GameStop: Even Screaming Kittens Can't Save It Now (Strong Sell)

Mar. 23, 2025 12:52 PM ETGameStop Corp. (GME) StockGME5 Comments
(6min)

Summary

  • GameStop's core business is struggling due to the shift to digital gaming, despite efforts to diversify and a strong cash position.
  • The company faces intense competition in physical game sales, with unclear turnaround strategies and declining revenue projections.
  • Valuation is disconnected from fundamentals, with high EV-to-EBITDA and significant shareholder dilution from recent cash raises.
  • GameStop lacks strong moats and clarity in strategy, making it a poor investment with a strong sell rating.

GameStop shopping mall location. GameStop is a Video Game and electronics retailer.

jetcityimage/iStock Editorial via Getty Images

GameStop (NYSE:GME) is (fundamentally) a dying company. And it will take an even more unlikely scenario as the one Keith Gill a.k.a. Roaring Kitty was at the center of years ago to change that.

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