GameStop (GME) Q4 Earnings: What To Expect

Video game retailer GameStop (NYSE:GME) will be reporting results tomorrow afternoon. Here’s what to expect.

GameStop missed analysts’ revenue expectations by 3.1% last quarter, reporting revenues of $860.3 million, down 20.2% year on year. It was a satisfactory quarter for the company, with a solid beat of analysts’ EPS estimates.

Is GameStop a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting GameStop’s revenue to decline 17.6% year on year to $1.48 billion, improving from the 19.4% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.08 per share.

GameStop Total Revenue

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. GameStop has missed Wall Street’s revenue estimates six times over the last two years.

Looking at GameStop’s peers in the specialty retail segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Best Buy’s revenues decreased 4.8% year on year, beating analysts’ expectations by 2%, and Ulta reported a revenue decline of 1.9%, topping estimates by 0.8%. Best Buy traded down 13% following the results while Ulta was up 13.8%.

Read our full analysis of Best Buy’s results here and Ulta’s results here.

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