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GameStop
(NYSE:GME)
Select Model
Select Model
Rating:69Neutral
Price Target:
$26.00
▲(35.70% Upside)
Action:Reiterated
Date:10/11/26
The score is primarily driven by improved profitability and solid cash generation, tempered by ongoing revenue decline and balance-sheet leverage risk. Technically, the uptrend is strong but looks overextended (overbought momentum), while valuation is reasonable on P/E but lacks dividend support.
Positive Factors
Profitability turnaround
The shift from losses to substantial TTM net income demonstrates a meaningful profitability turnaround, while higher margins indicate improved earnings quality. If maintained, stronger profitability can support reinvestment, resilience through demand fluctuations, and more internally funded strategic initiatives over the next several quarters.
Negative Factors
Revenue contraction
Persistently declining revenue challenges the durability of the recent earnings improvement because margin gains become harder to sustain on a shrinking sales base. Continued contraction could reduce operating leverage, limit the scale benefits of the retail network, and increase dependence on mix improvements or cost reductions.
Read all positive and negative factors
Positive Factors
Negative Factors
Profitability turnaround
The shift from losses to substantial TTM net income demonstrates a meaningful profitability turnaround, while higher margins indicate improved earnings quality. If maintained, stronger profitability can support reinvestment, resilience through demand fluctuations, and more internally funded strategic initiatives over the next several quarters.
Read all positive factors
GameStop Key Performance Indicators (KPIs)
Any
Revenue by Segment
Analyzes revenue from different business segments, highlighting which areas drive growth or face challenges, essential for assessing GameStop's strategic direction and market positioning.
Analyzes revenue from different business segments, highlighting which areas drive growth or face challenges, essential for assessing GameStop's strategic direction and market positioning.
Data provided by:
The Fly
The FlyGameStop (GME) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$12.06B
Dividend Yield13.87%
Average Volume (3M)10.60M
Price to Earnings (P/E)12.0
Beta (1Y)0.31
Revenue Growth-7.71%
EPS Growth145.76%
CountryUS
Employees4,000
SectorConsumer Cyclical
Sector Strength84
IndustrySpecialty Retail
Share Statistics
EPS (TTM)1.99
Shares Outstanding504,500,980
10 Day Avg. Volume10,618,253
30 Day Avg. Volume10,603,688
Financial Highlights & Ratios
PEG Ratio0.14
Price to Book (P/B)1.96
Price to Sales (P/S)2.94
P/FCF Ratio17.90
Enterprise Value/Market Cap1.01
Enterprise Value/Revenue3.42
Enterprise Value/Gross Profit9.02
Enterprise Value/Ebitda11.31
Forecast
1Y Price Target
$32.00Price Target Upside67.01% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering1
EPS Forecast (FY)1.3
Revenue Forecast (FY)$3.90B
GameStop Business Overview & Revenue Model
Company Description
GameStop Corp. operates as a prominent specialty retailer, providing a diverse array of gaming and entertainment products to customers across the United States, Canada, Australia, and Europe, both through its online platforms and physical store lo...
How the Company Makes Money
GameStop primarily makes money by selling products across several core categories through its stores and online operations. Key revenue streams include: (1) Video game hardware sales (e.g., consoles and related equipment), where revenue is generat...
GameStop Financial Statement Overview
Summary
Income Statement
74
Positive
Balance Sheet
61
Positive
Cash Flow
70
Positive
| Breakdown | TTM | Jan 2026 | Jan 2025 | Jan 2024 | Jan 2023 | Jan 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 3.55B | 3.63B | 3.82B | 5.27B | 5.93B | 6.01B |
| Gross Profit | 1.35B | 1.18B | 1.11B | 1.29B | 1.37B | 1.35B |
| EBITDA | 1.07B | 403.50M | 22.40M | 26.50M | -247.20M | -284.60M |
| Net Income | 893.30M | 418.40M | 131.30M | 6.70M | -313.10M | -381.30M |
Balance Sheet | ||||||
| Total Assets | 11.14B | 10.45B | 5.88B | 2.71B | 3.11B | 3.50B |
| Cash, Cash Equivalents and Short-Term Investments | 5.06B | 9.01B | 4.77B | 1.20B | 1.39B | 1.27B |
| Total Debt | 4.33B | 4.36B | 410.70M | 602.80M | 616.60M | 649.00M |
| Total Liabilities | 5.00B | 5.01B | 945.60M | 1.37B | 1.79B | 1.90B |
| Stockholders Equity | 6.14B | 5.44B | 4.93B | 1.34B | 1.32B | 1.60B |
Cash Flow | ||||||
| Free Cash Flow | 688.20M | 597.30M | 129.60M | -238.60M | 52.30M | -496.30M |
| Operating Cash Flow | 704.90M | 614.80M | 145.70M | -203.70M | 108.20M | -434.30M |
| Investing Cash Flow | -4.57B | -3.23B | 265.10M | -33.20M | -222.70M | -64.80M |
| Financing Cash Flow | -7.00M | 4.15B | 3.44B | -11.60M | -7.90M | 1.20B |
GameStop Technical Analysis
Neutral
19.16
Price Trends
22.46
Positive
21.87
Positive
22.63
Positive
Market Momentum
0.71
Positive
43.71
Neutral
9.75
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GME, the sentiment is Neutral. The current price of 19.16 is below the 20-day moving average (MA) of 25.67, below the 50-day MA of 22.46, and below the 200-day MA of 22.63, indicating a neutral trend. The MACD of 0.71 indicates Positive momentum. The RSI at 43.71 is Neutral, neither overbought nor oversold. The STOCH value of 9.75 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GME.
GameStop Risk Analysis
GameStop disclosed 60 risk factors in its most recent earnings report. GameStop reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
GameStop Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
74 Outperform | $52.79B | 24.01 | 48.28% | 1.03% | 15.18% | 7.28% | |
73 Outperform | $2.69T | 19.77 | 30.50% | ― | 15.77% | 88.63% | |
69 Neutral | $12.06B | 12.01 | 15.72% | 13.87% | -7.71% | 145.76% | |
69 Neutral | $20.54B | 16.27 | 42.82% | 3.91% | 1.45% | 65.55% | |
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
59 Neutral | $248.48B | 21.51 | 7.04% | 1.05% | 7.76% | -49.08% | |
46 Neutral | $198.62M | 21.20 | 5.52% | ― | ― | ― |
* Consumer Cyclical Sector Average
GME
GameStop
23.90
0.37
1.57%
AMZN
Amazon
249.09
22.12
9.75%
BBY
Best Buy Co
97.95
19.26
24.48%
NEGG
Newegg Commerce
9.47
-56.86
-85.72%
EBAY
eBay
118.62
21.84
22.57%
BABA
Alibaba
100.25
-77.60
-43.63%
GameStop Corporate Events
Business Operations and StrategyDelistings and Listing ChangesPrivate Placements and Financing
GameStop Highlights Approaching Expiration of Stock Warrants
Neutral
Oct 19, 2026
GameStop Corp., headquartered in Grapevine, Texas, operates in the video game and consumer electronics retail industry, focusing on selling gaming hardware, software and related accessories. Its Class A common stock continues to trade on the New Y...
Business Operations and StrategyFinancial DisclosuresM&A TransactionsPrivate Placements and Financing
GameStop boosts profitability, debt reduced amid collectibles surge
Positive
Sep 8, 2026
In the second quarter ended August 1, 2026, GameStop reported record operating income of $160.2 million, even as net sales fell to $790.2 million from $972.2 million a year earlier due to the prior-year Nintendo Switch 2 launch, store closures and...
Business Operations and StrategyFinancial DisclosuresPrivate Placements and Financing
GameStop Modifies Convertible Note Exchange Agreement Terms
Neutral
Aug 31, 2026
On August 2, 2026, GameStop entered privately negotiated agreements to exchange $400 million of its 0.00% Convertible Senior Notes due 2030 and $1.0 billion of its 0.00% Convertible Senior Notes due 2032 for Class A common stock. On August 31, 202...
Business Operations and StrategyPrivate Placements and Financing
GameStop to Exchange Convertible Notes for Equity Shares
Positive
Aug 3, 2026
On August 2, 2026, GameStop entered into privately negotiated agreements with certain institutional holders of its 0.00% convertible senior notes due 2030 and 2032 to exchange about $1.4 billion of these notes for shares of Class A common stock. T...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.