GameStop Corp. is reiterated as a buy following Q3 results and a post-earnings dip, offering a contrarian rebound opportunity amid 2025 market volatility. GME's U.S. sales grew 12% y/y, outperforming key competitors and demonstrating resilience despite macro headwinds and divestiture of underperforming international segments. The collectibles division surged 50% y/y to $256.1 million, driving a favorable shift in sales mix and boosting GAAP gross margins to 33.3%.
GameStop posted third-quarter revenue below analysts' estimates on Tuesday, as the video game retailer struggles to gain ground following its pivot to digital downloads and streaming, sending its shares down 5.8% in after-hours trading.
GameStop Corp (NYSE:GME) shares fell 5.4% afterhours as its third quarter sales fell short of Wall Street expectations. The company reported net sales of $821 million for the period, down from $860.3 million in the third quarter of 2024 and below the FactSet consensus of $987.3 million.
GameStop's (NYSE:GME) slide over the last six months narrates a compelling tale. The stock has declined nearly 38% from its 52-week high of about $35 to approximately $21–22 today.
GameStop Corp (NYSE:GME) stock is buzzing today, a fitting storyline for the Black Friday shopping frenzy.
Beyond Meat is Wall Street's latest meme stock, echoing similarities to prior darlings like GameStop and AMC. Despite it becoming a new trader favorite, smart investors clearly see Beyond Meat's structural issues.
GameStop is upgraded to a buy rating as fundamentals show a clear turnaround, with top-line growth and improved operating efficiency. GME posted a 21.78% YoY net sales increase and a significant operating income swing, beating analyst expectations and signaling robust demand. The company added substantial debt, likely to fund Bitcoin purchases, increasing risk but potentially positioning GME for further gains.
The OG meme stock's social-media post declaring the end of “the console wars” has created plenty of buzz.
In pre-market trading early on Monday, GameStop's share price rose to $25.03, up 7.4% from Friday. The popular meme stock has been volatile so far this year, and its price is down 25.65% since the start of 2025.
GameStop is a compelling contrarian rebound play after a ~20% decline this year, and the stock is no longer just a meme-stock investment. GME's core sales, especially in gaming hardware and trading cards, are growing strongly, driven by collectibles and the Nintendo Switch 2 release. The upcoming release pipeline for Switch 2 games and continued trading card enthusiasm are expected to sustain GME's sales momentum.
Gamestop (NYSE:GME) or AMC Entertainment (NYSE:AMC)?
Recently, Zacks.com users have been paying close attention to GameStop (GME). This makes it worthwhile to examine what the stock has in store.