WhynoT

Gamestop: A Good Buy into Earnings?

Everyone missed the point even the original editor. Check NPD's recent Q3 video game sales report. Sales increased in the 3Q for video games as a whole... INCREASED. Although it was a measly 1% the fact that sales increased over the previous quarter is more than a little substantial, more so when you consider the small offering of games during said quarter.

Video games are not for kids!! Again reference the last video game sector NPD study showing the average gamer is 33 years old. GME's used game model and dominant position make this a sure fire winner. My only concern is guidance for which GME historically underguides so as to beat... hopefully management has learned their lesson and wont set the bar too low.

If you're looking for a recent non trailing indicator the latest big video game release sold 2.1 million copies it's first day of release (gears of war 2).

Most probable scenario, GME meets expectations and guides in-line with estimates, where the stock goes from there is anyones guess.