GameStop Corp. Second Quarter Earnings Sneak Peek

S&P 500 (NYSE:SPY) component GameStop Corp. (NYSE:GME) will unveil its latest earnings on Thursday, August 18, 2011. GameStop Corp. operates as a retailer of video game products and PC entertainment software. It sells video game hardware, software and accessories, and PC entertainment software.

Investing Insights:¬†Steve Jobs Prepares to Deliver a New Catalyst for Apple’s Stock.

GameStop Corp. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for net income of 21 cents per share, a decline of 19.2% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved down from 28 cents. Between one and three months ago, the average estimate moved down and dropped from 22 cents during the last month. For the year, analysts are projecting profit of $2.90 per share, a rise of 8.6% from last year.

Past Earnings Performance: The company topped forecasts last quarter after being in line with estimates the quarter prior. In the first quarter, it reported net income of 56 cents per share versus a mean estimate of 54 cents. Two quarters ago, it reported profit of $1.56 per share.

Investing Insights: Steve Jobs Prepares to Deliver a New Catalyst for Apple’s Stock.

Wall St. Revenue Expectations: On average, analysts predict $1.84 billion in revenue this quarter, a rise of 2.2% from the year ago quarter. Analysts are forecasting total revenue of $10.04 billion for the year, a rise of 6% from last year’s revenue of $9.47 billion.

Analyst Ratings: Analysts are bullish on this stock with 11 analysts rating it as a buy, one rating it as a sell and five rating it as a hold.

Key Stats:

The company has now seen net income rise in three straight quarters. In the first quarter, net income rose 7% while it rose 10.1% in the fourth quarter of the last fiscal year and 4.8% in the third quarter of the last fiscal year.

Revenue has risen the past four quarters. Revenue increased 9.5% to $2.28 billion in first quarter. The figure rose 4.8% in the fourth quarter of the last fiscal year from the year earlier, climbed 3.5% in the third quarter of the last fiscal year from the year-ago quarter and 3.5% in the second quarter of the last fiscal year.

Competitors to Watch: Best Buy Co., Inc. (NYSE:BBY), RadioShack Corporation (NYSE:RSH), CONN’S, Inc. (NASDAQ:CONN), hhgregg, Inc. (NYSE:HGG), Rent-A-Center, Inc (NASDAQ:RCII), Amazon.com (NASDAQ:AMZN), eBay (NASDAQ:EBAY), Wal-Mart (NYSE:WMT) and Target (NYSE:TGT).

Stock Price Performance: During May 18, 2011 to August 12, 2011, the stock price had fallen $5.96 (-22.3%) from $26.68 to $20.72. The stock price saw one of its best stretches over the last year between October 18, 2010 and October 26, 2010 when shares rose for seven-straight days, rising 6.2% (+$1.13) over that span. It saw one of its worst periods between July 5, 2011 and July 18, 2011 when shares fell for 10-straight days, falling 14.5% (-$3.98) over that span. Shares are down $2.16 (-9.4%) year to date.

(Source: Xignite Financials)

Investing Insights: Steve Jobs Prepares to Deliver a New Catalyst for Apple’s Stock.

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