Earnings season is wrapping up for the second quarter of 2021, but many investors have been waiting for GameStop's Q2 earnings release. That wait ends tomorrow for traders as the video game retailer is set to report their results in the afternoon. We have assembled some important information to help better understand tomorrow's reports. Check out whisper number and Wall Street analyst expectations for GameStop's second quarter of 2021.
What's GameStop's (GME) Q2 2021 EPS whisper number?
GameStop's Q2 2021 earnings-per-share (EPS) whisper number is set at a loss of $0.38/share on revenues of $1.12 billion. This is according to earningswhisper.com. That number is also the high number from Wall Street analysts, but is much higher than the consensus estimate of a loss of $0.66/share. Last year, GameStop reported a Q2 2020 loss of $1.40/share, so it seems like investors should expect better results tomorrow. Even the low end of expectations fall well above last year's tremendous loss.
GameStop (GME) Q2 2021 earnings release analyst expectations
Wall Street analysts have a mean estimate of a $0.66/share loss for GameStop's Q2 2021 earnings. The analysts' mean estimate for revenue is $1.1 billion. The high estimate for revenue on Wall Street is $1.2 billion. The low estimate for Q2 2021 EPS is a $0.96/share loss and the high estimate is a $0.38/share loss.
As for where the analysts sit for predicting GameStop's price movement, there are six analysts with current coverage on the stock. The average price target for 12 months out is $88.33/share, with the high forecast coming in at $190/share, and the lowest GME target price on Wall Street coming in at just $25/share. Right now there is only one Wall Street analyst with the guts to give GameStop a Buy rating, with two Hold ratings, and three Sell ratings rounding out the current coverage.
GameStop (GME) told investors during the last earnings call that revenue trends continued to be favorable during the earlier part of Q2 2021, largely driven by the new PS5 and Xbox Series X/S consoles. A lot has changed since the last earnings release, as the company has paid off all of its long-term debt after a secondary stock offering. GameStop also broke ground on two online order fulfillment centers, revamped the Board of Directors with a new CEO, and they are even rumored to be working on an NFT marketplace. There are still potential catalysts for the stock to move either direction on earnings, so be sure to keep it locked on Shacknews for all of the GME stock news as it breaks tomorrow.
Are you a GameStop shareholder? Do you think the market is a rigged game about to collapse? It won't matter if you have skin in the game this week, as many investors on both sides of the trade are expecting fireworks.
This article is only meant for educational purposes, and should not be taken as investment advice. Please consider your own investment time horizon, risk tolerance, and consult with a financial advisor before acting on this information.
At the time of this article, Shacknews primary shareholder Asif A. Khan, his family members, and his company Virtue LLC had the following positions:
Long GameStop via GME shares
Long GameStop via GME call options