GameStop (NYSE:GME) Upgraded at Wall Street Zen

Wall Street Zen upgraded shares of GameStop (NYSE:GME) from a hold rating to a buy rating in a research report report published on Sunday morning,Wall Street Zen reports.

Separately, Weiss Ratings restated a “hold (c)” rating on shares of GameStop in a report on Wednesday, July 29th. One investment analyst has rated the stock with a Hold rating, Based on data from MarketBeat.com, GameStop currently has an average rating of “Hold”.

GameStop Stock Performance

Shares of GameStop stock opened at $18.73 on Friday. The firm has a market cap of $8.40 billion, a P/E ratio of 14.19 and a beta of 1.72. The company has a current ratio of 12.40, a quick ratio of 11.91 and a debt-to-equity ratio of 0.71. GameStop has a 12 month low of $17.79 and a 12 month high of $28.10. The stock’s fifty day moving average price is $20.42 and its 200-day moving average price is $22.19.

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

Insider Buying and Selling

In other GameStop news, insider Daniel William Moore sold 7,085 shares of the firm’s stock in a transaction that occurred 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 completion of the transaction, the insider directly owned 115,125 shares of the company’s stock, valued at approximately $2,576,497.50. This trade represents a 5.80% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, General Counsel Mark Haymond Robinson sold 3,957 shares of the company’s stock in a transaction on Monday, July 6th. The shares were sold at an average price of $22.62, for a total transaction of $89,507.34. Following the completion of the sale, the general counsel directly owned 104,190 shares in the company, valued at $2,356,777.80. This trade represents a 3.66% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders sold 18,125 shares of company stock worth $406,587. 9.50% of the stock is owned by insiders.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the business. Northwestern Mutual Investment Management Company LLC lifted its position in GameStop by 0.5% during the fourth quarter. Northwestern Mutual Investment Management Company LLC now owns 92,197 shares of the company’s stock valued at $1,851,000 after purchasing an additional 463 shares during the period. Public Employees Retirement System of Ohio grew its position in GameStop by 0.4% during the 3rd quarter. Public Employees Retirement System of Ohio now owns 131,002 shares of the company’s stock worth $3,574,000 after purchasing an additional 578 shares during the period. Panagora Asset Management Inc. grew its position in GameStop by 4.5% during the 4th quarter. Panagora Asset Management Inc. now owns 13,692 shares of the company’s stock worth $275,000 after purchasing an additional 594 shares during the period. UMB Bank n.a. raised its stake in shares of GameStop by 14.5% during the 4th quarter. UMB Bank n.a. now owns 4,694 shares of the company’s stock valued at $94,000 after buying an additional 595 shares during the last quarter. Finally, Rakuten Securities Inc. raised its stake in shares of GameStop by 9.4% during the 2nd quarter. Rakuten Securities Inc. now owns 7,572 shares of the company’s stock valued at $185,000 after buying an additional 650 shares during the last quarter. Hedge funds and other institutional investors own 29.21% of the company’s stock.

More GameStop News

Here are the key news stories impacting GameStop this week:

• Positive Sentiment: GameStop expects second-quarter net income of approximately $290 million to $310 million, compared with $168.6 million a year earlier. The improvement appears largely linked to gains from its nearly $5 billion eBay equity position rather than stronger core retail sales. GameStop Expects Higher Profit Despite Lower Sales
• Positive Sentiment: GameStop held roughly $5 billion in cash and nearly $5 billion in eBay stock as of August 1. Investors may view the eBay stake as a potentially valuable digital-commerce asset and evidence that the failed acquisition effort still produced a strategic foothold. GameStop Turns eBay Pursuit Into a Nearly $5 Billion Investment
• Positive Sentiment: Amendments to the convertible-note exchange will settle approximately $358.4 million in cash instead of stock, reducing the immediate dilution overhang that had pressured GME. The cash payment does, however, reduce liquidity. Convertible Notes Exchange Amendment
• Neutral Sentiment: GameStop is expected to report its full second-quarter results on Tuesday, giving investors more detail on the eBay-related gains, cash position, operating expenses and management’s outlook. GameStop Expected to Release Earnings
• Negative Sentiment: Preliminary net sales are projected at $780 million to $800 million, down from $972 million last year. Planned store closures and GameStop’s exit from France are weighing on revenue, highlighting continued weakness in the core retail business. GameStop Expects Lower Quarterly Sales

GameStop Company Profile

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.