Ralph Wiggum]

For what its worth and not wanting to derail the thread, I don?t believe EB Games/Zing is going bust anytime soon. At the very least they have expanded their business model by going into pop culture merchandise, they are pretty aggressive with their sales and their second hand games/hardware business gives them a slight edge over competitors (who are cheaper, but EB easily price match).

Their woes I think are those faced by every other retailer and/or brick & mortar store right now - a sluggish economy with high overheads costs not being met due to reduced consumer spending. A massive, majority shift towards digital downloads is what I believe could be a mortal blow to EB games. But as long as we continue to have crappy internet, then physical copy gaming, at least for consoles, will continue to survive.

But ultimately if you?re afraid of EB games /Zing going down the tubes, then just put down the $100 deposit and wait until pickup day before you pay off the rest. Losing $100 would suck, but not as much as $848.

[llamatron]

Not sure I understand the logic of voluntarily paying off the cost in installments prior to release. That money is better off with you until you go in and pick up Unicron.

[Raider]

Not sure I understand the logic of voluntarily paying off the cost in installments prior to release. That money is better off with you until you go in and pick up Unicron.

It's like a forced saving account I guess. It prevents the money being used for another purpose. Not everyone can afford an expensive item like this in one hit. Wouldn't want to come time to pay and not have the funds.

[griffin]

Not sure I understand the logic of voluntarily paying off the cost in installments prior to release. That money is better off with you until you go in and pick up Unicron.

Some people like me might find it too tempting having that money there to spend on other things so might prefer to have someone else "look after it"... and it won't feel like a big expense when picking up the toy... almost like getting a pre-paid present.

[DELTAprime]

Some people like me might find it too tempting having that money there to spend on other things so might prefer to have someone else "look after it"... and it won't feel like a big expense when picking up the toy... almost like getting a pre-paid present.

I like the ability to pay off preorders ahead of time and having the money in my accounts makes it too easy to spend it on things I haven't budgeted for. That said I have about a year and a half to pay off Unicron so I'm not exactly going to be rushing to pay him off.