GameStop (NYSE:GME) Trading 6.1% Higher – Still a Buy?

Shares of GameStop Corp. (NYSE:GME) shot up 6.1% on Thursday . The stock traded as high as $29.90 and last traded at $28.68. 8,237,815 shares changed hands during trading, a decline of 57% from the average session volume of 19,025,281 shares. The stock had previously closed at $27.03.

Wall Street Analysts Forecast Growth

Several brokerages have commented on GME. StockNews.com upgraded GameStop to a “sell” rating in a research note on Saturday, October 19th. Wedbush restated an “underperform” rating and issued a $10.00 target price on shares of GameStop in a research note on Friday.

GameStop Stock Performance

The firm has a 50 day simple moving average of $24.32 and a 200 day simple moving average of $23.89. The firm has a market cap of $12.39 billion, a P/E ratio of 223.32 and a beta of -0.11.

GameStop (NYSE:GME) last issued its earnings results on Tuesday, September 10th. The company reported $0.01 EPS for the quarter, topping the consensus estimate of ($0.08) by $0.09. GameStop had a return on equity of 1.79% and a net margin of 0.93%. The business had revenue of $798.30 million during the quarter, compared to the consensus estimate of $895.67 million. During the same quarter last year, the company earned ($0.03) EPS. The firm’s revenue was down 31.4% compared to the same quarter last year. Sell-side analysts predict that GameStop Corp. will post 0.01 EPS for the current fiscal year.

Insider Buying and Selling at GameStop

In related news, insider Daniel William Moore sold 1,972 shares of the firm’s stock in a transaction dated Wednesday, October 2nd. The stock was sold at an average price of $21.96, for a total transaction of $43,305.12. Following the transaction, the insider now directly owns 37,280 shares of the company’s stock, valued at approximately $818,668.80. This trade represents a 5.02 % decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, General Counsel Mark Haymond Robinson sold 4,667 shares of the firm’s stock in a transaction dated Wednesday, October 2nd. The shares were sold at an average price of $21.96, for a total value of $102,487.32. Following the transaction, the general counsel now directly owns 54,927 shares in the company, valued at approximately $1,206,196.92. This represents a 7.83 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 22,639 shares of company stock valued at $481,000 in the last 90 days. Corporate insiders own 12.28% of the company’s stock.

Hedge Funds Weigh In On GameStop

A number of large investors have recently modified their holdings of the company. UMB Bank n.a. increased its stake in GameStop by 535.8% in the 3rd quarter. UMB Bank n.a. now owns 1,138 shares of the company’s stock worth $26,000 after purchasing an additional 959 shares during the period. AlphaMark Advisors LLC boosted its position in shares of GameStop by 41.7% during the second quarter. AlphaMark Advisors LLC now owns 1,345 shares of the company’s stock valued at $33,000 after purchasing an additional 396 shares in the last quarter. Centerpoint Advisors LLC bought a new stake in shares of GameStop during the second quarter valued at approximately $47,000. GAMMA Investing LLC boosted its position in shares of GameStop by 32.9% during the second quarter. GAMMA Investing LLC now owns 2,064 shares of the company’s stock valued at $51,000 after purchasing an additional 511 shares in the last quarter. Finally, CWM LLC boosted its position in shares of GameStop by 115.6% during the second quarter. CWM LLC now owns 2,660 shares of the company’s stock valued at $66,000 after purchasing an additional 1,426 shares in the last quarter. 29.21% of the stock is owned by hedge funds and other institutional investors.

GameStop Company Profile

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.