GameStop's Earnings: A Preview

GameStop (NYSE:GME) is gearing up to announce its quarterly earnings on Tuesday, 2025-09-09. Here's a quick overview of what investors should know before the release.

Analysts are estimating that GameStop will report an earnings per share (EPS) of $0.17.

The market awaits GameStop's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.

It's important for new investors to understand that guidance can be a significant driver of stock prices.

Earnings History Snapshot

The company's EPS beat by $0.13 in the last quarter, leading to a 5.31% drop in the share price on the following day.

Here's a look at GameStop's past performance and the resulting price change:

Tracking GameStop's Stock Performance

Shares of GameStop were trading at $22.61 as of September 05. Over the last 52-week period, shares are down 3.07%. Given that these returns are generally negative, long-term shareholders are likely a little upset going into this earnings release.

Analysts' Perspectives on GameStop

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding GameStop.

Analysts have given GameStop a total of 1 ratings, with the consensus rating being Underperform. The average one-year price target is $13.5, indicating a potential 40.29% downside.

Analyzing Ratings Among Peers

In this comparison, we explore the analyst ratings and average 1-year price targets of and Best Buy Co, three prominent industry players, offering insights into their relative performance expectations and market positioning.

• Analysts currently favor an Neutral trajectory for Best Buy Co, with an average 1-year price target of $80.38, suggesting a potential 255.51% upside.

Comprehensive Peer Analysis Summary

The peer analysis summary outlines pivotal metrics for and Best Buy Co, demonstrating their respective standings within the industry and offering valuable insights into their market positions and comparative performance.

Key Takeaway:

GameStop ranks lower in revenue growth compared to its peers. It also has lower gross profit and return on equity.

Unveiling the Story Behind GameStop

GameStop Corp is a U.S. multichannel video game, consumer electronics, and services retailer. The company operates across Europe, Canada, Australia, and the United States. The company sells new and second-hand video game hardware, physical and digital video game software, and video game accessories, mainly through GameStop, EB Games, and Micromania stores and international e-commerce sites. The majority of sales are from the United States. The company categorizes its products in three categories: Hardware and accessories, Software, and Collectibles. The company generates the majority of its revenue from the sale of Hardware and accessories products.

A Deep Dive into GameStop's Financials

Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity.

Revenue Challenges: GameStop's revenue growth over 3 months faced difficulties. As of 30 April, 2025, the company experienced a decline of approximately -16.94%. This indicates a decrease in top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Consumer Discretionary sector.

Net Margin: GameStop's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 6.12% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): GameStop's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of 0.9%, the company may face hurdles in achieving optimal financial performance.

Return on Assets (ROA): GameStop's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of 0.67%, the company may face hurdles in achieving optimal financial returns.

Debt Management: GameStop's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.35.

To track all earnings releases for GameStop visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.