GameStop (NYSE:GME) Hits New 12-Month Low – What’s Next?

GameStop Corp. (NYSE:GME) hit a new 52-week low during trading on Wednesday . The stock traded as low as $18.44 and last traded at $18.5140, with a volume of 769202 shares trading hands. The stock had previously closed at $18.82.

Analyst Ratings Changes

GME has been the subject of a number of recent analyst reports. Weiss Ratings reiterated a “hold (c)” rating on shares of GameStop in a research report on Wednesday, July 29th. Wall Street Zen upgraded GameStop from a “hold” rating to a “buy” rating in a report on Sunday, June 14th. One research analyst has rated the stock with a Hold rating, Based on data from MarketBeat, GameStop presently has a consensus rating of “Hold”.

GameStop Stock Performance

The firm’s 50-day simple moving average is $21.48 and its two-hundred day simple moving average is $22.82. The company has a current ratio of 12.40, a quick ratio of 11.91 and a debt-to-equity ratio of 0.71. The stock has a market capitalization of $8.30 billion, a PE ratio of 14.02 and a beta of 1.79.

GameStop (NYSE:GME) last released its earnings results on Tuesday, June 2nd. The company reported $0.30 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.16 by $0.14. The company had revenue of $835.30 million during the quarter, compared to analyst estimates of $766.63 million. GameStop had a return on equity of 13.75% and a net margin of 20.45%.The company’s revenue for the quarter was up 14.0% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.17 earnings per share.

Insider Activity

In other news, General Counsel Mark Haymond Robinson sold 7,083 shares of the company’s stock in a transaction dated Wednesday, July 1st. The stock was sold at an average price of $22.38, for a total value of $158,517.54. Following the transaction, the general counsel owned 108,147 shares in the company, valued at $2,420,329.86. This represents a 6.15% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Daniel William Moore sold 7,085 shares of the business’s stock in a transaction on Wednesday, July 1st. The shares were sold at an average price of $22.38, for a total transaction of $158,562.30. Following the transaction, the insider owned 115,125 shares in the company, valued at approximately $2,576,497.50. This represents a 5.80% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have sold 18,125 shares of company stock worth $406,587. Company insiders own 9.50% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of the business. Northwestern Mutual Wealth Management Co. lifted its stake in shares of GameStop by 308.9% in the 3rd quarter. Northwestern Mutual Wealth Management Co. now owns 969 shares of the company’s stock valued at $26,000 after purchasing an additional 732 shares during the last quarter. EverSource Wealth Advisors LLC increased its position in GameStop by 226.6% during the second quarter. EverSource Wealth Advisors LLC now owns 1,277 shares of the company’s stock worth $31,000 after buying an additional 886 shares during the last quarter. Advisory Services Network LLC bought a new position in GameStop during the third quarter valued at about $39,000. Los Angeles Capital Management LLC bought a new position in GameStop during the fourth quarter valued at about $39,000. Finally, Rockefeller Capital Management L.P. lifted its position in shares of GameStop by 805.6% in the fourth quarter. Rockefeller Capital Management L.P. now owns 2,264 shares of the company’s stock worth $45,000 after buying an additional 2,014 shares during the last quarter. Institutional investors and hedge funds own 29.21% of the company’s stock.

About GameStop

GameStop Corp. (NYSE:GME) is a global specialty retailer focused on video games, gaming consoles, consumer electronics and related accessories. The company operates a network of physical retail stores alongside an e-commerce platform, offering new and pre-owned products spanning the latest game software, hardware, collectibles and lifestyle merchandise. GameStop’s retail footprint is complemented by digital marketplaces for trade-ins and online purchases, as well as a membership program that provides exclusive content and rewards.

Originally founded in 1984 as Babbage’s in Dallas, Texas, the company adopted the GameStop name in 1999 following its merger with Software Etc.