Michael Burry exits GameStop after Ryan Cohen's $56B eBay bid breaks his investment thesis.

Michael Burry has sold his entire stake in GameStop following CEO Ryan Cohen's announcement of a $56 billion bid to acquire eBay. Burry stated that the large debt required for the acquisition conflicts with his original vision of GameStop as a low-debt, steadily growing company modeled after Berkshire Hathaway. This move marks a reversal from his earlier bullish stance, where he praised Cohen's capital allocation strategy. GameStop's stock fell over 10% in response to the news, reflecting investor concerns about the increased leverage and risk associated with the deal.