GameStop (NYSE:GME) Shares Gap Down – Here’s Why

GameStop Corp. (NYSE:GME) shares gapped down before the market opened on Thursday . The stock had previously closed at $28.36, but opened at $25.87. GameStop shares last traded at $24.81, with a volume of 11,103,359 shares traded.

Analyst Ratings Changes

A number of analysts have recently issued reports on GME shares. Wedbush reiterated an “underperform” rating and set a $10.00 price objective on shares of GameStop in a research note on Monday, March 24th. StockNews.com raised shares of GameStop from a “sell” rating to a “hold” rating in a research note on Thursday.

GameStop Trading Down 1.5 %

The business’s 50-day moving average is $25.36 and its two-hundred day moving average is $25.64. The firm has a market cap of $9.72 billion, a P/E ratio of 120.92 and a beta of -0.29.

GameStop (NYSE:GME) last announced its quarterly earnings results on Tuesday, March 25th. The company reported $0.30 earnings per share for the quarter, topping analysts’ consensus estimates of $0.09 by $0.21. GameStop had a return on equity of 2.11% and a net margin of 1.45%. The business had revenue of $1.28 billion for the quarter, compared to analysts’ expectations of $1.48 billion. During the same period in the prior year, the firm earned $0.21 EPS. The business’s quarterly revenue was down 28.5% on a year-over-year basis. On average, analysts anticipate that GameStop Corp. will post 0.08 earnings per share for the current year.

Insider Activity at GameStop

In related news, insider Daniel William Moore sold 895 shares of the firm’s stock in a transaction dated Friday, January 3rd. The stock was sold at an average price of $31.07, for a total transaction of $27,807.65. Following the completion of the transaction, the insider now owns 31,385 shares of the company’s stock, valued at $975,131.95. This trade represents a 2.77 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, General Counsel Mark Haymond Robinson sold 1,577 shares of GameStop stock in a transaction dated Friday, January 3rd. The stock was sold at an average price of $31.07, for a total value of $48,997.39. Following the transaction, the general counsel now directly owns 42,350 shares in the company, valued at approximately $1,315,814.50. The trade was a 3.59 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 12.28% of the stock is currently owned by insiders.

Institutional Trading of GameStop

A number of hedge funds and other institutional investors have recently made changes to their positions in GME. CIBC Asset Management Inc raised its position in shares of GameStop by 5.7% during the fourth quarter. CIBC Asset Management Inc now owns 9,381 shares of the company’s stock worth $294,000 after purchasing an additional 502 shares during the period. Christensen King & Associates Investment Services Inc. boosted its stake in GameStop by 1.9% in the 4th quarter. Christensen King & Associates Investment Services Inc. now owns 27,397 shares of the company’s stock worth $853,000 after purchasing an additional 518 shares during the period. Nomura Asset Management Co. Ltd. grew its position in GameStop by 32.3% during the 4th quarter. Nomura Asset Management Co. Ltd. now owns 2,130 shares of the company’s stock worth $67,000 after purchasing an additional 520 shares in the last quarter. Crossmark Global Holdings Inc. raised its stake in GameStop by 2.9% during the 4th quarter. Crossmark Global Holdings Inc. now owns 18,338 shares of the company’s stock valued at $575,000 after purchasing an additional 523 shares during the period. Finally, Securian Asset Management Inc. lifted its holdings in shares of GameStop by 1.8% in the fourth quarter. Securian Asset Management Inc. now owns 30,717 shares of the company’s stock valued at $963,000 after purchasing an additional 557 shares in the last quarter. 29.21% of the stock is currently owned by institutional investors.

About GameStop

GameStop Corp., a specialty retailer, provides games and entertainment products through its stores and ecommerce platforms in the United States, Canada, Australia, and Europe. The company sells new and pre-owned gaming platforms; accessories, such as controllers, gaming headsets, and virtual reality products; new and pre-owned gaming software; and in-game digital currency, digital downloadable content, and full-game downloads.