QualityDipStocks / Consumer Discretionary · Electronics Distribution
GameStop GME
Outside our quality screen, so we don’t track its dips. It’s 14% below its 52-week high.
Outside our quality screen, trading above our fair value estimate.
- Fair value est.
- $18.40−24%
- Market Value
- $24.31at the price
- Off 52-wk high
- −14%
- Risk vs market
- Lowbeta 0.51
5 bullish · 5 bearish See why
Key levels
Every level vs today’s $24.23
- 52-wk lowlowest close, 1 year$17.87−26.2%
- Fair value est.base case$18.40−24.1%
- PriceFri Oct 30 close$24.23you are here
- Market Valueavg paid since Sep 8$24.31+0.3%
- 52-wk highhighest close, 1 year$28.02+15.6%
Fair value estimate
How the range is computed
Ten-year free-cash-flow DCF. Same 10-year free-cash-flow model as the base: discount rate 9.5% ±1 point and growth 3.0% ±2 points. Bear = 10.5% and 1.0%; bull = 8.5% and 5.0% (both fade to 3%). A model estimate from public filings, not a forecast of where the price will go.
Price sits inside the range.
What the price implies To be worth today’s price, GME’s free cash flow would need to grow about 8% a year for five years; our estimate uses 3%.
Risk vs market
How risk vs market is measured
One year of daily returns (Oct 30 to Oct 30, 252 sessions). Beta = how much GME moved for each 1% move in the S&P 500 (SPY); 1.0 moves with the market. Volatility is the yearly standard deviation of daily returns. Past behavior, not a forecast.
Moves much less than the market, but its own price swings are 3.0× the S&P 500’s (it moves on its own news).
- Beta vs S&P 500
- 0.51
- Volatility
- 39% vs 13% SPY
- Correlation SPY
- 0.17
- Correlation QQQ
- 0.16
Bull vs bear
Rule-based from the data on this page, strongest first. Not advice.
Top bullish points 5 of 5
GrowthDiluted EPS grew 133% to $0.77 in FY2026.
ProfitabilityGross margin widened to 33.0% in FY2026 from 24.5% in FY2024 (SEC filings).
ProfitabilityOperating margin widened to 6.4% in FY2026 from −0.7% in FY2024 (SEC filings).
Cash returnsFree cash flow grew 43% over the last 12 months vs the 12 months before.
ValuationFree-cash-flow yield of 4.8% (price / FCF 20.9×): $688M of free cash in the last 12 months.
Top bearish points 5 of 5
ValuationOur DCF fair value estimate is $18.40, 24% below the price.
GrowthSales shrank 15% a year from FY2023 to FY2026.
Balance sheetDebt rose 14512% to $4.2B from FY2024 to FY2026.
Cash returnsShare count up 8.4% in a year: existing holders are being diluted.
QualityDoesn’t pass our quality screen: sales down vs the year-ago quarter.
Who’s talking about it
Notable investors, executives, analysts and public figures on GameStop in the last 48 hours. Headlines as published, each linked. Their words, not ours.
No notable mentions in the last 48 hours. Checked Nov 1, 9:09 PM ET.
Compare with peers
Closest in size in Consumer Discretionary
All fundamentals
P/E 16.1 · FCF yield 4.8% · ROE 16%
Valuation
- P/E
- 16.1×Consumer Discretionary median 20.9×
- Price / FCF
- 20.9×
- FCF yield
- 4.8%
- EV / EBITDA
- n/aD&A or debt not tagged in SEC data
- Price / sales
- 4.04×
- Price / book
- 2.34×
- Market cap
- $14.4Bprice × diluted shares
- Enterprise value
- n/anot reported in its SEC filings
Growth
- Revenue, 12 months
- $3.6B
- Sales growth, 12 months
- −7.7%vs the 12 months before
- Sales growth, 3 yrs
- −15.1%/yrfrom FY2023
- Diluted EPS, 12 months
- $1.52
- EPS growth, last FY
- +133.3%
- Net income, 12 months
- $893M
- Net income growth
- +147%12 months vs before
Profitability
- Gross margin
- 37.9%
- Operating margin
- 13.5%
- Net margin
- 25.2%
- FCF margin
- 19.4%
- Return on equity
- 16%
- Return on invested capital
- n/aoperating income, debt, equity or cash not tagged
Balance sheet
- Cash & short-term inv.
- $5.1B
- Total debt
- n/anot reported in its SEC filings
- Net cash
- n/acash or debt not tagged in SEC data
- Debt / equity
- n/adebt or equity not tagged in SEC data
- Interest coverage
- n/ainterest expense not tagged in SEC data
Cash flow & returns
- Free cash flow, 12 months
- $688M
- FCF growth, 12 months
- +43%
- Dividend yield
- n/ano dividend payments tagged
- Payout ratio
- n/anot reported in its SEC filings
- Buybacks, 12 months
- n/anot reported in its SEC filings
- Share count, 1 year
- +8.4%diluted shares vs a year ago
- Stock-based comp
- $31M
Trailing 12 months to Aug 1, 2026; balance sheet at Aug 1, 2026. From GameStop’s SEC filings. Sparklines show up to six fiscal years. n/a means we don’t hold that number, with the reason. How each is computed.
Valuation details
DCF $18.40 · MV $24.31 · FCF value $4.51
Assumes 3.0% growth for 5 years (revenue grew -15.1% a year FY23–FY26; floored at 3%), fading to 3%; 9.5% discount rate, 3% terminal growth. FCF base $1.16 a share (trailing 12 months to Aug 1, 2026), from the 10-Q filed Sep 9, 2026.
Setup & signals
No setup armed
No setup armed, so there’s no trigger or stop to track yet. Reversal signal rules only run on companies that pass our quality screen.
Momentum & 52-week range
RSI 48 · 5 days −2.4%
The business
FCF $0.1B · Sales −19%
- Free cash flow, 12 months$0.1B
- Free-cash-flow yield0.7%
- Free-cash-flow margin2%
- Gross margin38%
- Operating margin20%
- Return on invested capital9%
- Return on equity16%
- Sales growth (latest quarter vs year-ago quarter)−19%
- Net debt / EBITDA−1.4×
Information only, not investment advice. Fair value estimates and talking points are rule-based model output from public data and can be wrong; stop levels are reference points, not orders. How every number is computed.
GME is outside our quality screen
One text when a published rule fires on one of the 333 quality companies we track: the ticker, the price, the stop and a link to the numbers. Nothing else.