GameStop Q3 Earnings Preview: Meme Stock Seeks Stability Amid Declining Sales
GameStop Corp. (GME) faces a critical test as it prepares to report third-quarter earnings on December 2. The meme stock has slumped 31% year-to-date, weighed down by weak retail sales and uncertainty over its $8.7 billion cash reserve deployment. Analysts project earnings of $0.20 per share on $987.3 million revenue—a 15% year-over-year increase.
The company's second-quarter performance offered a glimmer of hope, with EPS of $0.25 beating estimates by 32% and revenue surging 22% to $972.2 million. Hardware and accessories drove the upside, but questions linger about sustainable growth drivers. Investors await clarity on management's strategic roadmap to reverse the stock's downward trajectory.