As of Friday close, GameStop Corp.’s (NYSE:GME) stock was up $0.05, moving up 0.24 percent to $20.98. The average number of shares traded per day over the past five days has been 2,182,340 shares. 1 time new highs have been achieved over the past 5 days, with a -$0.95 fall in that time frame. In the last twenty days, the average volume was 2,366,505, while in the previous 50 days, it was 4,009,238.
Since last month, GME stock retreated -8.10%. Shares of the company fell to $20.34 on 08/02/23, the lowest level in the past month. A 52-week high of $47.99 was reached on 06/13/23 after having rallying from a 52-week low of $15.41. Since the beginning of this year, GME’s stock price has risen by 13.65% or $2.52, and marked a new high 13 times. However, the stock has declined by -56.28% since its 52-week high.
GME stock investors should be aware that GameStop Corp. (GME) stock had its last reported insider trading activity 26 days ago on Jul 10. Patel Nir Vinay, the Chief Operating Officer of the company, disposed of 101,924 shares for $22.44 on Jul 10. It resulted in a $2,287,674 divestment by the insider. Patel Nir Vinay sold 20,149 shares at an average price of $23.27 on Jul 06. The insider now owns 1,106,619 shares following the transaction. On Jul 06, Chief Financial Officer Saadeh-Jajeh Diana sold 10,484 shares at $23.27 apiece. The transaction was valued at $243,931.
Valuation Metrics
The stock’s beta is -0.22. Besides these, the trailing price-to-sales (P/S) ratio of 1.12, the price-to-book (PB) ratio of 5.02, and the price-to-cash flow ratio of 25.38 may also be considered.
The latest dividend of $0.0950 per share was paid out, remained unchanged from last year’s $0.0950.
Financial Health
In the three months ended April 29, GameStop Corp.’s quick ratio stood at 1.10, while its current ratio was 1.70, showing that the company is able to pay off its debt. According to company report, the long-term debt-to-equity ratio for the quarter ending April 29 was 0.02, and the total debt-to-equity ratio was 0.03. On the profitability front, the trailing twelve-month gross margin is 23.50% percent. In the year ended April 29, operating margins totaled -3.70%. Based on annual data, GME earned $1.37 billion in gross profit and brought in $5.93 billion in revenue.
A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was -23.70%. Return on equity (ROE) for the past 12 months was -15.90%.
In GameStop Corp.’s quarter-end financial report for April 29, it reported total debt of $26.3 million against cash and short-term investments of $253.1 million. According to the earnings report, the company had a lower net income in the recent quarter than it did in the previous quarter. GME’s revenue fell -11.42% to $2.23 billion during the quarter, while net income inched up to $1.24 billion. While analysts expected GameStop Corp. to report -$0.12 quarterly earnings, the actual figure was -$0.14 per share, beating the consensus estimate by -16.70%. During the quarter, the company generated -$44.7 million in EBITDA. The liabilities of GameStop Corp. were 1.8 billion at the end of its most recent quarter ended April 29, and its total debt was $650.5 million. The value of shareholders’ equity is $304.75 million.
Technical Picture
This quick technical analysis looks at GameStop Corp.’s (GME) price momentum. With a historical volatility rate of 21.91%, the RSI 9-day stood at 30.66% on 04 August.
With respect to its five-day moving average, the current GameStop Corp. price is down by -4.33% percent or -$0.95. At present, GME shares trade -7.62% below its 20-day simple moving average and +25.25% percent above its 100-day simple moving average. However, the stock is currently trading approximately -9.41% below its SMA50 and -19.18% below its SMA200.
Stochastic coefficient K was 16.57% and Stochastic coefficient D was 14.33%, while ATR was 0.86. Given the Stochastic reading of 18.50% for the 14-day period, the RSI (14) reading has been calculated as 36.56%. As of today, the MACD Oscillator reading stands at -0.88, while the 14-day reading stands at -1.27.
Analyst Ratings
Wedbush reiterated its an Underperform rating on GameStop Corp. (NYSE: GME) in a note to investors. The analysts firm has however raised their price target to $6.20, representing a possible -222.77% increase in the stock price. GameStop Corp. (GME) has been rated Underweight by analysts. According to 1 brokerage firm, GME is a sell, and 1 firms recommend it is a Hold. There are 0 analysts who say the stock is underweight. A total of 0 analysts rate GameStop Corp. stock as buy, with 0 recommending it as overweight.
With a median target price of $13.10, the current consensus forecast for the stock is $6.20 – $20.00. Based on these forecasts, analysts predict GameStop Corp. (GME) will achieve an average price target of $13.10.
