In the latest trading session, GameStop (GME) closed at $21.60, marking a -0.92% move from the previous day. This change was narrower than the S&P 500’s daily loss of 1.38%. Elsewhere, the Dow lost 1.26%, while the tech-heavy Nasdaq lost 5.67%.

Heading into today, shares of the video game retailer had gained 4.86% over the past month, outpacing the Retail-Wholesale sector’s gain of 1.05% and the S&P 500’s gain of 3.87% in that time.

Wall Street will be looking for positivity from GameStop as it approaches its next earnings report date. The company is expected to report EPS of -$0.16, up 65.96% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $2.17 billion, down 3.82% from the year-ago period.

Investors might also notice recent changes to analyst estimates for GameStop. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company’s business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. GameStop is currently a Zacks Rank #2 (Buy).

The Retail – Consumer Electronics industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 196, which puts it in the bottom 23% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow GME in the coming trading sessions, be sure to utilize Zacks.com.

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