GAMESTOP CORP-CLASS A (GME) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:GME - US36467W1099 - Common Stock
22.3684 USD
-0.19 (-0.85%)
We assign a fundamental rating of 3 out of 10 to GME. GME was compared to 122 industry peers in the Specialty Retail industry. GME has an average financial health and profitability rating. GME is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year GME was profitable.
GME had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: GME reported negative net income in multiple years.
In multiple years GME reported negative operating cash flow during the last 5 years.
1.2 Ratios
GME has a better Return On Assets (4.00%) than 65.57% of its industry peers.
With a decent Return On Equity value of 7.95%, GME is doing good in the industry, outperforming 62.30% of the companies in the same industry.
GME's Return On Invested Capital of 1.69% is in line compared to the rest of the industry. GME outperforms 40.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4% | ||
| ROE | 7.95% | ||
| ROIC | 1.69% |
ROA(3y)-2.52%
ROA(5y)-5.44%
ROE(3y)-6.84%
ROE(5y)-18.72%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
GME has a Profit Margin of 11.08%. This is amongst the best in the industry. GME outperforms 91.80% of its industry peers.
The Operating Margin of GME (5.83%) is better than 71.31% of its industry peers.
With a Gross Margin value of 30.79%, GME is not doing good in the industry: 64.75% of the companies in the same industry are doing better.
GME's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.83% | ||
| PM (TTM) | 11.08% | ||
| GM | 30.79% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y9.12%
GM growth 5Y-0.26%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so GME is destroying value.
Compared to 1 year ago, GME has more shares outstanding
Compared to 5 years ago, GME has more shares outstanding
Compared to 1 year ago, GME has an improved debt to assets ratio.
2.2 Solvency
GME has an Altman-Z score of 2.59. This is not the best score and indicates that GME is in the grey zone with still only limited risk for bankruptcy at the moment.
GME has a Altman-Z score (2.59) which is in line with its industry peers.
The Debt to FCF ratio of GME is 69.15, which is on the high side as it means it would take GME, 69.15 years of fcf income to pay off all of its debts.
GME has a Debt to FCF ratio (69.15) which is comparable to the rest of the industry.
GME has a Debt/Equity ratio of 0.78. This is a neutral value indicating GME is somewhat dependend on debt financing.
The Debt to Equity ratio of GME (0.78) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 69.15 | ||
| Altman-Z | 2.59 |
ROIC/WACC0.18
WACC9.6%
2.3 Liquidity
A Current Ratio of 10.39 indicates that GME has no problem at all paying its short term obligations.
GME has a better Current ratio (10.39) than 100.00% of its industry peers.
GME has a Quick Ratio of 9.77. This indicates that GME is financially healthy and has no problem in meeting its short term obligations.
With an excellent Quick ratio value of 9.77, GME belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 10.39 | ||
| Quick Ratio | 9.77 |
3. Growth
3.1 Past
GME shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 464.71%, which is quite impressive.
The Earnings Per Share has been growing by 13.54% on average over the past years. This is quite good.
The Revenue for GME has decreased by -12.13% in the past year. This is quite bad
Measured over the past years, GME shows a decrease in Revenue. The Revenue has been decreasing by -9.98% on average per year.
EPS 1Y (TTM)464.71%
EPS 3YN/A
EPS 5Y13.54%
EPS Q2Q%300%
Revenue 1Y (TTM)-12.13%
Revenue growth 3Y-14%
Revenue growth 5Y-9.98%
Sales Q2Q%-4.57%
3.2 Future
Based on estimates for the next years, GME will show a small growth in Earnings Per Share. The EPS will grow by 5.42% on average per year.
GME is expected to show a very negative growth in Revenue. In the coming years, the Revenue will decrease by -14.63% yearly.
EPS Next Y299.96%
EPS Next 2Y80.9%
EPS Next 3Y5.42%
EPS Next 5YN/A
Revenue Next Year3.5%
Revenue Next 2Y3.17%
Revenue Next 3Y-14.63%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 23.30, the valuation of GME can be described as rather expensive.
Based on the Price/Earnings ratio, GME is valued a bit cheaper than the industry average as 68.03% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.26. GME is around the same levels.
With a Price/Forward Earnings ratio of 27.34, GME can be considered very expensive at the moment.
The rest of the industry has a similar Price/Forward Earnings ratio as GME.
GME's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 23.68.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.3 | ||
| Fwd PE | 27.34 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as GME.
GME's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 166.43 | ||
| EV/EBITDA | 18.33 |
4.3 Compensation for Growth
GME's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.08
PEG (5Y)1.72
EPS Next 2Y80.9%
EPS Next 3Y5.42%
5. Dividend
5.1 Amount
No dividends for GME!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
NYSE:GME (12/19/2025, 9:45:09 AM)
22.3684
-0.19 (-0.85%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners39.68%
Inst Owner Change46.42%
Ins Owners8.57%
Ins Owner Change0.37%
Market Cap10.02B
Revenue(TTM)3.81B
Net Income(TTM)421.80M
Analysts40
Price Target13.77 (-38.44%)
Short Float %16.31%
Short Ratio9.88
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)38.49%
Min EPS beat(2)18.81%
Max EPS beat(2)58.16%
EPS beat(4)4
Avg EPS beat(4)167.26%
Min EPS beat(4)18.81%
Max EPS beat(4)320.79%
EPS beat(8)6
Avg EPS beat(8)114.51%
EPS beat(12)9
Avg EPS beat(12)108.2%
EPS beat(16)10
Avg EPS beat(16)58.36%
Revenue beat(2)1
Avg Revenue beat(2)-0.37%
Min Revenue beat(2)-17.67%
Max Revenue beat(2)16.92%
Revenue beat(4)1
Avg Revenue beat(4)-4.66%
Min Revenue beat(4)-17.67%
Max Revenue beat(4)16.92%
Revenue beat(8)1
Avg Revenue beat(8)-7.51%
Revenue beat(12)3
Avg Revenue beat(12)-6.46%
Revenue beat(16)5
Avg Revenue beat(16)-6.09%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)25.21%
EPS NY rev (1m)0%
EPS NY rev (3m)36.93%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)12.11%
Revenue NY rev (1m)0%
Revenue NY rev (3m)7.44%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.3 | ||
| Fwd PE | 27.34 | ||
| P/S | 2.63 | ||
| P/FCF | 166.43 | ||
| P/OCF | 17.42 | ||
| P/B | 1.89 | ||
| P/tB | 2.09 | ||
| EV/EBITDA | 18.33 |
EPS(TTM)0.96
EY4.29%
EPS(NY)0.82
Fwd EY3.66%
FCF(TTM)0.13
FCFY0.6%
OCF(TTM)1.28
OCFY5.74%
SpS8.5
BVpS11.84
TBVpS10.68
PEG (NY)0.08
PEG (5Y)1.72
Graham Number15.99
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4% | ||
| ROE | 7.95% | ||
| ROCE | 2.31% | ||
| ROIC | 1.69% | ||
| ROICexc | 20.66% | ||
| ROICexgc | 60.5% | ||
| OM | 5.83% | ||
| PM (TTM) | 11.08% | ||
| GM | 30.79% | ||
| FCFM | 1.58% |
ROA(3y)-2.52%
ROA(5y)-5.44%
ROE(3y)-6.84%
ROE(5y)-18.72%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y9.12%
GM growth 5Y-0.26%
F-Score6
Asset Turnover0.36
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | 69.15 | ||
| Debt/EBITDA | 17.14 | ||
| Cap/Depr | 2463.16% | ||
| Cap/Sales | 13.52% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 236.82% | ||
| Profit Quality | 14.27% | ||
| Current Ratio | 10.39 | ||
| Quick Ratio | 9.77 | ||
| Altman-Z | 2.59 |
F-Score6
WACC9.6%
ROIC/WACC0.18
Cap/Depr(3y)64.7%
Cap/Depr(5y)69.75%
Cap/Sales(3y)0.68%
Cap/Sales(5y)0.85%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)464.71%
EPS 3YN/A
EPS 5Y13.54%
EPS Q2Q%300%
EPS Next Y299.96%
EPS Next 2Y80.9%
EPS Next 3Y5.42%
EPS Next 5YN/A
Revenue 1Y (TTM)-12.13%
Revenue growth 3Y-14%
Revenue growth 5Y-9.98%
Sales Q2Q%-4.57%
Revenue Next Year3.5%
Revenue Next 2Y3.17%
Revenue Next 3Y-14.63%
Revenue Next 5YN/A
EBIT growth 1Y693.32%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year268.98%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-43.58%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y295.19%
OCF growth 3YN/A
OCF growth 5YN/A
GAMESTOP CORP-CLASS A / GME FAQ
What is the ChartMill fundamental rating of GAMESTOP CORP-CLASS A (GME) stock?
ChartMill assigns a fundamental rating of 3 / 10 to GME.
What is the valuation status for GME stock?
ChartMill assigns a valuation rating of 3 / 10 to GAMESTOP CORP-CLASS A (GME). This can be considered as Overvalued.
How profitable is GAMESTOP CORP-CLASS A (GME) stock?
GAMESTOP CORP-CLASS A (GME) has a profitability rating of 4 / 10.
What are the PE and PB ratios of GAMESTOP CORP-CLASS A (GME) stock?
The Price/Earnings (PE) ratio for GAMESTOP CORP-CLASS A (GME) is 23.3 and the Price/Book (PB) ratio is 1.89.
How financially healthy is GAMESTOP CORP-CLASS A?
The financial health rating of GAMESTOP CORP-CLASS A (GME) is 5 / 10.