GameStop is facing significant financial challenges as its Q2 sales dropped by 45%, leading to a 15% decline in its stock price. The retailer has announced plans to close more stores and has filed an offering of up to 20 million shares. Analysts have cut the company's price target, citing a lack of strategy. Jim Cramer has described GameStop as feeling like a 'massively overvalued' SPAC. Despite these difficulties, the company continues to raise cash, driven mostly by its substantial cash reserves. Sales fell by 31% according to Wedbush.