GameStop (GME) Stock Dips While Market Gains: Key Facts

Group 1: Stock Performance - GameStop (GME) closed at $27.89, reflecting a -1.97% change from the previous session, underperforming compared to the S&P 500's daily gain of 0.09% [1] - Over the last month, GameStop's shares increased by 6.24%, lagging behind the Consumer Discretionary sector's gain of 19.62% and the S&P 500's gain of 13.05% [1] Group 2: Earnings Expectations - Analysts anticipate GameStop will report an EPS of$ 0.08, representing a 166.67% increase compared to the same quarter last year [2] - The consensus estimate for revenue is $750 million, indicating a 14.95% decrease from the same quarter of the previous year [2] Group 3: Full Year Projections - For the full year, earnings are projected at$ 0.47 per share, reflecting a +42.42% change from the prior year, while revenue is expected to be $3.4 billion, showing a -11.06% change [3] Group 4: Analyst Estimates and Outlook - Recent modifications to analyst estimates for GameStop reflect shifting short-term business dynamics, with positive changes indicating a favorable outlook on the company's health and profitability [4] - Changes in estimates are linked to upcoming stock price performance, suggesting that investors can leverage this information [5] Group 5: Zacks Rank and Valuation - GameStop currently holds a Zacks Rank of 1 (Strong Buy), with a historical average annual return of +25% for stocks rated 1 since 1988 [6] - The company is trading at a Forward P/E ratio of 60.53, which is a premium compared to the industry's average Forward P/E of 20.69 [7] Group 6: Industry Context - The Gaming industry, part of the Consumer Discretionary sector, has a Zacks Industry Rank of 143, placing it in the bottom 43% of over 250 industries [7] - The Zacks Industry Rank assesses the strength of industry groups, with top-rated industries outperforming the bottom half by a factor of 2 to 1 [8]