In the latest trading session, GameStop (GME) closed at $29.80, marking a +0.78% move from the previous day. The stock's change was more than the S&P 500's daily loss of 0.01%. On the other hand, the Dow registered a gain of 0.13%, and the technology-centric Nasdaq decreased by 0.32%.
Coming into today, shares of the video game retailer had gained 7.8% in the past month. In that same time, the Consumer Discretionary sector gained 7.31%, while the S&P 500 gained 6.43%.
Investors will be eagerly watching for the performance of GameStop in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on June 10, 2025. It is anticipated that the company will report an EPS of $0.08, marking a 166.67% rise compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $750 million, indicating a 14.95% downward movement from the same quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $0.47 per share and a revenue of $3.4 billion, signifying shifts of +42.42% and -11.06%, respectively, from the last year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for GameStop. These recent revisions tend to reflect the evolving nature of short-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Currently, GameStop is carrying a Zacks Rank of #3 (Hold).
Digging into valuation, GameStop currently has a Forward P/E ratio of 62.92. Its industry sports an average Forward P/E of 19.17, so one might conclude that GameStop is trading at a premium comparatively.
The Gaming industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 90, putting it in the top 37% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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GameStop Corp. (GME): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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