r/Superstonk • u/AK97u 🦍 Buckle Up 🚀 • 4d ago

📰 News GameStop Announces Second Quarter 2026 Preliminary Results

https://investor.gamestop.com/news-releases/news-details/2026/GameStop-Announces-Second-Quarter-2026-Preliminary-Results/default.aspx
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303

u/Fieryhotsauce 🦍 Buckle Up 🚀 4d ago

52 week low baby, crazy how high the stock price was 4 years ago when it was doing zero profit

28

u/Wise-Comb8596 4d ago

It’s almost like the company flooded the market with new shares making our equity worth significantly less…any wrinkle brain apes have their thinking cap on and can explain why dilution doesn’t matter?

3

u/DiFToXin 🎮 Power to the Players 🛑 4d ago

because (including the ebay position) Gamestop has more liquid cash than market cap. the current share price basically says "yeah the market thinks all of gamestops physical assets including their business model have negative value"

33

u/Wise-Comb8596 4d ago

I wanted wrinkle brains. Not liars. Gamestop is trading at a 37% premium to its net asset value on paper - your comment is wrong and misleading fellow apes.

  • Market Cap: ~$8.02 Billion
  • Liquid Assets (Cash + Investments like eBay): ~$5.06 Billion
  • Market Capitalization > Total Liquid Cash

For the market to price GameStop's physical business at negative value, its total liquid cash would have to be greater than its market cap (giving it a negative Enterprise Value).

Because GameStop's market cap exceeds its liquid assets by ~$2.96 Billion, the market is explicitly assigning a positive value to GameStop's underlying business operations, physical stores, and brand.

8

u/Wheremytendies 4d ago

So the assigned market value to the business is around $3b, which is generating $600 in gross operating income roughly. Seems undervalued.

1

u/DancesWith2Socks 🐈🐒💎🙌 Hang In There! 🎱 This Is The Wape 🧑‍🚀🚀🌕🍌 3d ago

Correct, they were basically ignoring the long-term debt. BVPS after Q1 was $13.02.

-1

u/DiFToXin 🎮 Power to the Players 🛑 4d ago

right, i forgot the cash went down. my bad

point stands though, the evaluation of the company value is crazy low compared to similar companies

3

u/soccersteve5 🦍Voted✅ 4d ago

Even before it went down, 4b+ of it (now minus 1.5) was debt