Consumer Discretionary · NYSE: GME
GameStop: how the business works
GameStop sells video games, consoles and collectibles in stores and online, with net sales of $3.6 billion in FY2025, and it held a $4.9 billion stake in eBay at Aug 1, 2026.
By Hardik Bhandare · Checked against filings: . Editorial policy. Corrections
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GameStop Corp. · Grapevine, Texas
Updated for Q2 FY2026 · checked
- Net sales, FY2025
- $3.6B
- Operating income, FY2025
- $232.1M
- Net income, FY2025
- $418.4M
- Stores, Jan 31, 2026
- 2,206
- eBay stake at fair value, Aug 1, 2026
- $4.9B
The short version
GameStop in 5 points
1 · What it sells
GameStop sells video games, consoles, accessories and collectibles such as trading cards in stores and online, with net sales of $3.6 billion in FY2025.
2 · Who pays it
In FY2025, shoppers paid 50.7% of GameStop's net sales for hardware and accessories, 29.2% for collectibles and 20.1% for software.
3 · What it keeps from $100
Of every $100 that came in during FY2025, GameStop kept $10.6 as net income, which includes $271.5 million of interest income and a tax benefit, while its operating income was $6.4 per $100 of net sales.
4 · Where the operating profit comes from
The U.S. segment earned $283.2 million of operating income in FY2025, while Canada, Australia and Europe together lost $51.1 million, leaving $232.1 million.
5 · The one thing to watch
Gains on GameStop's eBay position were $506.8 million of its $926.6 million pre-tax income in the first half of FY2026, and the $4.9 billion stake is revalued every quarter.
Sources: From GameStop's FY2025 10-K, Q2 FY2026 10-Q and Q2 FY2026 earnings release · checked
See the full receipt and the management scorecard below
01Where the money goes · FY2025
Where does $100 of GameStop's money go?
GameStop · FY2025
Receipt for every $100
| Cost of the goods sold | $61.6 |
|---|---|
| Selling, general and admin | $23.1 |
| Asset write-downs | $1.4 |
| Loss on Bitcoin | $3.3 |
| Kept as net income | $10.6 |
| Total | $100 |
Each line = amount ÷ total money in × 100. Lines may not add to exactly $100 because of rounding.
How this is worked out
Cityfort calculation from the FY2025 10-K. Of every $100 that came in during FY2025 (net sales plus $317.9 million of interest income, other income and a tax benefit): each line = line ÷ $3.95 billion × 100. Per $100 of net sales alone, operating income was $6.4.
Each week: one company explained in 5 points, picked by earnings date.
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02The business in one line
What does GameStop do?
Shoppers pay GameStop for games, consoles and collectibles; most of that money buys the goods and runs the stores, and what's left is profit, topped up by interest on its cash.
- In FY2025, hardware and accessories were 50.7% of GameStop's $3.6 billion of net sales, collectibles 29.2% and software 20.1%.
- Of every $100 that came in during FY2025, the goods cost $61.6 and running costs $23.1; GameStop kept $10.6 as net income, helped by $271.5 million of interest income.
03Who pays it
Who pays GameStop?
Shoppers buying hardware and accessories
51%
of revenue
Consoles, controllers and gaming gear: $1,840.4 million of net sales in FY2025.
Shoppers buying collectibles
29%
of revenue
Trading cards and other pop-culture goods: $1,060.2 million in FY2025, up from $717.9 million in FY2024.
Shoppers buying video game software
20%
of revenue
Games: $729.3 million in FY2025, down from $1,005.4 million in FY2024.
- Shoppers buying hardware and accessories51%
- Shoppers buying collectibles29%
- Shoppers buying video game software20%
How spread out the customers are
GameStop sells to individual shoppers. The U.S. was 73.5% of FY2025 net sales, and the holiday quarter (Q4) was about 30%. On the supply side, Nintendo, Sony and Pokemon together supplied a majority of the new products GameStop bought.
04Why it makes money
Why does GameStop make money?
GameStop resells goods others make, so its store profit has come from cutting costs and selling more collectibles, while interest on its cash adds a second income stream.
Net sales fell from $6.0 billion in FY2021 to $3.6 billion in FY2025 as stores closed. Selling and admin costs fell faster, from $1,709.6 million to $910.2 million. Gross profit per $100 of sales rose from $22.4 to $33.0, so the operating loss turned into a profit.
Operating income per $100 of net sales
−$6.1$6.4
FY2021 to FY2025
- Shoppers buy games, consoles and collectibles
- GameStop keeps about a third of sales as gross profit
- Store, staff and head-office costs come out
- Closing weaker stores cuts costs faster than sales
- Cash from stores, share sales and notes earns interest
- Spare cash goes into investments such as eBay shares and Bitcoin
↺ Step 6 feeds back into step 1.
05Business segments · FY2025
Which businesses make up GameStop?
United States
74%U.S. stores and websites, with 1,598 stores at Jan 31, 2026 after 727 U.S. closures in FY2025. Segment operating income was $283.2 million, more than GameStop's total of $232.1 million because the other segments lost $51.1 million.
Revenue $2.7B · Operating profit $283M
Australia
14%300 stores in Australia at Jan 31, 2026; the New Zealand stores in this segment closed in Q4 FY2025. Operating income was $4.6 million in FY2025.
Revenue $495M · Operating profit $4.6M
Europe
12%Mainly the French business, with 308 stores at Jan 31, 2026, which GameStop sold in Q2 FY2026. It lost $33.5 million in FY2025.
Revenue $429M · Operating profit −$33.5M
Canada
1%Sold in Q2 FY2025, so FY2025 covers only part of the year. It lost $22.2 million in FY2025.
Revenue $38.2M · Operating profit −$22.2M
How the mix changed
- United States
- Australia
- Europe
- Canada
Revenue by segment, FY2023 to FY2025.
US$
See the numbers
06The numbers · Consolidated · US$
How has GameStop done?
Revenue
$3.6BFY2025
Net sales fell every year, from $6.0 billion in FY2021 to $3.6 billion in FY2025, as GameStop closed stores and sold its Canadian business; FY2023 had 53 weeks.
US$
See the numbers
Net profit
$418MFY2025
Net income turned from a $381.3 million loss in FY2021 to $418.4 million in FY2025, which included $271.5 million of interest income, a $131.6 million Bitcoin loss and a $34.4 million tax benefit; per-share figures reflect the 4-for-1 stock split of July 2022.
US$
See the numbers
Profit kept per $100 of revenue
$11.5FY2025
Operating income per $100 of net sales rose from -$6.1 in FY2021 to $6.4 in FY2025 and $20.3 in Q2 FY2026, as gross profit per $100 rose from $22.4 to $33.0 and then $43.7.
$ of profit per $100 of revenue (net margin)
See the numbers
Free cash flow
$597MFY2025
Free cash flow was $597.3 million in FY2025, after -$496.3 million in FY2021, and stock-based compensation stayed under $1 per $100 of net sales every year.
US$ · cash from operations minus spending on plants and equipment
See the numbers
See all yearly numbers
EBITDA here = operating income plus depreciation and amortization (from the cash flow statement). Fiscal years are the company's own (Saturday closest to January 31; FY2025 is the 52 weeks ended Jan 31, 2026, FY2023 had 53 weeks, and Q2 FY2026 is the 13 weeks ended Aug 1, 2026). Net profit is the share belonging to the company's owners.
Download GameStop's yearly and quarterly numbers (CSV, with source ids)
Learn: Fiscal years that don't end in December: Nvidia's FY2027 explained · Stock-based compensation and dilution: pay that becomes shares
Sources (11)
- Form 10-K, fiscal year 2023 (ended Feb 3, 2024)
- Form 10-K, fiscal year 2025 (ended Jan 31, 2026)
- Q3 FY2024 earnings release (8-K Exhibit 99.1)
- Q4 FY2024 earnings release (8-K Exhibit 99.1)
- Q1 FY2025 earnings release (8-K Exhibit 99.1)
- Q2 FY2025 earnings release (8-K Exhibit 99.1)
- Q3 FY2025 earnings release (8-K Exhibit 99.1)
- Q4 FY2025 earnings release (8-K Exhibit 99.1)
- Q1 FY2026 earnings release (8-K Exhibit 99.1)
- Q2 FY2026 earnings release (8-K Exhibit 99.1)
- Form 10-Q, Q2 FY2026 (quarter ended Aug 1, 2026)
07Who runs it
Who runs GameStop, and did they deliver?
Ryan Cohen
Chairman and Chief Executive Officer · since 2023
Joined the board in January 2021 under an agreement with his firm RC Ventures, became Chairman in June 2021 and CEO in September 2023, and sits on the Investment Committee. He takes no salary, bonus or time-vesting equity; his FY2025 pay was $1,760,467 of other compensation, for executive protection.
Board of directors
5 directors
Cohen, Attal (lead independent director), Cheng, Grube and Turner. Cohen, Attal and Grube joined in January 2021 under the RC Ventures agreement.
What they said, and what happened
2 too early to tell · 1 withdrawn
Said on Jun 26, 2026
GameStop said it expects FY2026 adjusted EBITDAOperating profit before wear-and-tear charges (depreciation and amortization). As a margin: per $100 of sales. "in excess of $600 million".
Too early to tellWhat happened
On Sep 8, 2026 it raised the outlook to "in excess of $650 million". Adjusted EBITDA for the first half of FY2026 was $339.7 million.
Said on May 3, 2026
GameStop proposed to buy all of eBay at $125.00 a share, half in cash and half in GameStop stock, with Ryan Cohen as CEO of the combined company.
Too early to tellWhat happened
eBay's board rejected the proposal on May 12, 2026. GameStop then held about 9.8% of eBay by July 2026, and its Sep 9, 2026 10-Q says it has no binding agreement for a specific transaction.
Said on Jan 7, 2026
The board granted Ryan Cohen 171,537,327 options at $20.66 a share, vesting only if market valueShare price × number of shares: what all the shares were worth at one dated price. Learn more reached $20 billion to $100 billion and cumulative EBITDA $2 billion to $10 billion, subject to a stockholder vote.
WithdrawnWhat happened
The award was withdrawn from the proxy at Cohen's request on Jun 23, 2026, before the vote.
Sources (10)
- Definitive proxy statement (DEF 14A), 2026 annual meeting
- Form 10-K, fiscal year 2025 (ended Jan 31, 2026)
- 8-K filed Jun 26, 2026, Exhibit 99.1: fiscal year 2026 outlook
- Q2 FY2026 earnings release (8-K Exhibit 99.1)
- 8-K filed May 4, 2026, Exhibit 99.1: offer letter to eBay Inc. (May 3, 2026)
- eBay Inc. 8-K filed May 12, 2026, Exhibit 99.2: eBay rejects unsolicited proposal from GameStop
- Schedule 13D/A (Amendment No. 4) by GameStop Corp. on eBay Inc. common stock
- Form 10-Q, Q2 FY2026 (quarter ended Aug 1, 2026)
- 8-K filed Jan 7, 2026, Exhibit 99.1: long-term performance award for Ryan Cohen
- 8-K filed Jun 23, 2026, Exhibit 99.1: Ryan Cohen withdraws CEO performance award
08What could go wrong
What could go wrong for GameStop?
- Concentration
Profit tied to eBay's share price
GameStop's 43.4 million eBay shares, carried at $4.9 billion at Aug 1, 2026, are revalued every quarter, and the change goes into net income. Gains on the eBay position were $506.8 million of first-half FY2026 pre-tax income of $926.6 million. The 10-K warns its investments may be concentrated in one or a few holdings.
Watch The eBay line in the Q3 FY2026 results.
- Technology
Fewer physical game sales
The 10-K says console cycles, digital downloads and makers' direct sales reduce physical game sales. Software sales fell from $1,522.0 million in FY2023 to $729.3 million in FY2025, and Video Games sales fell from $494.6 million in Q2 FY2025 to $263.2 million in Q2 FY2026.
Watch Video Games sales in each earnings release.
- Concentration
Reliance on trading cards
The 10-K says trading cards, notably Pokemon, are a significant share of collectibles revenue and profit, and depend on makers' allocations and on popularity. Collectibles were 45.1% of Q2 FY2026 net sales.
Watch Collectibles sales and gross profit per $100 of sales each quarter.
- Other
Bitcoin and its counterparty
GameStop bought 4,710 Bitcoin for $500 million in FY2025 and recorded a $131.6 million loss on digital assets and receivables that year. 4,709 of them sit with Coinbase Credit as collateral, which the 10-K names as a counterparty risk.
Watch Gains or losses on digital assets and receivables each quarter.
- Debt
Convertible notes repayable in 2028
About $2.8 billion of zero-interest notes remained after the Sep 3, 2026 exchange. Holders can require cash repayment on Apr 3, 2028 (2030 notes) and Dec 15, 2028 (2032 notes); converting them instead would add shares.
Watch Notes outstanding and the share count in the Q3 FY2026 10-Q.
- Governance
Dependence on Ryan Cohen and investment conflicts
The 10-K names dependence on Chairman and CEO Ryan Cohen as a risk. He sits on the three-person Investment Committee, whose members may invest personally in the same securities as GameStop.
Watch New investments and related disclosures in 8-Ks and 10-Qs.
- Regulation
Could be treated as an investment company
The 10-K warns that GameStop could be deemed an investment company under the Investment Company Act of 1940. At Aug 1, 2026 its eBay stake was $4.9 billion of total assets of $11.1 billion.
Watch Investments compared with total assets in each 10-Q.
- Other
More shares
The 10-K names dilution from future share sales as a risk. Shares outstanding rose from 303.6 million at the end of FY2021 to 504.5 million at Sep 3, 2026, and stockholders raised the limit on shares to 2.5 billion in July 2026.
Watch The share count on each 10-Q cover.
Sources (5)
09Both sides
What do supporters and critics point to?
What supporters point to
- Operating income turned from a $368.5 million loss in FY2021 to $232.1 million in FY2025, and was $160.2 million in Q2 FY2026 alone.
- Gross profit per $100 of net sales rose from $22.4 in FY2021 to $33.0 in FY2025 and $43.7 in Q2 FY2026, as collectibles grew.
- Free cash flow was $597.3 million in FY2025.
- At Aug 1, 2026 GameStop held $5.1 billion of cash and marketable securities against $4.2 billion of zero-interest notes, plus a $4.9 billion eBay stake.
What critics point to
- Net sales fell from $6.0 billion in FY2021 to $3.6 billion in FY2025, and Q2 FY2026 net sales were 18.7% lower than a year earlier.
- Gains on the eBay position were $506.8 million, 54.7% of first-half FY2026 pre-tax income of $926.6 million.
- Interest income of $271.5 million was larger than operating income of $232.1 million in FY2025.
- Shares outstanding rose from 303.6 million at the end of FY2021 to 504.5 million at Sep 3, 2026.
- eBay's board called GameStop's May 2026 takeover proposal "neither credible nor attractive" and rejected it.
10What to watch next
What should you watch next at GameStop?
Next event
Q3 FY2026 results (quarter ended Oct 31, 2026)
Date not announced yet.
The eBay stake in earnings
GameStop held 43.4 million eBay shares carried at $4.9 billion at Aug 1, 2026, and changes in their value go into each quarter's net income.
Notes and shares after the exchange
About $2.8 billion of notes remained after the Sep 3, 2026 exchange, and the Q2 FY2026 10-Q says GameStop expects to record a non-cash charge on it. The share count after the warrants expired on Oct 30, 2026 has not been filed yet.
Collectibles against video games
Collectibles were 45.1% of Q2 FY2026 net sales and Video Games 33.3%, against 23.4% and 50.9% in Q2 FY2025.
11Key facts
Key facts about GameStop
- What does GameStop do?
- GameStop Corp. sells video games, consoles, accessories and collectibles such as trading cards in stores and online. It had 2,206 stores at Jan 31, 2026 (1,598 in the U.S., 300 in Australia and 308 in France) and net sales of $3.6 billion in FY2025; it sold the French business in Q2 FY2026.
- How does GameStop make money?
- GameStop makes most of its money buying games, consoles and collectibles from makers such as Nintendo, Sony and Pokemon and reselling them. In FY2025 it kept $33.0 of gross profit per $100 of its $3.6 billion of net sales, and it also earned $271.5 million of interest income on its cash.
- What is GameStop's business model?
- GameStop's FY2025 10-K describes two parts: running its store fleet to produce cash, and putting capital into acquisitions and investments. GameStop bought $500 million of Bitcoin in FY2025, and at Aug 1, 2026 it held 43.4 million eBay shares carried at $4.9 billion.
- Who are GameStop's customers?
- GameStop's customers are shoppers buying games, consoles and collectibles in its stores and online. In FY2025, the United States made up 73.5% of GameStop's net sales, and the holiday quarter (Q4) was about 30% of the year's net sales.
- Is GameStop profitable?
- GameStop reported net income of $418.4 million in FY2025, after net losses of $381.3 million in FY2021 and $313.1 million in FY2022. GameStop's FY2025 operating income was $232.1 million; interest income of $271.5 million and a $34.4 million tax benefit added to it, and a $131.6 million Bitcoin loss reduced it.
- What is GameStop's revenue by segment?
- GameStop reports segments by country. In FY2025 the United States had $2,667.6 million of net sales (73.5%), Australia $494.7 million (13.6%), Europe $429.4 million (11.8%) and Canada, sold during the year, $38.2 million (1.1%).
- How much does GameStop make from consoles and accessories?
- Hardware and accessories, such as consoles and controllers, brought GameStop $1,840.4 million of net sales in FY2025, 50.7% of the total, down from $2,996.8 million in FY2023.
- How much does GameStop make from video game software?
- Video game software brought GameStop $729.3 million of net sales in FY2025, 20.1% of the total, down from $1,005.4 million in FY2024 and $1,522.0 million in FY2023.
- How much does GameStop make from collectibles?
- Collectibles, including trading cards, brought GameStop $1,060.2 million of net sales in FY2025, 29.2% of the total, up from $717.9 million in FY2024. In Q2 FY2026 GameStop's collectibles sales were $356.3 million, 45.1% of net sales.
- Who owns GameStop?
- GameStop has one class of common stock with one vote per share. Chairman and CEO Ryan Cohen reported 46.2 million GameStop shares and warrants, 9.1%, in a Schedule 13D/A filed Oct 13, 2026; GameStop's officers and directors as a group held 9.5% at May 20, 2026.
Sources (6)
- Form 10-K, fiscal year 2025 (ended Jan 31, 2026)
- Form 10-Q, Q2 FY2026 (quarter ended Aug 1, 2026)
- Form 10-K, fiscal year 2023 (ended Feb 3, 2024)
- Q2 FY2026 earnings release (8-K Exhibit 99.1)
- Schedule 13D/A (Amendment No. 21) by Ryan Cohen on GameStop Class A stock
- Definitive proxy statement (DEF 14A), 2026 annual meeting
Terms on this page
- Capital expenditures (capex)
- Debt-to-equity
- Earnings per share (EPS)
- EBITDA
- Free cash flow
- Market cap
- Net debt
- Net margin
- Operating income
- P/E ratio
Each explains the term in plain English, with the same number from other companies on Cityfort.
Go deeper
More detail from the same filings. Open any section.
12What it sells
12What it sells
What does GameStop sell?
Hardware and accessories
Consoles such as the Nintendo Switch 2, controllers and other gaming gear. Net sales of $1,840.4 million in FY2025, 50.7% of the total.
Collectibles
Trading cards such as Pokemon cards and other pop-culture goods, also sold in 23 Zing Pop Culture stores. Net sales of $1,060.2 million in FY2025, 29.2% of the total, and 45.1% of Q2 FY2026 net sales.
Video game software
Video game software. Net sales of $729.3 million in FY2025, 20.1% of the total, down from $1,522.0 million in FY2023.
Pre-owned and refurbished
Used and refurbished games and devices. From Q2 FY2026 GameStop reports them as their own category: $170.7 million, 21.6% of Q2 FY2026 net sales.
What it does
- Does: Sells games, consoles, accessories and collectibles in stores and online
- Does: Holds Bitcoin and, since July 2026, about 9.8% of eBay's shares
- Does: Reports results through releases and filings, without an earnings call
What it does not do
- Does not: Make the consoles or games it sells: Nintendo, Sony and Pokemon are its largest suppliers
- Does not: Own its store buildings: all its stores are leased
- Does not: Run stores in Canada or France any more (sold in FY2025 and Q2 FY2026)
13How the money flows
13How the money flows · FY2025
How does money flow through GameStop?
Money in
- Net sales$3.6B
- Interest income ($271.5M), other income ($12.0M) and a tax benefit ($34.4M)$318M
The company
GameStop
$3.9B came in
Money out
- Cost of the goods sold$2.4B
- Selling, general and administrative costs$910M
- Asset write-downs (impairments)$53.8M
- Loss on Bitcoin and related receivable$132M
- Net income$418M
- Shoppers paid GameStop $3.6 billion in FY2025 for consoles, accessories, collectibles and games.
- The goods themselves cost $2.4 billion, leaving $1.2 billion of gross profit.
- Running the stores and head office took $910.2 million, and asset write-downs $53.8 million, leaving $232.1 million of operating income.
- Interest on cash added $271.5 million and other income $12.0 million, while Bitcoin and the related receivable lost $131.6 million.
- A $34.4 million tax benefit, which included releasing a $141.1 million tax reserve, left net income of $418.4 million.
14What it needs to run
14What it needs to run
What does GameStop need to run?
Leased stores
All GameStop stores are leased, and 1,168 leases expire in FY2026. Store lease liabilities were $197.6 million at Jan 31, 2026, down from $604.4 million at the end of FY2021.
Store staff
About 4,000 full-time employees and 11,000 to 16,000 part-time ones, according to the FY2025 10-K.
Suppliers
Nintendo, Sony and Pokemon together supplied a majority of the new products GameStop bought in FY2025.
Cash and investments
Cash of $4,854.3 million, marketable securities of $206.0 million and eBay shares carried at $4,946.9 million at Aug 1, 2026, mostly raised by selling shares in 2021 and 2024 and convertible notes in 2025.
15Competitors and what protects it
15Competitors and what protects it
Who does GameStop compete with?
Walmart
NASDAQ: WMT
Named in GameStop's FY2025 10-K as a U.S. competitor, among the mass merchants that also sell games, consoles and collectibles.
Target
NYSE: TGT
Named in GameStop's FY2025 10-K as a U.S. competitor. A separate Target chain is also named in Australia.
Best Buy
Named in GameStop's FY2025 10-K as a U.S. competitor, among the consumer electronics stores.
Amazon
NASDAQ: AMZN
Named in GameStop's FY2025 10-K as a competitor in the U.S., Europe and Australia, selling online.
Sony, Microsoft and Nintendo (online stores)
The 10-K names PlayStation Network, Xbox Live and Nintendo Switch Online, where the console makers sell games directly to players.
JB Hi-Fi and Big W (Australia)
Named in GameStop's FY2025 10-K as competitors in Australia, alongside Target and Amazon.
FNAC-Darty and Leclerc (Europe)
Named in GameStop's FY2025 10-K as competitors in Europe. GameStop sold its French business in Q2 FY2026.
What protects the business
Each strength is scored 1 (weak) to 5 (strong) for the business, with the reason. It is not a rating of the share.
- Store network2 of 5
GameStop had 2,206 stores at Jan 31, 2026, down from 4,573 at the end of FY2021, and has since sold its 308 French stores.
- Cash and investments3 of 5
At Aug 1, 2026 it held $5.1 billion of cash and marketable securities and a $4.9 billion eBay stake, against $4.2 billion of zero-interest convertible notes.
- Supplier ties2 of 5
Nintendo, Sony and Pokemon supplied a majority of the new products it bought in FY2025, and the 10-K notes that game makers also sell directly to players.
Weak spot
Shift away from physical games
The 10-K names digital downloads and makers' direct sales as risks. Software sales fell from $1,522.0 million in FY2023 to $729.3 million in FY2025.
16Where growth could come from
16Where growth could come from
Where could GameStop's growth come from?
In its Q2 FY2026 earnings release (Sep 8, 2026), GameStop said it expects FY2026 adjusted EBITDA, its own measure, "in excess of $650 million", up from "in excess of $600 million" in its Jun 26, 2026 outlook. Its FY2025 adjusted EBITDA was $345.4 million, and its GAAP operating income $232.1 million.
Collectibles
Working45.1% of Q2 FY2026 net sales
Collectibles sales rose from $717.9 million in FY2024 to $1,060.2 million in FY2025, and from $227.6 million in Q2 FY2025 to $356.3 million in Q2 FY2026.
Status: Working, on track against what the company said.
Store closures and lower costs
WorkingSG&A $910.2M in FY2025 vs $1,709.6M in FY2021
Stores fell from 4,573 at the end of FY2021 to 3,203 at the end of FY2024 and 2,206 at Jan 31, 2026, and GameStop sold its Canadian and French businesses. Q2 FY2026 SG&A was $187.1 million, against $218.8 million a year earlier.
Status: Working, on track against what the company said.
Interest on cash
Mixed$271.5M in FY2025; $77.1M in Q2 FY2026
Interest income fell from $86.0 million in Q4 FY2025 to $77.1 million in Q2 FY2026, after GameStop spent $4,386.3 million on eBay shares and cash fell to $4,854.3 million at Aug 1, 2026.
Status: Mixed, partly on track.
eBay stake and takeover proposal
New43.4M eBay shares, $4.9B at Aug 1, 2026
GameStop proposed on May 3, 2026 to buy all of eBay at $125.00 a share, half in cash and half in GameStop stock; eBay's board rejected it on May 12, 2026. GameStop's Q2 FY2026 10-Q says it has no binding agreement for a specific transaction.
Status: New, recently announced.
Status compares progress with what the company itself said it would do: Working = on track against what the company said; Mixed = partly on track; Behind = behind the company's own plan; New = recently announced; Early = too early to judge.
Sources (10)
- Q2 FY2026 earnings release (8-K Exhibit 99.1)
- 8-K filed Jun 26, 2026, Exhibit 99.1: fiscal year 2026 outlook
- Form 10-K, fiscal year 2025 (ended Jan 31, 2026)
- Form 10-K, fiscal year 2021 (ended Jan 29, 2022)
- Form 10-K, fiscal year 2024 (ended Feb 1, 2025)
- Q4 FY2025 earnings release (8-K Exhibit 99.1)
- Form 10-Q, Q2 FY2026 (quarter ended Aug 1, 2026)
- 8-K filed May 4, 2026, Exhibit 99.1: offer letter to eBay Inc. (May 3, 2026)
- eBay Inc. 8-K filed May 12, 2026, Exhibit 99.2: eBay rejects unsolicited proposal from GameStop
- Schedule 13D/A (Amendment No. 4) by GameStop Corp. on eBay Inc. common stock
17The company's own measures (non-GAAP)
17The company's own measures · FY2025
What do GameStop's own measures show?
Official (GAAP): Operating income, FY2025
$232M
Company's own measure: Adjusted EBITDA, FY2025
$345M
GameStop's measure starts from net income, adds back tax and depreciation, removes interest income, and leaves out stock-based compensationPay given as shares instead of cash, which spreads ownership more thinly. Learn more, transformation costs, impairments and gains or losses on digital assets, derivatives and investments.
Official (GAAP): Operating income, Q1 FY2026
$143M
Company's own measure: Adjusted EBITDA, Q1 FY2026
$163M
Same definition as above.
Official (GAAP): Operating income, Q2 FY2026
$160M
Company's own measure: Adjusted EBITDA, Q2 FY2026
$174M
Same definition as above. GameStop's FY2026 outlook is stated in this measure.
Official (GAAP): Net income, Q2 FY2026
$299M
Company's own measure: Adjusted net income, Q2 FY2026
$161M
GameStop's own measure removes items it does not count as ongoing operations; the reconciliation is in the Q2 FY2026 earnings release.
These are the company's own measures, defined by the company. They are not comparable across companies, and they are not added together. Each sits beside the nearest official (GAAP) figure.
Learn: Non-GAAP measures: what a company's "adjusted" numbers leave out · Stock-based compensation and dilution: pay that becomes shares
18Financial strength and debt
18Financial strength · Aug 1, 2026
How much debt does GameStop have?
- Total debt$4.2B
- Cash and investments$5.1B
- Net cash (cash minus debt)$893M
- Net worth (shareholders' money)$6.1B
- Debt to equity
- 0.68×
- $ of debt for every $1 of shareholders' money
- Net cash of $892.5 million is a Cityfort calculation from the Q2 FY2026 earnings release: cash of $4,854.3 million plus $206.0 million of marketable securities, minus $4,167.8 million of convertible notes. It leaves out the eBay stake and Bitcoin.
- On Sep 3, 2026 GameStop exchanged about $1.4 billion of notes for about 55.5 million new shares and about $358.4 million of cash. The company says about $2.8 billion of notes remain; no balance sheet after the exchange has been filed yet.
- The notes pay no interest. Holders can require GameStop to repay the 2030 notes in cash on Apr 3, 2028 and the 2032 notes on Dec 15, 2028. The initial conversion prices are about $29.85 and $28.91 per share.
- GameStop held 43,390,383 eBay shares at a cost of $4,386.3 million after buying shares in the market in June and settling its option contracts in July 2026. They were carried at $4,946.9 million at Aug 1, 2026. Changes in eBay's share price go into GameStop's net income.
- GameStop handed 4,709 of its 4,710 Bitcoin to Coinbase Credit as collateral, to back call options it sold on part of them, so it shows them as a receivable: $294.1 million of digital assets and receivables at Aug 1, 2026.
- Store lease liabilities were $197.6 million at Jan 31, 2026. They are not counted as debt here.
Sources (8)
- Q2 FY2026 earnings release (8-K Exhibit 99.1)
- Form 10-Q, Q2 FY2026 (quarter ended Aug 1, 2026)
- Form 10-K, fiscal year 2025 (ended Jan 31, 2026)
- 8-K filed Aug 3, 2026: convertible notes exchange agreements
- 8-K filed Aug 31, 2026: exchange amendments and Q2 FY2026 preliminary results
- 8-K filed Apr 1, 2025: 0.00% Convertible Senior Notes due 2030
- 8-K filed Jun 17, 2025: 0.00% Convertible Senior Notes due 2032
- Schedule 13D/A (Amendment No. 4) by GameStop Corp. on eBay Inc. common stock
19Who owns it
19Who owns it · ownership as of May 20, 2026
Who owns GameStop?
- Officers and directors (as a group), shares
- 9.5%
- Officers and directors (as a group), votes
- 9.5%
Share classes
Holders of 5% or more
From the company's proxy statement (DEF 14A), later Schedule 13G filings and the share counts on its latest annual or quarterly report. Each holder row shows the date of its own filing.
Learn: How to read a proxy statement (DEF 14A): Nvidia's 2026 proxy · Form 4 insider filings: who files, the codes and the footnotes
20What it does with profit
20What it does with profit
What does GameStop do with its profit?
Money raised · Jan 29, 2022
FY2021: sold new shares for $1,672.8 million of cash.
$1.7B
Money raised · Feb 1, 2025
FY2024: sold 140.0 million new shares in May, June and September 2024 through at-the-market offerings, for $3,453.8 million of cash.
$3.5B
Money raised · Apr 1, 2025
0.00% convertible senior notes due 2030.
$1.5B
Money raised · Jun 17, 2025
0.00% convertible senior notes due 2032, including a $450 million option taken up by the buyers.
$2.7B
21Governance signals
21Governance signals
What do GameStop's governance filings show?
- Auditor
- KPMG LLP, since 2025
- Auditor changes
- Dec 6, 2024: Deloitte → KPMG LLP (GameStop selected KPMG to audit FY2025 and dismissed Deloitte; the 8-K reports no disagreements.)
- Audit qualifications
- None reported
- Related-party dealings
- GameStop's Investment Committee is Ryan Cohen and two independent directors, and its members may invest personally in the same securities GameStop invests in; the 10-K lists this as a conflict-of-interest risk.
- Credit rating
- Not checked for this page
Flags to know about
shares as collateral
Insiders' shares in margin accounts
The 2026 proxy says Ryan Cohen holds 38,347,842 GameStop shares in a Charles Schwab margin account, where they can serve as collateral for loans, and director Attal 596,464 shares. GameStop's policy caps such loans at 50% of the shares' value.
disclosure
No credit rating named in the filings
GameStop's FY2025 10-K, Q2 FY2026 10-Q and the 8-Ks for its convertible notes name no credit rating. The notes were sold privately to institutional buyers.
disclosure
No earnings calls
GameStop does not hold earnings calls; its Q4 FY2024 release said it "will not be holding a conference call". Results come only as releases and filings.
other · Jul 7, 2026
Authorized shares raised
Stockholders approved raising the number of shares GameStop may issue from 1.0 billion to 2.5 billion at the Jul 7, 2026 annual meeting.
other · Jun 23, 2026
CEO award withdrawn
A Jan 7, 2026 option award for Ryan Cohen was withdrawn from the proxy at his request on Jun 23, 2026, before stockholders voted on it.
Sources (10)
- Form 10-K, fiscal year 2025 (ended Jan 31, 2026)
- 8-K filed Dec 10, 2024: change of auditor (Item 4.01)
- Definitive proxy statement (DEF 14A), 2026 annual meeting
- Form 10-Q, Q2 FY2026 (quarter ended Aug 1, 2026)
- 8-K filed Apr 1, 2025: 0.00% Convertible Senior Notes due 2030
- 8-K filed Jun 17, 2025: 0.00% Convertible Senior Notes due 2032
- Q4 FY2024 earnings release (8-K Exhibit 99.1)
- 8-K filed Jul 8, 2026: 2026 annual meeting results and authorized-shares amendment
- 8-K filed Jan 7, 2026, Exhibit 99.1: long-term performance award for Ryan Cohen
- 8-K filed Jun 23, 2026, Exhibit 99.1: Ryan Cohen withdraws CEO performance award
22What the market paid
22What the market paid · price as of Nov 5, 2026
What did the market pay for GameStop on Nov 5, 2026?
Price as of Nov 5, 2026 (shown for education; prices change daily).
Price as of Nov 5, 2026: GameStop closed at $24.17, from Nasdaq's historical price table; GameStop's shares are listed on the NYSE. Market value, the price of all its shares together, = $24.17 × 504,500,990 shares (Sep 3, 2026) = about $12.2 billion (Cityfort calculation from the Nov 5, 2026 closing price and the Q2 FY2026 10-Q). P/E is the price divided by a year of earnings per share: $24.17 ÷ $1.52, the diluted EPS of the four quarters to Aug 1, 2026, = 15.9 (Cityfort calculation from the Q3 FY2025 to Q2 FY2026 earnings releases). Net income in those four quarters was $893.3 million, including the eBay gains, while operating income was $480.0 million.
- Share price
- $24.17
- Market value (market cap)
- $12.2B
- P/E
- 15.9×
More price-based ratios · as of Nov 5, 2026
Each ratio divides a number from the company's filings by the market value or share price on Nov 5, 2026. Prices change daily, so these ratios do too.
Price to sales (P/S)
3.4×
$12.2B market value ÷ $3.6B revenue (four quarters to Aug 1, 2026) = 3.4×
Cityfort calculation from the Nov 5, 2026 closing price and the Q3 FY2025 to Q2 FY2026 10-Qs and earnings releases. Source: GME historical prices (Nasdaq historical data table); Form 10-Q, Q2 FY2026 (quarter ended Aug 1, 2026); Q3 FY2025 earnings release (8-K Exhibit 99.1) and 3 more
How price ratios workFree cash flow yield
4.9%
$597M free cash flow (FY2025) ÷ $12.2B market value = 4.9%
Cityfort calculation from the FY2025 10-K and the Nov 5, 2026 closing price. Source: GME historical prices (Nasdaq historical data table); Form 10-Q, Q2 FY2026 (quarter ended Aug 1, 2026); Q3 FY2025 earnings release (8-K Exhibit 99.1) and 4 more
What free cash flow means
Shares used for the market value: 504.5 million ($24.17 × 504.5 million shares ≈ $12.2B). Source: Form 10-Q, Q2 FY2026 (quarter ended Aug 1, 2026); Definitive proxy statement (DEF 14A), 2026 annual meeting
Source: GME historical prices (Nasdaq historical data table); Form 10-Q, Q2 FY2026 (quarter ended Aug 1, 2026); Q3 FY2025 earnings release (8-K Exhibit 99.1) and 3 more
Sources (8)
- GME historical prices (Nasdaq historical data table)
- Form 10-Q, Q2 FY2026 (quarter ended Aug 1, 2026)
- Q3 FY2025 earnings release (8-K Exhibit 99.1)
- Q4 FY2025 earnings release (8-K Exhibit 99.1)
- Q1 FY2026 earnings release (8-K Exhibit 99.1)
- Q2 FY2026 earnings release (8-K Exhibit 99.1)
- Form 10-K, fiscal year 2025 (ended Jan 31, 2026)
- Definitive proxy statement (DEF 14A), 2026 annual meeting
23How it got here
23How it got here
How did GameStop get here?
2021
Business-model change
Ryan Cohen joins the board
Ryan Cohen and two other directors joined the board in January 2021 under an agreement with his firm RC Ventures; GameStop sold $1,672.8 million of new shares in FY2021.
2022
Milestone
4-for-1 stock split
Each share became four in July 2022, which is why older filings show larger per-share figures.
2024
Milestone
$3.5 billion of new shares
GameStop sold 140.0 million new shares in May, June and September 2024, and cash rose from $921.7 million to $4,756.9 million over FY2024.
2024
Milestone
Auditor change
GameStop selected KPMG as auditor from FY2025 and dismissed Deloitte on Dec 6, 2024, with no disagreements reported.
2025
Business-model change
Convertible notes and Bitcoin
GameStop sold $4.2 billion of zero-interest convertible notes in April and June 2025 and bought 4,710 Bitcoin for $500 million.
2025
Crisis
Store count cut and Canada sold
GameStop sold its Canadian business in Q2 FY2025, closed 727 U.S. stores in FY2025, and ended the year with 2,206 stores, down from 3,203.
2025
Milestone
Warrants for stockholders
In October 2025 GameStop gave one warrant per 10 shares, each to buy a share at $32.00; they expired on Oct 30, 2026.
2026
Business-model change
eBay proposal and stake
GameStop proposed to buy eBay on May 3, 2026; eBay's board rejected it on May 12. By July 2026 GameStop held 43.4 million eBay shares, about 9.8%.
2026
Milestone
France sold, notes swapped for shares
GameStop sold its French business in Q2 FY2026, and on Sep 3, 2026 exchanged about $1.4 billion of notes for about 55.5 million shares and $358.4 million of cash.
Sources (16)
- Definitive proxy statement (DEF 14A), 2026 annual meeting
- Form 10-K, fiscal year 2023 (ended Feb 3, 2024)
- Form 10-K, fiscal year 2022 (ended Jan 28, 2023)
- Form 10-K, fiscal year 2025 (ended Jan 31, 2026)
- 8-K filed Dec 10, 2024: change of auditor (Item 4.01)
- 8-K filed Apr 1, 2025: 0.00% Convertible Senior Notes due 2030
- 8-K filed Jun 17, 2025: 0.00% Convertible Senior Notes due 2032
- Form 10-K, fiscal year 2024 (ended Feb 1, 2025)
- 8-K filed Oct 7, 2025: warrant distribution and warrant agreement
- 8-K filed Oct 19, 2026: warrant expiration on Oct 30, 2026
- 8-K filed May 4, 2026, Exhibit 99.1: offer letter to eBay Inc. (May 3, 2026)
- eBay Inc. 8-K filed May 12, 2026, Exhibit 99.2: eBay rejects unsolicited proposal from GameStop
- Schedule 13D/A (Amendment No. 4) by GameStop Corp. on eBay Inc. common stock
- Form 10-Q, Q2 FY2026 (quarter ended Aug 1, 2026)
- 8-K filed Aug 3, 2026: convertible notes exchange agreements
- 8-K filed Aug 31, 2026: exchange amendments and Q2 FY2026 preliminary results
24Sources and changes
Where every number on this page comes from
Sources (31 documents)
- S1Form 10-K, fiscal year 2025 (ended Jan 31, 2026) · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Mar 24, 2026
- S2Form 10-K, fiscal year 2024 (ended Feb 1, 2025) · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Mar 25, 2025
- S3Form 10-K, fiscal year 2023 (ended Feb 3, 2024) · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Mar 26, 2024
- S4Form 10-K, fiscal year 2022 (ended Jan 28, 2023) · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Mar 28, 2023
- S5Form 10-K, fiscal year 2021 (ended Jan 29, 2022) · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Mar 17, 2022
- S6Form 10-Q, Q2 FY2026 (quarter ended Aug 1, 2026) · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Sep 9, 2026
- S7Q2 FY2026 earnings release (8-K Exhibit 99.1) · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Sep 8, 2026
- S8Q1 FY2026 earnings release (8-K Exhibit 99.1) · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Jun 2, 2026
- S9Q4 FY2025 earnings release (8-K Exhibit 99.1) · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Mar 24, 2026
- S10Q3 FY2025 earnings release (8-K Exhibit 99.1) · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Dec 9, 2025
- S11Q2 FY2025 earnings release (8-K Exhibit 99.1) · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Sep 9, 2025
- S12Q1 FY2025 earnings release (8-K Exhibit 99.1) · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Jun 10, 2025
- S13Q4 FY2024 earnings release (8-K Exhibit 99.1) · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Mar 25, 2025
- S14Q3 FY2024 earnings release (8-K Exhibit 99.1) · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Dec 10, 2024
- S15Definitive proxy statement (DEF 14A), 2026 annual meeting · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · May 22, 2026
- S168-K filed May 4, 2026, Exhibit 99.1: offer letter to eBay Inc. (May 3, 2026) · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · May 4, 2026
- S17eBay Inc. 8-K filed May 12, 2026, Exhibit 99.2: eBay rejects unsolicited proposal from GameStop · eBay Inc. (SEC EDGAR) · Tier 1: company or exchange filing · May 12, 2026
- S188-K filed Jun 23, 2026, Exhibit 99.1: Ryan Cohen withdraws CEO performance award · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Jun 23, 2026
- S198-K filed Jun 26, 2026, Exhibit 99.1: fiscal year 2026 outlook · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Jun 26, 2026
- S208-K filed Jul 8, 2026: 2026 annual meeting results and authorized-shares amendment · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Jul 8, 2026
- S218-K filed Aug 3, 2026: convertible notes exchange agreements · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Aug 3, 2026
- S228-K filed Aug 31, 2026: exchange amendments and Q2 FY2026 preliminary results · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Aug 31, 2026
- S238-K filed Oct 19, 2026: warrant expiration on Oct 30, 2026 · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Oct 19, 2026
- S248-K filed Jan 7, 2026, Exhibit 99.1: long-term performance award for Ryan Cohen · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Jan 7, 2026
- S258-K filed Oct 7, 2025: warrant distribution and warrant agreement · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Oct 7, 2025
- S268-K filed Apr 1, 2025: 0.00% Convertible Senior Notes due 2030 · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Apr 1, 2025
- S278-K filed Jun 17, 2025: 0.00% Convertible Senior Notes due 2032 · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Jun 17, 2025
- S288-K filed Dec 10, 2024: change of auditor (Item 4.01) · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Dec 10, 2024
- S29Schedule 13D/A (Amendment No. 21) by Ryan Cohen on GameStop Class A stock · Ryan Cohen (SEC EDGAR) · Tier 1: company or exchange filing · Oct 13, 2026
- S30Schedule 13D/A (Amendment No. 4) by GameStop Corp. on eBay Inc. common stock · GameStop Corp. (SEC EDGAR) · Tier 1: company or exchange filing · Jul 17, 2026
- S31GME historical prices (Nasdaq historical data table) · Nasdaq · Tier 1: company or exchange filing · Nov 5, 2026
Changes to this page (v1 · Nov 6, 2026)
- v1 · Nov 6, 2026First version, through Q2 FY2026 (quarter ended Aug 1, 2026). (first version)
Numbers come only from tier 1 and tier 2 sources. Read how we research.
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