GameStop Corp. (NYSE: GME) is scheduled to release its most recent quarterly results on Thursday after the markets close. Consensus estimates from Thomson Reuters call for $0.57 in earnings per share (EPS) and $2.03 billion in revenue. The fiscal third quarter of last year reportedly had $0.54 in EPS and $1.99 billion in revenue.
This company has struggled in 2018, and rumors this summer suggested that it might be looking for a buyout. It seems that this finally came to fruition as the company reportedly has hired a firm to explore a possible sale during this quarter.
According to Bloomberg in early September, GameStop was working with Perella Weinberg Partners to look for a potential buyout.
According to DealReporter, GameStop is now running a formal auction. The private equity firms Sycamore Partners and Apollo Global Management are GameStop’s two main suitors, DealReporter added.
Obviously this announcement has revitalized investor hopes that a buyout was possible after a five-year stock slide. The company said in June that it was holding “exploratory discussions” with third parties about a potential deal. But it warned at the time that the talks could lead nowhere, and shareholders have waited for an update.
Excluding Wednesday’s move, GameStop had underperformed the broad markets, with its stock down 19% in the past 52 weeks. In just 2018 alone the stock was down only 18%.
A few analysts weighed in on GameStop ahead of the report:
- Wedbush has a Buy rating with a $19 price target.
- Merrill Lynch has a Neutral rating with a $16 target.
- Loop Capital has a Hold rating and a $15 price target.
- Credit Suisse has a Hold rating and a $15 price target.
- Jefferies has a Buy rating with an $18 target price.
Shares of GameStop were last seen up about 1.6% at $14.96, in a 52-week range of $12.14 to $20.31. The consensus analyst price target is $14.91.
100 Million Americans Are Missing This Crucial Retirement Tool
The thought of burdening your family with a financial disaster is most Americans’ nightmare. However, recent studies show that over 100 million Americans still don’t have proper life insurance in the event they pass away.
Life insurance can bring peace of mind – ensuring your loved ones are safeguarded against unforeseen expenses and debts. With premiums often lower than expected and a variety of plans tailored to different life stages and health conditions, securing a policy is more accessible than ever.
A quick, no-obligation quote can provide valuable insight into what’s available and what might best suit your family’s needs. Life insurance is a simple step you can take today to help secure peace of mind for your loved ones tomorrow.
Click here to learn how to get a quote in just a few minutes.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.