Gamestop Corporation (NYSE: GME)’s stock price has decreased by -1.71 compared to its previous closing price of 22.21. However, the company has seen a -3.66% decrease in its stock price over the last five trading sessions. zacks.com reported 2024-08-26 that Zacks.com users have recently been watching GameStop (GME) quite a bit. Thus, it is worth knowing the facts that could determine the stock’s prospects.
Is It Worth Investing in Gamestop Corporation (NYSE: GME) Right Now?
The price-to-earnings ratio for Gamestop Corporation (NYSE: GME) is 267.85x, which is above its average ratio. Moreover, the 36-month beta value for GME is -0.14. Analysts have varying opinions on the stock, with 2 analysts rating it as a “buy,” 2 as “overweight,” 7 as “hold,” and 1 as “sell.”
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The public float for GME is 388.27M and currently, short sellers hold a 9.77% of that float. On August 26, 2024, GME’s average trading volume was 37.01M shares.
GME’s Market Performance
GME’s stock has seen a -3.66% decrease for the week, with a -9.53% drop in the past month and a 14.89% gain in the past quarter. The volatility ratio for the week is 2.65%, and the volatility levels for the past 30 days are at 4.33% for Gamestop Corporation The simple moving average for the past 20 days is -0.95% for GME’s stock, with a 21.02% simple moving average for the past 200 days.
Analysts’ Opinion of GME
Many brokerage firms have already submitted their reports for GME stocks, with Wedbush repeating the rating for GME by listing it as a “Underperform.” The predicted price for GME in the upcoming period, according to Wedbush is $6.20 based on the research report published on June 08, 2023 of the previous year 2023.
Ascendiant Capital Markets, on the other hand, stated in their research note that they expect to see GME reach a price target of $10, previously predicting the price at $12. The rating they have provided for GME stocks is “Sell” according to the report published on April 12th, 2021.
Telsey Advisory Group gave a rating of “Underperform” to GME, setting the target price at $30 in the report published on March 24th of the previous year.
GME Trading at -8.99% from the 50-Day Moving Average
After a stumble in the market that brought GME to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -66.33% of loss for the given period.
Volatility was left at 4.33%, however, over the last 30 days, the volatility rate increased by 2.65%, as shares sank -6.65% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -24.35% lower at present.
During the last 5 trading sessions, GME fell by -2.78%, which changed the moving average for the period of 200-days by +61.51% in comparison to the 20-day moving average, which settled at $21.96. In addition, Gamestop Corporation saw 24.53% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at GME starting from Cheng Lawrence, who purchase 4,140 shares at the price of $24.85 back on Jul 08 ’24. After this action, Cheng Lawrence now owns 69,228 shares of Gamestop Corporation, valued at $102,879 using the latest closing price.
Moore Daniel William, the PFO and PAO of Gamestop Corporation, sale 403 shares at $23.43 during a trade that took place back on Jul 02 ’24, which means that Moore Daniel William is holding 39,252 shares at $9,443 based on the most recent closing price.
Stock Fundamentals for GME
Current profitability levels for the company are sitting at:
- -0.0 for the present operating margin
- 0.25 for the gross margin
The net margin for Gamestop Corporation stands at 0.01. The total capital return value is set at -0.01. Equity return is now at value 1.93, with 0.88 for asset returns.
Based on Gamestop Corporation (GME), the company’s capital structure generated 0.13 points at debt to capital in total, while cash flow to debt ratio is standing at -1.04. The debt to equity ratio resting at 0.16. The interest coverage ratio of the stock is 1.86.
Currently, EBITDA for the company is 26.5 million with net debt to EBITDA at -11.0. When we switch over and look at the enterprise to sales, we see a ratio of 1.81. The receivables turnover for the company is 83.49for trailing twelve months and the total asset turnover is 1.9. The liquidity ratio also appears to be rather interesting for investors as it stands at 2.22.
Conclusion
To wrap up, the performance of Gamestop Corporation (GME) has been mixed in recent times. The stock has received a mixed of “buy” and “hold” ratings from analysts. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
