GameStop wants to buy eBay: a strategic move or a bold gamble?

GameStop, the well-known brick-and-mortar video game retailer, has announced that it is interested in acquiring eBay, one of the world’s largest e-commerce companies. The move comes against the backdrop of GameStop’s long-running struggle to restore its market position at a time when physical game sales have essentially shrunk.

The current state of GameStop

GameStop has a market value of around $12 billion and reported full-year 2025 revenue of $3.6 billion, down from $3.8 billion in 2024. Notably, GameStop posted an operating profit of $232.1 million in 2025 for the first time in some time, after an operating loss of $26.2 million in 2024. These swings reflect the turbulent period the company is going through.

eBay’s financial performance

In contrast to GameStop, eBay has been performing well, with full-year 2025 revenue of $11.1 billion, up 8% compared with the previous year. In the first quarter of 2026, eBay reported revenue of $3.1 billion, a year-over-year increase of 19%. Those strong results put eBay in a favorable position, with a valuation of $46 billion.

The strategy behind the acquisition

According to reports, GameStop is currently building a stake in eBay shares, suggesting the possibility of an offer. GameStop CEO Ryan Cohen may choose to take an offer directly to eBay shareholders if the company’s leadership does not appear interested in a sale.

Risks and considerations

These are ambitious plans from GameStop, especially given the significant differences in market size and structure between the two companies. Cohen has a history of unconventional decisions, which has drawn both support and criticism within the investor community. The odds of this acquisition succeeding remain unclear.

Despite the challenges, GameStop stands at a crossroads. The decision to pursue eBay could bring a significant shift in the company’s strategy, but it also raises questions about GameStop’s own financial health and long-term viability.