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The Company is a retailer of video game products and PC entertainment software.
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NetscribeRetail (59.09) Submitted: 1/18/07 8:34 AM : Start Price: $28.75 GME Score: 40.46
GameStop retails video game products and PC entertainment software. The company sells new and used software, hardware, and game accessories for the PC and video game systems from Sony, Nintendo, and Microsoft. It also provides computer and video game magazines and strategy guides, action figures, and other related merchandise. GameStop has over 4600 stores worldwide with presence in US, Canada, Europe, Australia and New Zealand.Worldwide, the videogame industry is set to grow at a CAGR of 11.4% to $46 billion in 2010. Launching of hardware consoles like Xbox, DS and Play station further boosts the prospects of this industry. Also, traditional toys losing market against the interactive video games, augurs well for GameStop, which has about 21% market share in the US videogame market. Today, GameStop has a wide array of popular games in its portfolio with WWE, Smack Down 2007, and Splinter Cell, to name a few. The third quarter performance of the company was excellent with over 89% rise in the topline. It was powered by strong surge in hardware and software sales that benefited from robust consoles and new title releases. To keep the success story going, GameStop has achieved strong software sales in the holiday season. Looking ahead, management expects used game business to slow down. However it would be offset by their new game business, which will rise with new titles and increased installed base of hardware platforms. Company is also launching a new version of “World of Warcraft” which is world's most popular Massively Multiplayer Online Role Playing Game. Further, company is dynamic on store openings with 500 openings to be planned for fiscal 2007. In the light of healthy industry fortunes and robust company performance, GameStop is well set to play big innings.
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fibreoptik (41.17) Submitted: 4/17/07 1:37 PM
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Hehe! Nice propellerhead Netscribe! rofl! :D
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NetscribeRetail (59.09) Submitted: 4/20/07 4:58 AM
Everybody stops at ‘GameStop’ when it comes to games. GameStop is undeniably playing like a connoisseur in the highly lucrative video game industry. Be it, games, handheld business or game magazines, this world’s largest video game and entertainment software retailer with 4778 retail stores worldwide truly looks a one-stop shop for the avid gamers. Company’s fiscal 2006 revenues grew by a whooping 72% thanks to the launches of new videogame software and next generation hardware. Acquisition of one of its major competitors EB games in October 2005 has finally started bearing fruits for the company. In order to expand its wings further, the company has plans on the horizon to open over 500 more stores in fiscal 2007. Big players like Sony and Nintendo are resorting to price cuts owing to the competitive environment. This could aid the margins of GameStop, as some of these players are the prime vendors of the company. Constant innovation from players like Microsoft like the recent super sizing of Xbox 360 hard drive would always keep the demand alive and benefit GameStop. Additionally, the strong game line-up in 2007, which includes few names like Halo 3 and Spideman 3, could drive sales. Also, management is focusing in strengthening its balance sheet by reducing its debt levels in fiscal ’07. Thus excellent results coupled with positive outlook makes GameStop, a great buy.
AresFinancial (99.68) Submitted: 9/11/07 11:22 AM
Investing in cigarettes (Altria) and investing in Seven Eleven (retailer that sells cigarettes) is different. Seven eleven competes with other retailers on every corner. Marlboro competes with other cigarettes manufacturer in the Seven Eleven. GME is a retailer, that is competing with other retailers that sell games including Amazon, Ebay, TGT, Walmart, Costco, TGT, Sears, other GMEs (which are becoming as common as Starbucks) etc.... There is a major premium on the retailer GME. That is why there is a huge amount of insider selling:Total buy: $16,888, total sale: $1,258,399,344http://www.secform4.com/insider-trading/1326380.htmhttp://www.insidercow.com/history/company.jsp?company=gme&B1=Search%21$1.2 BILLION in insider SELLING Vs $16k in buying. ROFL! Do not confuse your kids games addiction and the premium he / you would pay to feed his addiction, with the premium you would pay to invest in this retailer. Besides your kid needs to get a job, how is he going to pay for your social security and Medicare benefits? With his level 30 Magician? Hit points will not save him in the hyper competitive world he is entering!
seanyrotten (51.79) Submitted: 9/12/07 9:16 AM
I totally agree with you. The video game bubble just gets bigger and bigger and I don't see it as long as children are born with 10 fingers
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