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GameStop Corp. (GME)

  • Fri, Mar. 27, 8:49 AM
    • GameStop (NYSE:GME) execs outlined a plan to open 350 to 550 technology stores this year during the company's earnings call last night.
    • The stores will include the Simply Mac, Spring Mobile/AT&T, and Cricket brand names as well as whitespace stores and stores picked up in acquisitions.
    • 200 GameStop video stores are slated for closure this year.
    • COO Toney Bartel noted the company is working "feverishly" to get old RadioShack stores converted to its format.
    • Earnings call transcript
    • Previously: GameStop misses by $0.02, misses on revenue (Mar. 26 2015)
    • Previously: GameStop -2.3% on light guidance and earnings (Mar. 26 2015)
    • GME -3.84% premarket.
  • Thu, Mar. 26, 5:39 PM
    • Top gainers, as of 5:15 p.m.: CMCM +12.8%. OXM +9.2%. SFY +4.9%. SGMS +4.3%. RICE +3.9%.
    • Top losers, as of 5:15 p.m.: WTI -6.6%. GME -5.7%. RH -5.1%. SGNT -3.9%. SSE -3.6%.
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  • Thu, Mar. 26, 4:23 PM
    • GameStop (NYSE:GME) reports sales rose 2.8% in Q4 on a constant currency basis.
    • Digital receipts increased 41.4% Y/Y to $369M.
    • Comparable-store sales were down 1.8% during the quarter off of a tough game launch comparable.
    • Sales mix by category: New video game hardware 21.8%, new video game software 33.2%, pre-owned products 25.7%, video game accessories 7.1%, digital 2.3%, mobile /consumer electronics 5.6%.
    • Gross profit rate +90 bps to 28.1%.
    • Net income rate +100 bps to 7.0%.
    • Q1 guidance: Sales -2.0% to +1%, comps +2.5% to +5.5%, EPS $0.53-$0.60 vs. $0.66 consensus.
    • FY15 guidance:Sales -1% to +4%, comps +1% to +6%, EPS $3.60-$3.80 vs. $4.04 consensus.
    • GME -2.32% after hours.
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  • Fri, Mar. 13, 5:15 PM
    • NPD estimates U.S. physical retail game sales rose 7% Y/Y in February to $338.9M, up from January's 5% growth and better than expected. Hardware sales rose 10% to $378.2M, as next-gen console demand remains healthy. Superdata Research estimates digital game revenue rose just 2% to $995M, thanks to weak mobile and social game sales.
    • Nintendo (OTCPK:NTDOY) had a good month: The recently-refreshed 3DS XL handheld was February's top-selling console - Ninetendo says 394K 3DS units were sold - and The Legend of Zelda: Majora's Mask 3D (launched on Feb. 13) topped NPD's game rankings.
    • Take-Two (NASDAQ:TTWO) also did well: Evolve (launched on Feb. 10) was #2 on NPD's list, GTA V came in at #5 (down from January's #3) ahead of its March 24 PC launch, and NBA 2K15 was at #6 (down from #5). Take-Two recently said it was "very pleased" with Evolve's launch.
    • Activision's (NASDAQ:ATVI) Call of Duty: Advanced Warfare fell two spots to #4, while Destiny (#9 last month) fell out of the top-10. Electronic Arts' (NASDAQ:EA) Madden NFL 15 and FIFA 15 also dropped out.
    • Piper observes Take-Two and Activision's NPD sales were respectively up 72% and 16% Y/Y in February, and that EA's were down 32% over the first two months of 2015. It maintains Overweight ratings on all 3 firms.
    • Take-Two rose 3.9% in regular trading thanks to the numbers. GameStop (NYSE:GME) also got a lift, rising 3.5%. Activision rose 0.9% and EA rose 0.4%.
  • Thu, Jan. 29, 11:25 AM
    • Shares of GameStop (GME -4%) are lower on average volume to slide back under $36.
    • The company's president of U.S. stores was a recent seller of a block of shares, according to a disclosure.
    • SEC Form 4
  • Fri, Jan. 16, 10:35 AM
    • Activision's (ATVI +6.3%) Call of Duty: Advanced Warfare topped NPD's U.S. physical retail game sale rankings for the second month in a row in December. Destiny, which Activision hopes will be its third $1B+ franchise, was #9.
    • In a PR, Activision says Advanced Warfare was the "top-selling console game of 2014 globally," and that Destiny was the #2 2014 U.S. console game in terms of revenue. Skylanders was the top kids video game franchise globally (inc. toys/accessories sales), with a 30% sales edge over its biggest rival (presumably Disney's Infinity).
    • Electronic Arts' (EA - unchanged) Madden NFL 2015 rose a spot to #3, and FIFA 15 returned to the top-10 (at #10). Take-Two's (TTWO +1.8%) Grand Theft Auto V was at #2 for another month, continuing to get a lift from its next-gen console and PC launches. NBA 2K15 rose three spots to #5.
    • NPD estimates total U.S. physical retail game sales fell 2% Y/Y to $1.25B. Hardware sales, facing tougher comps (given next-gen consoles launched in Nov. 2013), fell 4% to $1.31B, with the Xbox One outselling the PS4. Next-gen consoles are performing 65% better than prior-gen consoles had over their first 14 months. GameStop (GME +3%), just three days removed from reporting better-than-expected holiday sales, is reacting favorably to the numbers.
    • Superdata Research estimates U.S. digital game spend rose 11% Y/Y in December to $1.2B. Mobile game sales (35% of 2014 sales) rose 17%, and digital console game sales (8% of 2014 sales) 10%.
    • EA reports on Jan. 27, Take-Two on Feb. 3, and Activision on Feb. 5.
    • Previously: NPD's November data
    • Update (2:15PM): EA is now up 1.8%, aided by a 0.8% increase for the Nasdaq. Activision is now up 9.2%, Take-Two 4.2%, and GameStop 4.5%.
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  • Wed, Jan. 14, 12:43 PM
  • Wed, Jan. 14, 10:41 AM
    • Pacific Crest is out with a two-notch upgrade to Outperform on GameStop (GME +11.9%) following the retailer's holiday sales update.
    • B. Riley saw enough out of GameStop to reiterate its Buy signal.
    • Though results weren't dazzling, analysts note the EPS protection offered by the company's buyback propensity and some think that the Blockbuster thesis is pushed out further due to more upside from software sales.
    • New video games software purchases accounted for 39% of total sales during the period as the mix of used games and hardware were pushed lower.
    • Even after today's brisk rally, GameStop trades well-below the $55 sum-of-the-parts valuation that SA contributor Derek Capo calculated.
  • Wed, Jan. 14, 9:17 AM
  • Tue, Jan. 13, 5:42 PM
  • Tue, Jan. 13, 4:24 PM
    • Global sales of $2.94B fell 6.7% vs. last year's holiday period, or 4% in constant currency. Comp sales fell 3.1% - down 3.3% in the U.S. and 2.7% internationally.
    • New software sales grew 5.8%, or 8.9% in constant currency, thanks to a 94.4% increase in PS4 and Xbox One software. Sales of new hardware fell 32% or 29.8% in constant currency.
    • Sales in mobile and consumer electronics rose 28% or 28.6% in constant currency. Non-GAAP digital receipts of $296.6M up more than 40%.
    • Buyback update: 1.23M shares repurchased during holiday period for average price of $38.62 each. Another $461.5M remained in authorization as of the end of the holiday period.
    • Q4 and FY14 EPS guidance of $2.08-$2.24 and $3.40-$3.55, respectively, is reiterated. Q4 and FY14 comp store sales growth of -2.5% to -1% and +3% to +4%, respectively. The company previously expected Q4 comp sales growth of -5% to +2%.
    • Source: Press Release
    • GME +10.3% after hours
  • Nov. 21, 2014, 12:46 PM
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  • Nov. 21, 2014, 9:13 AM
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  • Nov. 20, 2014, 5:54 PM
    • After missing FQ3 estimates, GameStop (NYSE:GME) now expects FY14 (ends Jan. '15) EPS of $3.40-$3.55, at the low end of a prior $3.40-$3.70 range; consensus is at $3.68.
    • FY14 comparable store sales growth is now expected to be in a 2%-5% range, down from a prior 6%-12%. FQ4 guidance is for EPS of $2.08-$2.24 (below a $2.28 consensus), and comparable sales growth of -5% to +2%.
    • FQ3 comparable sales fell 2.3% Y/Y, a big reversal from FQ2's 21.9% growth - GameStop blames the delayed launch of Assassins Creed Unity. New hardware sales rose 147.4% thanks to Xbox One/PS4 demand, but new software sales fell 34.4%, thanks in part to tough comps; Grand Theft Auto V launched a year ago.
    • Pre-owned value game sales +2.6%; mobile/consumer electronics +125%. Digital receipts rose 52.4% to $210.3M (over 10% of revenue).
    • Gross margin rose 130 bps Y/Y to 29.7%. $144M was spent on buybacks.
    • FQ3 results, PR
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  • Nov. 20, 2014, 5:42 PM
  • Oct. 17, 2014, 1:55 PM
    • With last year's Grand Theft Auto V (TTWO +0.3%) launch skewing comps, NPD estimates U.S. physical retail video game sales fell 36% Y/Y in September to $481.2M, a worse decline than August's 21% drop.
    • The ongoing spending shift towards digital channels naturally contributed to the drop as well: SuperData Research estimates digital game spend rose 8.6% Y/Y in September to $873M.
    • Hardware spend rose 136% Y/Y (up from August's 116%) thanks to next-gen console demand: NPD thinks PS4 sales nearly tripled from August levels with the help of Sony's (SNE +1.8%) Destiny bundle, and outpaced Xbox One sales yet again. GameStop (GME +2.7%) investors approve of the numbers.
    • Electronic Arts (EA +4.5%) is rallying after Madden NFL 15, FIFA 15, NHL 15, and The Sims 4 respectively came in at #2, #3, #6, and #8 on NPD's top-10 list. Of the four games, only Madden was on the August list (#1 in its launch month). Battlefield 4 (#9 in August) fell out of the top-10.
    • As expected, Activision's (ATVI -0.5%) Destiny was #1. But Diablo III: Reaper of Souls fell to #10 from #2, and Call of Duty: Ghosts (#5 in August) dropped out of the top-10. Activision, like Take-Two, is sitting out a market rally.
    • EA reports on Oct. 28, Take-Two on Oct. 29, Sony on Oct. 31, and Activision on Nov. 4.
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Company Description
Gamestop Corp is a multichannel video game retailer. It sells new and pre-owned video game hardware, physical and digital video game software, accessories, as well as PC entertainment software, new and pre-owned mobile and consumer electronics products.
Sector: Services
Country: United States