GameStop (GME - Free Report) closed the most recent trading day at $4.87, moving -1.22% from the previous trading session. This move lagged the S&P 500's daily gain of 1.15%. At the same time, the Dow added 0.89%, and the tech-heavy Nasdaq gained 1.42%.
Investors will be hoping for strength from GME as it approaches its next earnings release. In that report, analysts expect GME to post earnings of -$0.73 per share. This would mark a year-over-year decline of 1142.86%. Meanwhile, our latest consensus estimate is calling for revenue of $1.05 billion, down 32.04% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of -$0.67 per share and revenue of $5.81 billion. These totals would mark changes of -404.55% and -10.1%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for GME. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 15.17% lower within the past month. GME is currently a Zacks Rank #3 (Hold).
The Retail - Consumer Electronics industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 142, putting it in the bottom 45% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.