GameStop Corp.GME
NYSE•Consumer Cyclical•Specialty Retail
GameStop Corp., a specialty retailer, provides games, collectibles, and entertainment products through its stores and e-commerce platforms in United States, Australia and Europe. The company sells new and pre-owned gaming platforms; accessories, such as controllers, gaming headsets, and other peripheral devices; new and pre-owned gaming software; and in-game digital currency, digital downloadable content, and full-game downloads. It also sells collectibles comprising apparel, toys, trading cards, gadgets, and other retail products for pop culture and technology enthusiasts. The company operates stores and e-commerce sites under the GameStop, EB Games, and Micromania brands; and pop culture themed stores that sell collectibles, apparel, gadgets, electronics, toys, and other retail products under the Zing Pop Culture brand. The company was formerly known as GSC Holdings Corp. GameStop Corp. was founded in 1996 and is based in Grapevine, Texas.
GameStop Corporation (GME) reported trailing twelve months revenue of $3.63B as of January 2026, a 5.1% decline year-over-year. Quarterly revenue reached $1.10B, reflecting a contraction in sales.
GameStop Corporation generated $418.40M in TTM net income, with quarterly EBITDA of $163.70M. The operating margin expanded from 6.2% to 12.2%, suggesting improving cost efficiency and pricing discipline.
The spread between operating margin (12.2%) and net margin (11.6%) indicates tight cost control with minimal non-operating drag. Net margin has improved from 10.2% a year ago, signaling stronger bottom-line efficiency.
GME trades at a P/E of 25.6x (in line with broad market averages) and a P/S of 2.9x. The price-to-book ratio of 2.0x reflects a moderate premium to book value.
The company generated $187.40M in free cash flow over the trailing twelve months, a 18.0% increase year-over-year, indicating cash generation ability. The balance sheet shows $10.39B in total assets with $4.16B in long-term debt against $5.44B in stockholders equity for a debt-to-equity ratio of 0.8. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are under pressure, averaging 2.1%. The business may lack pricing power or face rising costs.'
ROE is positive at ~4.2% on average, adequate but below the threshold typically associated with wide moats.
Free cash flow is consistently positive and growing — a hallmark of a capital-light business that can self-fund growth.
Revenue has been flat or declining over recent quarters, which may indicate eroding demand or competitive pressure.
Data-driven red flags and warnings across 21 quarters
The company posted negative operating margins in recent quarters — core operations are unprofitable.
FCF covers net income by 2.3x on average — earnings are well-supported by cash generation.
Debt-to-equity has risen 22211.8% recently — increasing financial risk even if the current ratio is manageable.
TTM revenue has contracted 15.1% — significant decline indicating deteriorating demand.
Free cash flow is consistently positive — the business self-funds without external capital reliance.
Shares outstanding increased 46.5% — significant dilution, likely from stock compensation or capital raises.
Quarterly standardized metrics.
Stock price and market valuation
Revenue and earnings growth across quarters
Assets, cash, debt, and leverage
Price multiples and return ratios
Operating efficiency and return metrics
Free cash flow, earnings quality, and capital allocation