Upside case
Bull case
—
The bull case requires both strong earnings delivery and the market pricing GME more generously than it does today.
Analysis OverviewHoldUpdated May 1, 2026
GameStop Corp. (GME) Stock Analysis
Wall Street verdict, consensus price target, and analyst rating breakdown — everything needed to frame the risk/reward at today's price.
Analyst consensus
Hold
Covering
36
analysts
6 bullish · 10 bearish · 36 covering GME
Strong Buy
0
Buy
6
Hold
20
Sell
10
Strong Sell
0
Consensus Target
$18
-27.5% vs today
Scenario Range
$2 – —
Model bear to bull value window
Coverage
36
Published analyst ratings
Valuation Context
25.4x
Forward P/E · Market cap $11.3B
GME price targets
Three scenarios for where GME stock could go
Current
~$25
Confidence
54 / 100
Updated
May 1, 2026
Where we are now
Current · $25
Bear
$2
Base
$20
Market caseClosest to today
Base case
$20-20.5%
At 20x on FY1 earnings, the base case reflects a reasonable but not stretched valuation. It prices in continued growth without assuming an exceptional setup.
Stress case
Bear case
$2-92.6%
If investor confidence fades or macro conditions deteriorate, a 24x multiple contraction could push GME down roughly 93% from where it trades now.
Not financial advice. Model confidence reflects internal scenario assumptions, not a guarantee of returns. Past performance does not predict future results.
GameStop Corp.
GME · NYSEConsumer CyclicalSpecialty RetailJanuary year-end
GameStop is a specialty video game and entertainment products retailer operating physical stores and e-commerce sites. It generates revenue primarily from selling new and pre-owned video game hardware (~40%), software (~30%), and collectibles/accessories (~30%) — with digital content and in-game currency becoming increasingly important. The company's main competitive advantage is its extensive physical store network and brand recognition in the gaming community, though it faces significant challenges from digital distribution.
Market Cap
$11.3B
Revenue TTM
$3.6B
Net Income TTM
$418M
Net Margin
11.5%
GME Revenue and Earnings Performance
Quarterly beat-or-miss track record against analyst estimates, plus forward revenue and EPS outlook for the next two fiscal years.
EPS Beat Rate
83%Exceptional
12 quarters tracked
Revenue Beat Rate
17%Exceptional
vs consensus estimates
Avg EPS Surprise
+84.1%
above Street consensus
Beat / Miss Record
BeatMissLeft = EPS · Right = Revenue
Q2 2025
Q3 2025
Q4 2025
Q1 2026
Last 4 Quarters
EPS beats: 4 of 4Q2 2025
EPS
$0.17/$0.08
Revenue
$732M/$750M
Q3 2025
EPS
$0.25/$0.19
Revenue
$972M/$900M
Q4 2025
EPS
$0.24/$0.20
Revenue
$821M/$987M
Q1 2026
EPS
$0.49/$0.37
Revenue
$1.1B/$1.5B
| Quarter | EPS (Actual / Est) | EPS Surprise | Revenue (Actual / Est) | Rev Surprise |
|---|---|---|---|---|
| Q2 2025 | $0.17/$0.08 | +112.5% | $732M/$750M | -2.3% |
| Q3 2025 | $0.25/$0.19 | +31.6% | $972M/$900M | +8.0% |
| Q4 2025 | $0.24/$0.20 | +20.0% | $821M/$987M | -16.8% |
| Q1 2026 | $0.49/$0.37 | +32.4% | $1.1B/$1.5B | -24.7% |
FY1–FY2 Estimates
Revenue Outlook
FY1
$3.5B
-4.9% YoY
FY2
$3.2B
-6.3% YoY
EPS Outlook
FY1
$0.71
-6.3% YoY
FY2
$0.61
-14.3% YoY
Trailing FCF (TTM)$490M
FCF Margin: 13.5%
Next Earnings
—
Expected EPS
—
Expected Revenue
—
GME beat EPS estimates in 4 of 4 tracked quarters. A perfect track record raises the bar for the upcoming report.
GME Revenue Breakdown by Segment
Product and geographic revenue mix from the latest annual disclosure, with year-over-year growth by segment.
Latest disclosure
FY 2024
Total disclosed revenue $3.8B
Product Mix
Latest annual revenue by segment or product family
New Video Game Hardware
54.9%
-29.9% YoY
Tap, hover, or focus a slice to inspect segment detail.
Geographic Mix
Latest annual revenue by reported region
Video Game Brands - United States
67.4%
-24.9% YoY
Tap, hover, or focus a slice to inspect segment detail.
New Video Game Hardware is the largest disclosed segment at 54.9% of FY 2024 revenue, down 29.9% YoY.
Video Game Brands - United States is the largest reported region at 67.4%, down 24.9% YoY.
GME Valuation Snapshot
Current multiples compared to the S&P 500, the company's sector, and its own five-year average.
Relative Value Signal
Significantly Undervalued
Fair value est. $37 — implies +39.0% from today's price.
Upside to Fair Value
39.0%
potential upside
Deep DiscountFair ValueVery Expensive
vs S&P 500 Trailing P/E
GME
32.7x
vs
S&P 500
25.2x
+30% premium
vs Consumer Cyclical Trailing P/E
GME
32.7x
vs
Consumer Cyclical
19.6x
+67% premium
vs GME 5Y Avg P/E
Today
32.7x
vs
5Y Average
56.3x
42% discount
Forward PE
25.4x
S&P 500
19.1x
+33%
Consumer Cyclical
15.2x
+67%
5Y Avg
—
—
Trailing PE
32.7x
S&P 500
25.2x
+30%
Consumer Cyclical
19.6x
+67%
5Y Avg
56.3x
-42%
PEG Ratio
—
S&P 500
1.75x
—
Consumer Cyclical
0.95x
—
5Y Avg
—
—
EV/EBITDA
40.2x
S&P 500
15.3x
+164%
Consumer Cyclical
11.4x
+254%
5Y Avg
48.1x
-16%
Price/FCF
—
S&P 500
21.3x
—
Consumer Cyclical
15.0x
—
5Y Avg
104.6x
—
Price/Sales
3.1x
S&P 500
3.1x
-1%
Consumer Cyclical
0.7x
+336%
5Y Avg
1.9x
+61%
Dividend Yield
—
S&P 500
1.88%
—
Consumer Cyclical
2.15%
—
5Y Avg
—
—
| Metric | GME | S&P 500 | Consumer Cyclical | 5Y Avg GME |
|---|---|---|---|---|
| Forward PE | 25.4x | 19.1x+33% | 15.2x+67% | — |
| Trailing PE | 32.7x | 25.2x+30% | 19.6x+67% | 56.3x-42% |
| PEG Ratio | — | 1.75x | 0.95x | — |
| EV/EBITDA | 40.2x | 15.3x+164% | 11.4x+254% | 48.1x-16% |
| Price/FCF | — | 21.3x | 15.0x | 104.6x |
| Price/Sales | 3.1x | 3.1x | 0.7x+336% | 1.9x+61% |
| Dividend Yield | — | 1.88% | 2.15% | — |
GME trades above S&P 500 benchmarks on 3 of 4 measured multiples — commands a broad premium across most valuation dimensions.
Forward P/E and PEG reflect analyst consensus estimates. Historical averages use trailing ratios where forward data is unavailable.S&P 500 and sector benchmarks both use trailing median P/E — similar readings indicate the broader index and sector are priced alike.
Open valuation toolGME Financial Health
Verdict
Strong
GME generates $490M in free cash flow at a 13.5% margin.
Cash Engine
Revenue, margins, and cash generation
Revenue (TTM)
Trailing-twelve-month sales base
$3.6B
Revenue Growth
TTM vs prior year
-5.1%
Gross Margin
Gross profit as a share of revenue
33.0%
Operating Margin
Operating income divided by revenue
6.4%
Net Margin
Net income divided by revenue
11.5%
EPS (TTM)
Diluted earnings per share, trailing twelve months
$0.76
Free Cash Flow (TTM)
Cash generation after capex
$490M
FCF Margin
FCF as share of revenue — the primary cash quality signal
13.5%
Capital Quality
ROIC, leverage, and debt serviceability
ROIC
Return on invested capital — primary competitive quality signal
8.5%
ROA
Return on assets, trailing twelve months
4.3%
Cash & Equivalents
Liquid assets on the balance sheet
$6.3B
Net Cash
Cash exceeds total debt — no net leverage
$1.9B
Debt Serviceability
Net debt as a multiple of annual free cash flow
Net cash ✓
ROE
Return on equity, trailing twelve months
8.0%
Shareholder Returns
How capital is returned to owners
Total shareholder yield
0.0%
Dividend
—
Buyback
0.0%
Share Repurchases
Trailing buyback outflow — dollar magnitude of capital returned
$0
Dividend / Share
Annualized trailing dividend per share
—
Payout Ratio
Share of earnings distributed as dividends
—
Shares Outstanding
Current diluted share count
549M
All figures from the trailing twelve months. ROIC uses invested capital (equity + net debt).
Open full ratios pageGME Stock Risk Factors
Key factors that could pressure the stock price, compress the multiple, or weigh on future results.
AI analysis · updated April 29, 2026
High Risk
Short Squeezes and Volatility
GameStop's stock has a history of dramatic price swings, largely driven by short squeezes. These events can lead to price movements that are disproportionate to the company's actual performance, resulting in significant losses for investors who buy during a short squeeze.
High Risk
Business Model Transformation and Competition
GameStop is undergoing a strategic shift away from its traditional brick-and-mortar video game retail business, which faces threats from digital downloads and online competition. The success of this pivot towards higher-margin areas like trading cards and collectibles is critical, as declining revenue in its legacy business poses significant challenges.
High Risk
Cryptocurrency Investments
GameStop's investments in cryptocurrencies expose the company to high market volatility, which can significantly impact its financial results. The company's Bitcoin strategy has not been extensively tested and faces risks related to market manipulation and regulatory uncertainty.
Medium
Dependence on Retail Investors
The stock's volatility is amplified by its strong connection to retail investors, particularly those on social media platforms. This can lead to price movements that detach from the company's fundamentals, complicating the investment landscape.
Medium
Execution Risk in Collectibles
As GameStop pivots towards collectibles, the execution of this strategy is a key concern. Weakening demand or the end of partnerships could disrupt the company's growth narrative.
Lower
Valuation
While GameStop has strong cash reserves, its stock may trade at a premium compared to sector peers. This raises concerns about overvaluation if growth expectations are not met.
These are risk mechanisms, not predictions. The key question is which would force a cut to earnings estimates or a lower multiple than the market currently prices in.
Why GME Stock Could Outperform
Structural drivers behind the upside case and why the stock could outperform over the next 12 months.
AI analysis · updated April 29, 2026
Operational Turnaround and Profitability
Under new leadership, GameStop has focused on cost-cutting, closing underperforming stores, and streamlining operations. This has led to profitable quarters and revenue growth, particularly in the collectibles segment.
Strong Cash Position
The company holds a significant amount of cash and has no long-term debt, providing a financial cushion and the ability to pursue future opportunities. This substantial cash reserve is seen as a hard downside floor for the stock.
Growth in Collectibles and Digitalization
Strategic partnerships, such as with PSA for card grading, are creating high-margin revenue streams. The company is also focusing on developing high-margin digital products and monetizing its customer base.
Undervaluation
Some analysts and investors believe the market is undervaluing GameStop due to its 'meme stock' history. They argue that the operating business, when adjusted for its cash reserves, is trading at a low valuation compared to peers.
Shareholder Alignment
There is a perceived alignment between management and shareholders, with significant insider ownership and performance-based incentives.
Technical Indicators
Some technical analyses suggest positive momentum, with signals indicating a potential break-up and further price increases.
A real bull case compounds — each driver matters most when it strengthens margins, supports capital returns, and keeps the company above the market's minimum growth bar simultaneously.
GME Stock Price Performance
52-week range context and price returns across multiple time horizons. Dividend contribution is shown separately in the Capital Return section.
Current Price
$25.17
52W Range Position
33%
52-Week Range
Current price plotted between the 52-week low and high.
52-Week Low
$19.93
+26.3% from the low
52-Week High
$35.81
-29.7% from the high
1 Month
+9.06%
3 Month
+0.76%
YTD
+22.1%
1 Year
-3.3%
3Y CAGR
+7.1%
5Y CAGR
-9.0%
10Y CAGR
+12.8%
Range context matters because valuation compression and earnings misses rarely hit from the same starting point. A stock already far below its high can still fall, but it is no longer carrying the same embedded optimism as one pressing a fresh peak.
GME vs Peers
Valuation, growth, and margin comparison against the closest publicly traded peers for this company.
Peer Set
Accurate peer set
Forward PE
25.4x
vs 18.6x median
+37% above peer median
Revenue Growth
-4.9%
vs +1.0% median
-608% below peer median
Net Margin
11.5%
vs -0.6% median
+2168% above peer median
| Company | Mkt Cap | Fwd PE | Rev Grw | Margin | Rating | Upside |
|---|---|---|---|---|---|---|
GME GME GameStop Corp. | $11.3B | 25.4x | -4.9% | 11.5% | Hold | -27.5% |
BBY BBY Best Buy Co., Inc. | $12.3B | 9.1x | -0.6% | 2.6% | Hold | +26.9% |
SPW SPWH Sportsman's Warehouse Holdings, Inc. | $55M | — | -2.9% | -3.1% | — | — |
BNE BNED Barnes & Noble Education, Inc. | $356M | — | +1.0% | -0.6% | Hold | -77.2% |
EVL EVLV Evolv Technologies Holdings, Inc. | $1.2B | — | +45.4% | -22.7% | Buy | +40.6% |
CHW CHWY Chewy, Inc. | $10.2B | 28.1x | +10.4% | 1.2% | Buy | +69.6% |
This peer comparison reflects companies with similar business models, product lines, or market positioning, supplemented by industry grouping when direct matches are limited.
GME Dividend and Capital Return
GME does not currently return meaningful capital to shareholders.
Dividend UnknownFCF Unknown
Total Shareholder Yield
0.0%
Dividend + buyback return per year
Buyback Yield
0.0%
Dividend Yield
—
Payout Ratio
—
Dividend Profile
Yield, cadence, and growth quality
Dividend / Share
Trailing annualized cash dividend
$0.00
Growth Streak
Consecutive years of dividend increases
0Y
3Y Div CAGR
—
5Y Div CAGR
—
Ex-Dividend Date
—
Payment Cadence
Annual
0 payments over the last 12 months
Buyback Engine
How much per-share support comes from repurchases
Repurchases (TTM)
Cash used for buybacks in the latest trailing period
$0
Estimated Shares Retired
0
Approx. Share Reduction
0.0%
Shares Outstanding
Current diluted share count from the screening snapshot
549M
| Year | Div / Share | YoY Grw | BB Yield | Total Yield |
|---|---|---|---|---|
| 2019 | $0.10 | -75.0% | 59.1% | 71.2% |
| 2018 | $0.38 | 0.0% | 0.4% | 14.0% |
| 2017 | $0.38 | +2.7% | 1.3% | 10.4% |
| 2016 | $0.37 | +2.8% | 2.8% | 8.9% |
| 2015 | $0.36 | +9.1% | 7.0% | 12.5% |
FAQ
7 questionsGME Investor Questions
Common questions answered from live analyst data and company financials.
01Is GameStop Corp. (GME) stock a buy or sell in 2026?
GameStop Corp. (GME) is rated Hold by Wall Street analysts as of 2026. Of 36 analysts covering the stock, 6 rate it Buy or Strong Buy, 20 rate it Hold, and 10 rate it Sell or Strong Sell. The consensus 12-month price target is $18, implying -27.5% from the current price of $25.
02What is the GME stock price target for 2026?
The Wall Street consensus price target for GME is $18 based on 36 analyst estimates. The high-end target is $25 (-0.7% from today), and the low-end target is $12 (-54.3%). The base case model target is $20.
03Is GameStop Corp. (GME) stock overvalued in 2026?
GME trades at 25.4x times forward earnings. The stock trades at a notable premium to the broad market, which is typical for businesses with strong free cash flow and above-average growth expectations. Based on current multiples versus the peer group, the relative model signals significantly undervalued. Whether the stock is over or undervalued ultimately depends on whether consensus earnings estimates are achievable.
04What are the main risks for GameStop Corp. (GME) stock in 2026?
The primary risks for GME in 2026 are: (1) Short Squeezes and Volatility — GameStop's stock has a history of dramatic price swings, largely driven by short squeezes. (2) Business Model Transformation and Competition — GameStop is undergoing a strategic shift away from its traditional brick-and-mortar video game retail business, which faces threats from digital downloads and online competition. (3) Cryptocurrency Investments — GameStop's investments in cryptocurrencies expose the company to high market volatility, which can significantly impact its financial results. Each factor has the potential to pressure earnings or compress the stock's valuation multiple.
05What is GameStop Corp.'s revenue and earnings forecast?
Analyst consensus estimates GME will report consensus revenue of $3.5B (-4.9% year-over-year) and EPS of $0.71 (-6.3% year-over-year) for the upcoming fiscal year. The following year, analysts project $3.2B in revenue.
06When does GameStop Corp. (GME) report its next earnings?
A confirmed upcoming earnings date for GME is not yet available. Check the Earnings section above for the most recent quarterly report dates and forward estimates.
07How much free cash flow does GameStop Corp. generate?
GameStop Corp. (GME) generated $490M in free cash flow over the trailing twelve months — a free cash flow margin of 13.5%. GME returns capital to shareholders through and share repurchases ($0 TTM).