What's Happening with gme
Video game retailer GameStop (GME) will report its third-quarter numbers after the market close December 10 with the consensus calling for earnings of $0.06 per share. During the same period last year, the company earned $0.67 per share and the stock is down 47% on the year.
Technical Analysis
GME was recently trading at $6.51 down $10.39 from its 12-month high and $3.36 above its 12-month low. InvestorsObserver's Stock Score Report gives GME a 48 long-term technical score and a 20 short-term technical score. The stock has recent support above $5 and recent resistance below $8. Of the 6 analysts who cover the stock 1 rate it Strong Buy, 0 rate it Buy, 3 rate it Hold, 1 rate it Sell, and 1 rate it Strong Sell, GME gets a score of 24 from InvestorsObserver's Stock Score Report.
Analysts' Thoughts
GameStop's earnings drops are weighing on the stock, and last quarter the company missed on both the top and bottom line. GME has trended higher since hitting a 52-week low in August but remains in the lower end of its 52-week range, and the company will need a solid quarter to bring enthusiasm back into the stock. The street expects another earnings miss with a $0.04 whisper. With the earnings miss already priced into the stock GME could make a strong move higher on any number that is in-line or better than the $0.06 expected profit. Analysts remain bearish on the stock with a $5.33 price target. It will be hard for analysts to justify price target increases to allow GME to move higher barring a big earnings beat and some upbeat forward comments during the conference call.