Quality Investor

GameStop Corp.

Rank #444Value

GME · NYSE · Consumer Cyclical

GameStop Corp. (GME) — Rank #444 by gross profitability (GP/assets 0.11) · ROE 6.8% · Piotroski F-Score 6 / 9.

As-of 2026-09-15 · CIK 0001326380 · all metrics point-in-time as of the filing date.

About

GameStop Corp., a specialty retailer, provides games, collectibles, and entertainment products through its stores and e-commerce platforms in United States, Australia and Europe.

Show more

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.

Industry
Specialty Retail
Sector
Consumer Cyclical
State
DE
Filer Category
Large accelerated filer
Fiscal Year End
January 30

Price History

GME-58.3% · -16.0% CAGRSPY+80.5% · +12.5% CAGR

Company Snapshot

P/E and dividend yield are the primary valuation lenses for mature businesses.

Market Cap

$10.68B

P/E (annual)

27.5

P/S (annual)

2.9

P/B

1.7

P/OCF (annual)

17.4

Shareholder Yield

-39.1%

Employees

4,000

Industry

Specialty Retail

Exchange

NYSE

Signal Flags

2 green1 yellow1 red
Revenue growth acceleratingGrowth rate increasing year over year
Sequential beat (rev + EPS)Both revenue and EPS exceeded prior quarter — 2-quarter streak
Dilution above 2%Annual share count increase exceeds 2%. May be acceptable for high-growth companies funding talent via stock compensation
Revenue declining YoYRevenue contracted year over year

Quality Profile

Profitability

1/1 pass
GP / assets
0.11
Return on equity
6.8%
Gross margin trend
PASS

Safety

1/1 pass
Balance-sheet safety
PASS
Debt / equity
0.81
Current ratio
8.72×
Net cash
$896.00M

Cash Flow

3/3 pass
Positive FCF
PASS
Cash-backed earnings
PASS
Accruals healthy
PASS
SBC / revenue
0.7%

Growth

0/2 pass
Revenue growth
-5.1%
Piotroski F-Score
6 / 9
Share dilution
39.1%

Terry Smith quality gate

Passes 1/5 Terry Smith thresholds

1 of 5 threshold not computable from filed data.

What Growth Is Priced In

Implied revenue growth (10Y)

7.3%

incredible deal

The annual FCF growth rate today's price requires over a 10-year horizon (discount rate 10%, terminal growth 2.5%).

Dilution drag: 39.1% — per-share value needs a total required return of 46.5% once share-count change is priced in.

vs. own 6-year median revenue growth: -8.0%

Cost-of-equity sensitivity (implied growth at different discount rates)

r = 8%

3.1%

r = 10% (base)

7.3%

r = 12%

11.1%

Net debt / market cap: -7.7%

Note: current FCF margin is 2.3σ above its historical mean — implied growth may understate valuation risk if the margin reverts.

Base FCF: $597.3M3Y mean FCF: $162.8M

Valuation History

Current multiple vs historical range at each filing date. Band spans 25th-75th percentile.

P / E

Price / diluted EPS

29.6xFair
0.7xmed 29.6x775.0x

P / S

Price / revenue per share

3.5xExpensive
0.0xmed 0.4x3.5x

P / B

Price / book value per share

2.3xFair
0.0xmed 1.5x6.8x

P / GP

Price / gross profit per share

10.5xExpensive
0.0xmed 1.8x10.5x

P / FCF

Price / free cash flow per share

21.0xFair
0.3xmed 21.0x134.7x

Dividend yield and payout ratio are the primary reads at this stage (trailing P/E — see valuation above).

Profitability

Gross profitability (GP / assets)

0.11

Primary signal (Novy-Marx).

Return on equity

6.8%

Gross margin

33.0%

Revenue growth (YoY)

-5.1%

Gross margin improving

Margin trend vs prior year.

PASS

Operating Leverage

2023202420252026
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Growth

Revenue CAGR (3Y)

-15.1%

Revenue CAGR (5Y)

-6.5%

Earnings CAGR (3Y)

FCF CAGR (3Y)

125.2%

Anti-fragile safety

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

0.81

Current ratio

8.72×

Quick ratio

7.59×

Net cash

$896.00M

Cash & equivalents minus total debt.

Cash-flow health

Free cash flow

$597.30M

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF / net income

0.43

Cash-backing of earnings.

FCF/NI divergence

Unfavorable divergence (yellow flag).

PASS

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

0.7%

Stock-based comp intensity.

Piotroski F-Score

F-Score

6 / 9

Fundamental-strength score (0-9).

Lifecycle Phase History

20212026
Decline
Startup
Value