Traders Purchase Large Volume of Call Options on GameStop (NYSE:GME)

GameStop Corp. (NYSE:GME) was the recipient of unusually large options trading on Tuesday. Stock investors bought 270,655 call options on the company. This represents an increase of 39% compared to the average daily volume of 195,008 call options.

Analysts Set New Price Targets

Several equities research analysts have recently commented on GME shares. StockNews.com raised GameStop to a “sell” rating in a report on Saturday, October 19th. Wedbush reduced their target price on GameStop from $11.00 to $10.00 and set an “underperform” rating for the company in a report on Wednesday, September 11th.

Insider Buying and Selling

In other news, General Counsel Mark Haymond Robinson sold 4,667 shares of the stock in a transaction on Wednesday, October 2nd. The stock was sold at an average price of $21.96, for a total value of $102,487.32. Following the completion of the transaction, the general counsel now owns 54,927 shares of the company’s stock, valued at approximately $1,206,196.92. This represents a 7.83 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, insider Daniel William Moore sold 1,972 shares of the company’s stock in a transaction on Wednesday, October 2nd. The shares were sold at an average price of $21.96, for a total value of $43,305.12. Following the completion of the sale, the insider now owns 37,280 shares of the company’s stock, valued at approximately $818,668.80. This trade represents a 5.02 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 22,639 shares of company stock worth $481,000 in the last three months. 12.28% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the stock. UMB Bank n.a. lifted its position in shares of GameStop by 535.8% in the 3rd quarter. UMB Bank n.a. now owns 1,138 shares of the company’s stock worth $26,000 after acquiring an additional 959 shares during the period. AlphaMark Advisors LLC lifted its position in shares of GameStop by 41.7% in the 2nd quarter. AlphaMark Advisors LLC now owns 1,345 shares of the company’s stock worth $33,000 after acquiring an additional 396 shares during the period. Centerpoint Advisors LLC bought a new position in shares of GameStop during the 2nd quarter worth approximately $47,000. GAMMA Investing LLC lifted its position in shares of GameStop by 32.9% during the 2nd quarter. GAMMA Investing LLC now owns 2,064 shares of the company’s stock worth $51,000 after buying an additional 511 shares during the period. Finally, Russell Investments Group Ltd. lifted its position in shares of GameStop by 147.2% during the 1st quarter. Russell Investments Group Ltd. now owns 5,080 shares of the company’s stock worth $65,000 after buying an additional 3,025 shares during the period. Institutional investors and hedge funds own 29.21% of the company’s stock.

GameStop Price Performance

GameStop stock traded up $2.04 during mid-day trading on Tuesday, hitting $31.71. The company’s stock had a trading volume of 18,218,979 shares, compared to its average volume of 19,254,924. The firm’s 50 day moving average is $22.97 and its 200 day moving average is $23.87. The company has a market cap of $13.52 billion, a PE ratio of 228.33 and a beta of -0.13. GameStop has a 52-week low of $9.95 and a 52-week high of $64.83.

GameStop (NYSE:GME) last issued its earnings results on Tuesday, September 10th. The company reported $0.01 earnings per share for the quarter, topping the consensus estimate of ($0.08) by $0.09. GameStop had a return on equity of 1.79% and a net margin of 0.93%. The company had revenue of $798.30 million for the quarter, compared to analyst estimates of $895.67 million. During the same period in the prior year, the firm posted ($0.03) EPS. The business’s revenue was down 31.4% compared to the same quarter last year. As a group, analysts forecast that GameStop will post 0.01 EPS for the current year.

About GameStop

GameStop Corp., a specialty retailer, provides games and entertainment products through its stores and ecommerce platforms in the United States, Canada, Australia, and Europe. The company sells new and pre-owned gaming platforms; accessories, such as controllers, gaming headsets, and virtual reality products; new and pre-owned gaming software; and in-game digital currency, digital downloadable content, and full-game downloads.