Recent News
May 3, 2026 — GameStop submitted a non-binding proposal to acquire eBay Inc. at $125.00 per share, funded via a mix of cash and third‑party acquisition financing. June 2, 2026 — Board approved a discretionary $2.0 billion share‑repurchase authorization through June 2, 2029. June 26, 2026 — Company issued fiscal year 2026 guidance expecting adjusted EBITDA in excess of $600 million. July 2026 — Stockholders approved proposals at the 2026 annual meeting, including an increased share authorization to permit strategic transactions tied to the eBay proposal.
Technical Analysis
ADX reads 8.7, indicating no established trend; directional strength remains weak and favors rangebound action rather than a sustained directional move.
DI+ at 20.41 shows a decreasing pattern, which signals bearish directional pressure; DI- at 22.76 displays a dip & reversal, which also registers as bearish under directional rules, together implying sellers outweigh buyers in the near term.
MACD sits at -0.10 with a declining trajectory and below the signal line (-0.07); negative, downtrending MACD marks momentum as bearish and implies downside pressure on short‑term momentum.
MRO at 19.37 with a peak & reversal indicates price trades above the model target and carries potential for near‑term contraction toward the target level.
RSI at 46.8 with a peak & reversal reads as a loss of upward momentum and adds to the bearish momentum picture without entering oversold territory.
Price sits at $21.35 below the 20‑day average ($21.95) and the 200‑day average ($22.73); the 12‑day EMA shows a decreasing trend. Short‑term moving averages and EMA alignment therefore reinforce near‑term downward tilt, with the super trend upper band at $22.57 acting as immediate resistance.
Bollinger bands compress (upper ~ $22.36; lower ~ $21.54), signaling low volatility and the potential for a breakout or breakdown; current band placement and low ADX favor a breakdown to test lower support rather than an extended breakout.
Volume today (~3.66M) sits above the 10‑day average (~2.95M) but below the 50‑ and 200‑day averages, suggesting episodic interest that fails to sustain a trend without broader participation.
Fundamental Analysis
Revenue trends show contraction: total revenue $835.3M with revenue growth at -24.36% and year‑over‑year revenue growth of -43.22%; the QoQ revenue change appears sharply negative (≈ -170.59%), reflecting recent seasonality or one‑off shifts in sales mix rather than margin expansion alone.
Profitability displays meaningful operating leverage: operating margin (EBIT margin) at 16.61% improved QoQ by 26.55% and improved YoY by 392.44%. That margin lies above the industry peer mean (12.993%) and above the industry peer median (14.315%), indicating stronger operating profitability relative to peers. EBIT totaled $138.7M.
Cash strength stands out. Cash and short‑term investments total $8.3681B with a cash ratio of 9.73 and a current ratio of 12.40; free cash flow amounted to $332.9M and free cash flow yield at 3.20%, above the industry peer mean free cash flow yield (0.295%). High liquidity supports the board’s $2.0B repurchase authorization and capacity to pursue strategic transactions.
Capital structure shows tradeoffs: total debt $4.3391B and debt/EBITDA at ~30.3x—an elevated leverage multiple relative to reported EBITDA—while debt‑to‑assets at 39.54% resides below the industry peer mean (46.254%). Interest coverage near 11.96x and net interest income at $83.7M reduce near‑term solvency risk, yet high debt/EBITDA signals sensitivity to EBITDA swings.
Earnings per share outperformed expectations: EPS actual $0.30 versus estimate $0.16, an EPS surprise of 87.5% ($0.14 difference). Adjusted EBITDA guidance for fiscal 2026 targeting in excess of $600M represents a substantial upward revision from the prior fiscal year adjusted EBITDA of $345.4M and supplies an explicit operational target to support valuation.
Market multiples present mixed signals. Trailing P/E stands at 77.25, slightly above the industry peer mean P/E (≈73.27). Price/book at 1.78 sits below the industry peer mean (≈4.09). Price/sales at 12.45 sits well above the industry peer mean (≈3.80). Enterprise multiple near 44.48 and enterprise value ~$6.37B warrant context with cash on hand; the company’s liquidity and free cash flow profile underpin WMDST’s valuation stance.
Valuation summary: The current valuation as determined by WMDST reads under‑valued, supported primarily by unusually high cash balances, a free cash flow yield above peers, and an explicit management target for materially higher adjusted EBITDA; offsetting factors include compressed revenue growth and elevated trailing multiples on earnings and sales.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2026-04-30 |
| REPORT DATE: | 2026-06-02 |
| NEXT REPORT DATE: | 2026-09-01 |
| CASH FLOW | Begin Period Cash Flow | $ 6.3 B |
| Operating Cash Flow | $ 337.4 M | |
| Capital Expenditures | $ -4.50 M | |
| Change In Working Capital | $ 172.1 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ 1.1 B | |
| End Period Cash Flow | $ 7.4 B | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 835.3 M | |
| Forward Revenue | $ 82.4 M | |
| COSTS | ||
| Cost Of Revenue | $ 495.0 M | |
| Depreciation | $ 4.5 M | |
| Depreciation and Amortization | $ 4.5 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 696.6 M | |
| PROFITABILITY | ||
| Gross Profit | $ 340.3 M | |
| EBITDA | $ 143.2 M | |
| EBIT | $ 138.7 M | |
| Operating Income | $ 138.7 M | |
| Interest Income | $ 83.7 M | |
| Interest Expense | — | |
| Net Interest Income | $ 83.7 M | |
| Income Before Tax | $ 506.4 M | |
| Tax Provision | $ 116.8 M | |
| Tax Rate | 23.1 % | |
| Net Income | $ 389.6 M | |
| Net Income From Continuing Operations | $ 389.6 M | |
| EARNINGS | ||
| EPS Estimate | $ 0.16 | |
| EPS Actual | $ 0.30 | |
| EPS Difference | $ 0.14 | |
| EPS Surprise | 87.5 % | |
| Forward EPS | $ 0.34 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 11.0 B | |
| Intangible Assets | — | |
| Net Tangible Assets | $ 5.8 B | |
| Total Current Assets | $ 10.7 B | |
| Cash and Short-Term Investments | $ 8.4 B | |
| Cash | $ 7.4 B | |
| Net Receivables | $ 58.8 M | |
| Inventory | $ 423.3 M | |
| Long-Term Investments | $ 63.2 M | |
| LIABILITIES | ||
| Accounts Payable | $ 263.4 M | |
| Short-Term Debt | — | |
| Total Current Liabilities | $ 860.3 M | |
| Net Debt | — | |
| Total Debt | $ 4.3 B | |
| Total Liabilities | $ 5.1 B | |
| EQUITY | ||
| Total Equity | $ 5.8 B | |
| Retained Earnings | $ 594.8 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 13.02 | |
| Shares Outstanding | 448.700 M | |
| Revenue Per-Share | $ 1.86 | |
| VALUATION | Market Capitalization | $ 10.4 B |
| Enterprise Value | $ 6.4 B | |
| Enterprise Multiple | 44.481 | |
| Enterprise Multiple QoQ | 11.397 % | |
| Enterprise Multiple YoY | -82.746 % | |
| Enterprise Multiple IPRWA | high: 177.335 mean: 50.442 median: 50.081 GME: 44.481 low: -78.249 |
|
| EV/R | 7.626 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 1.878 | |
| Asset To Liability | 2.138 | |
| Debt To Capital | 0.426 | |
| Debt To Assets | 0.395 | |
| Debt To Assets QoQ | -5.833 % | |
| Debt To Assets YoY | 68.373 % | |
| Debt To Assets IPRWA | high: 1.056 mean: 0.463 median: 0.437 GME: 0.395 low: 0.214 |
|
| Debt To Equity | 0.743 | |
| Debt To Equity QoQ | -7.294 % | |
| Debt To Equity YoY | 110.256 % | |
| Debt To Equity IPRWA | high: 4.366 mean: 1.213 median: 0.92 GME: 0.743 low: -2.006 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 1.78 | |
| Price To Book QoQ | -7.157 % | |
| Price To Book YoY | -28.613 % | |
| Price To Book IPRWA | high: 9.078 mean: 4.091 median: 3.382 GME: 1.78 low: -3.375 |
|
| Price To Earnings (P/E) | 77.251 | |
| Price To Earnings QoQ | — | |
| Price To Earnings YoY | -52.762 % | |
| Price To Earnings IPRWA | high: 141.649 GME: 77.251 median: 73.772 mean: 73.274 low: -72.826 |
|
| PE/G Ratio | — | |
| Price To Sales (P/S) | 12.449 | |
| Price To Sales QoQ | 31.709 % | |
| Price To Sales YoY | -26.68 % | |
| Price To Sales IPRWA | GME: 12.449 high: 9.189 mean: 3.801 median: 3.413 low: 0.213 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 78.5 | |
| Forward PE/G | — | |
| Forward P/S | 142.934 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 0.176 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.078 | |
| Asset Turnover Ratio QoQ | -25.863 % | |
| Asset Turnover Ratio YoY | -28.578 % | |
| Asset Turnover Ratio IPRWA | high: 0.612 mean: 0.325 median: 0.293 low: 0.164 GME: 0.078 |
|
| Receivables Turnover | 16.094 | |
| Receivables Turnover Ratio QoQ | -27.493 % | |
| Receivables Turnover Ratio YoY | 15.368 % | |
| Receivables Turnover Ratio IPRWA | high: 84.878 GME: 16.094 mean: 12.08 median: 9.17 low: 0.276 |
|
| Inventory Turnover | 1.198 | |
| Inventory Turnover Ratio QoQ | -18.307 % | |
| Inventory Turnover Ratio YoY | 12.564 % | |
| Inventory Turnover Ratio IPRWA | high: 2.152 GME: 1.198 mean: 0.731 median: 0.694 low: 0.308 |
|
| Days Sales Outstanding (DSO) | 5.67 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 32.129 | |
| Cash Conversion Cycle Days QoQ | -22.975 % | |
| Cash Conversion Cycle Days YoY | -5.68 % | |
| Cash Conversion Cycle Days IPRWA | high: 198.78 median: 46.62 GME: 32.129 mean: 32.04 low: -23.408 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 0.085 | |
| CapEx To Revenue | -0.005 | |
| CapEx To Depreciation | -1.0 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 10.0 B | |
| Net Invested Capital | $ 10.0 B | |
| Invested Capital | $ 10.0 B | |
| Net Tangible Assets | $ 5.8 B | |
| Net Working Capital | $ 9.8 B | |
| LIQUIDITY | ||
| Cash Ratio | 9.727 | |
| Current Ratio | 12.401 | |
| Current Ratio QoQ | -18.93 % | |
| Current Ratio YoY | 47.85 % | |
| Current Ratio IPRWA | GME: 12.401 high: 2.705 median: 1.311 mean: 1.298 low: 0.785 |
|
| Quick Ratio | 11.909 | |
| Quick Ratio QoQ | -18.879 % | |
| Quick Ratio YoY | 50.932 % | |
| Quick Ratio IPRWA | GME: 11.909 high: 1.391 mean: 0.414 median: 0.382 low: 0.068 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 30.301 | |
| Cost Of Debt | 0.159 % | |
| Interest Coverage Ratio | 11.957 | |
| Interest Coverage Ratio QoQ | -4.279 % | |
| Interest Coverage Ratio YoY | 461.539 % | |
| Interest Coverage Ratio IPRWA | high: 93.279 mean: 13.791 GME: 11.957 median: 8.361 low: -58.921 |
|
| Operating Cash Flow Ratio | 0.554 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 26.103 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 5.64 % | |
| Revenue Growth | -24.359 % | |
| Revenue Growth QoQ | -170.591 % | |
| Revenue Growth YoY | -43.215 % | |
| Revenue Growth IPRWA | high: 34.773 % mean: -10.305 % median: -17.446 % GME: -24.359 % low: -54.332 % |
|
| Earnings Growth | — | |
| Earnings Growth QoQ | — | |
| Earnings Growth YoY | — | |
| Earnings Growth IPRWA | — | |
| MARGINS | ||
| Gross Margin | 40.74 % | |
| Gross Margin QoQ | 16.31 % | |
| Gross Margin YoY | 18.029 % | |
| Gross Margin IPRWA | high: 68.334 % mean: 41.484 % GME: 40.74 % median: 40.52 % low: 10.662 % |
|
| EBIT Margin | 16.605 % | |
| EBIT Margin QoQ | 26.553 % | |
| EBIT Margin YoY | 392.438 % | |
| EBIT Margin IPRWA | high: 20.591 % GME: 16.605 % median: 14.315 % mean: 12.993 % low: -19.594 % |
|
| Return On Sales (ROS) | 16.605 % | |
| Return On Sales QoQ | 26.553 % | |
| Return On Sales YoY | 392.438 % | |
| Return On Sales IPRWA | high: 20.591 % GME: 16.605 % median: 14.315 % mean: 12.846 % low: -19.598 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 332.9 M | |
| Free Cash Flow Yield | 3.201 % | |
| Free Cash Flow Yield QoQ | 78.329 % | |
| Free Cash Flow Yield YoY | 109.902 % | |
| Free Cash Flow Yield IPRWA | high: 20.691 % GME: 3.201 % median: 0.834 % mean: 0.295 % low: -12.625 % |
|
| Free Cash Growth | 77.641 % | |
| Free Cash Growth QoQ | 3.328 % | |
| Free Cash Growth YoY | 300.315 % | |
| Free Cash Growth IPRWA | GME: 77.641 % high: 18.46 % median: -80.884 % mean: -93.23 % low: -330.672 % |
|
| Free Cash To Net Income | 0.854 | |
| Cash Flow Margin | 57.057 % | |
| Cash Flow To Earnings | 1.223 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.03 | |
| Return On Assets (ROA) | 3.647 % | |
| Return On Assets QoQ | 198.445 % | |
| Return On Assets YoY | 444.328 % | |
| Return On Assets IPRWA | high: 5.232 % GME: 3.647 % median: 3.102 % mean: 2.854 % low: -7.602 % |
|
| Return On Capital Employed (ROCE) | 1.371 % | |
| Return On Equity (ROE) | 0.067 | |
| Return On Equity QoQ | 183.908 % | |
| Return On Equity YoY | 642.65 % | |
| Return On Equity IPRWA | high: 0.132 GME: 0.067 median: 0.057 mean: -0.022 low: -0.276 |
|
| DuPont ROE | 6.904 % | |
| Return On Invested Capital (ROIC) | 1.066 % | |
| Return On Invested Capital QoQ | 17.79 % | |
| Return On Invested Capital YoY | 201.13 % | |
| Return On Invested Capital IPRWA | high: 12.645 % median: 11.692 % mean: 8.545 % GME: 1.066 % low: -8.65 % |
|