Video game retailer GameStop Corporation (NYSE:GME) will report third-quarter financial results on Tuesday after market close. The company's results could be less about video games and more about recent growth initiatives in Bitcoin (CRYPTO: BTC) and collectibles.
Here are the earnings estimates and key items to watch.
Earnings Estimates: Analysts expect GameStop to report third-quarter revenue of $987.3 million, up from $860.3 million in last year's third quarter, according to data from Benzinga Pro.
The company has missed analyst estimates for revenue in eight of the last 10 quarters. GameStop beat analyst estimates for revenue in the second quarter.
Analysts expect GameStop to report third-quarter earnings per share of 20 cents, up from 6 cents per share in last year's third quarter.
The company also posted profits of 17 cents and 25 cents per share, respectively, in the first and second quarters. The recent profitable quarters come after the retailer previously struggled with profitability and posted losses nearly every quarter of 2023 and 2022.
A profit in the third quarter would mark the company's sixth profitable quarter in a row.
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Key Items to Watch: GameStop has become less reliant on video game hardware and software in recent quarters, with its Collectibles segment often the only one to show year-over-year growth.
In the recent second quarter, GameStop reported 31.2% year-over-year growth for the company's hardware segment, thanks in part to the launch of the Nintendo Switch 2 console.
GameStop also reported year-over-year growth of 63.3% for its collectibles segment in the third quarter, which comes as the company has aggressively expanded into areas like trading cards, Pokémon cards, and other collectibles.
The company's software segment fell 26.6% year over year and remains a concerning part of the business.
Investors and analysts will likely be closely monitoring to see if GameStop sees growth again for the hardware and collectibles segments and how the software segment performs.
Another key area will likely be the company's Bitcoin holdings, which were valued at $528.6 million in the second quarter. The company previously disclosed buying 4,710 Bitcoin in the first quarter.
Analysts and investors will be closely watching to see if more Bitcoin or other investments were made by the company in the recent quarter.
GameStop recently hosted its "Trade Anything Day" on Saturday, where consumers could trade an item in for $5 in store credit, with most items accepted during the viral promotion. The company could share how the promotion went over and how the future store credit could help boost future quarterly results.
Guidance for the all-important fourth quarter could make GameStop shares highly volatile, as it is the company's highest-revenue quarter of the fiscal year.
GME Price Action: GameStop shares are up 1.3% to $23.30 on Monday versus a 52-week trading range of $19.93 to $35.81. GameStop shares are down 24.1% year-to-date in 2025.
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Image created using artificial intelligence via Gemini.
