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GameStop (GME) pre-announces Q1 EPS of $0.54, $0.01 better than expected, and re-affirmed its...

GameStop (GME) pre-announces Q1 EPS of $0.54, $0.01 better than expected, and re-affirmed its full-year EPS outlook of $3.10-$3.30 vs. $3.19 consensus. GME says it is “outperforming the video game market,” but a 12.5% Y/Y same-store sales drop reflected “light demand for ‘AAA’ game launches and slower than expected traffic during the quarter.”
Comments (2)
  • Paul Cookson
    , contributor
    Comments (11) | Send Message
     
    This announcement reminds me of Game Group in the UK which always made a fuss of outperforming the market. What they failed to point out was the market was falling. They went bust pretty quickly once publishers stopped supplying games to them as they couldn't get the insurance to cover potential losses of Game not paying its bills. Check out the credit insurance price of Gamestop to see where this company is going.
    10 May 2012, 06:33 PM Reply Like
  • Paul Cookson
    , contributor
    Comments (11) | Send Message
     
    Last earnings release shows sss falling 2.1% in 2011 vs 2010. Latest sss now down 12.5% in this latest qtr. I just think too many marginal gamers are transitioning to mobile/social gaming.
    10 May 2012, 06:58 PM Reply Like
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