GameStop Corp. [NYSE: GME] stock went on a downward path that fall over -2.35% on Monday, amounting to a one-week price increase of more than 3.29%. The company report on April 5, 2021 that GameStop Announces At-The-Market Equity Offering Program.
Company Can Sell Up to 3.5 Million Shares and Intends to Use Any Proceeds to Further Accelerate Transformation and Strengthen Balance Sheet.
GameStop Corp. (NYSE: GME) (“GameStop” or the “Company”) announced that it has filed a prospectus supplement withthe U.S. Securities and Exchange Commission (“SEC”), under which it may offer and sell up to a maximum of 3,500,000 shares of its common stock (the “Common Stock”) from time to time through an “at-the-market” equity offering program (the “ATM Offering”). The Company intends to use the net proceeds from any sales of its Common Stock under the ATM Offering to further accelerate its transformation as well as for general corporate purposes and further strengthening its balance sheet. The timing and amount of any sales will be determined by a variety of factors considered by the Company.
Over the last 12 months, GME stock rose by 6459.65%. The average equity rating for GME stock is currently 3.70, trading closer to a bullish pattern in the stock market.
The market cap for the stock reached $12.96 billion, with 65.30 million shares outstanding and 54.16 million shares in the current float. Compared to the average trading volume of 44.82M shares, GME stock reached a trading volume of 13993288 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Guru’s Opinion on GameStop Corp. [GME]:
Telsey Advisory Group have made an estimate for GameStop Corp. shares, keeping their opinion on the stock as Underperform, with their previous recommendation back on March 24, 2021. While these analysts kept the previous recommendation, Wedbush raised their target price from $16 to $29. The new note on the price target was released on March 24, 2021, representing the official price target for GameStop Corp. stock. Previously, the target price had yet another raise from $1.60 to $10, while BofA Securities kept a Underperform rating on GME stock. On January 25, 2021, analysts increased their price target for GME shares from 22 to 33.
The Average True Range (ATR) for GameStop Corp. is set at 41.06, with the Price to Sales ratio for GME stock in the period of the last 12 months amounting to 2.55. The Price to Book ratio for the last quarter was 27.94, with the Price to Cash per share for the same quarter was set at 7.33. Price to Free Cash Flow for GME in the course of the last twelve months was 204.47 with Quick ratio for the last quarter at 0.70.
GME Stock Performance Analysis:
GameStop Corp. [GME] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 3.29. With this latest performance, GME shares gained by 41.25% in over the last four-week period, additionally plugging by 1813.51% over the last 6 months – not to mention a rise of 6459.65% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for GME stock in for the last two-week period is set at 53.64, with the RSI for the last a single of trading hit 51.63, and the three-weeks RSI is set at 54.66 for GameStop Corp. [GME]. The present Moving Average for the last 50 days of trading for this stock 144.49, while it was recorded at 188.80 for the last single week of trading, and 44.37 for the last 200 days.
Insight into GameStop Corp. Fundamentals:
Operating Margin for any stock indicates how profitable investing would be, and GameStop Corp. [GME] shares currently have an operating margin of -4.98 and a Gross Margin at +24.75. GameStop Corp.’s Net Margin is presently recorded at -4.22.
Return on Total Capital for GME is now -15.45, given the latest momentum, and Return on Invested Capital for the company is -16.07. Return on Equity for this stock declined to -40.95, with Return on Assets sitting at -8.11. When it comes to the capital structure of this company, GameStop Corp. [GME] has a Total Debt to Total Equity ratio set at 239.71. Additionally, GME Total Debt to Total Capital is recorded at 70.56, with Total Debt to Total Assets ending up at 42.34. Long-Term Debt to Equity for the company is recorded at 154.04, with the Long-Term Debt to Total Capital now at 45.35.
Reflecting on the efficiency of the workforce at the company, GameStop Corp. [GME] managed to generate an average of -$17,883 per employee. Receivables Turnover for the company is 41.18 with a Total Asset Turnover recorded at a value of 1.92.GameStop Corp.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 0.70 and a Current Ratio set at 1.20.
GME Stock EPS
With the latest financial reports released by the company, GameStop Corp. posted -1.61/share EPS, while the average EPS was predicted by analysts to be reported at -1.27/share. When compared, the two values demonstrate that the company fail the estimates by a Surprise Factor of -26.80%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for GME.
GameStop Corp. [GME] Insider Position Details
There are presently around $13,752 million, or 95.00% of GME stock, in the hands of institutional investors. The top three institutional holders of GME stocks are: FMR LLC with ownership of 9,276,087, which is approximately -2.706% of the company’s market cap and around 0.50% of the total institutional ownership; BLACKROCK INC., holding 9,217,335 shares of the stock with an approximate value of $1.72 billion in GME stocks shares; and VANGUARD GROUP INC, currently with $965.05 million in GME stock with ownership of nearly -2.383% of the company’s market capitalization.
Positions in GameStop Corp. stocks held by institutional investors increased at the end of March and at the time of the March reporting period, where 98 institutional holders increased their position in GameStop Corp. [NYSE:GME] by around 16,001,935 shares. Additionally, 131 investors decreased positions by around 19,518,934 shares, while 29 investors held positions by with 38,040,785 shares. The mentioned changes placed institutional holdings at 73,561,654 shares, according to the latest SEC report filing. GME stock had 50 new institutional investments in for a total of 4,062,922 shares, while 38 institutional investors sold positions of 8,186,026 shares during the same period.