GME Earnings: GameStop Reports Mixed Financial Results and 4,710 Bitcoin

GameStop’s (GME) share price is down about 5% after the video game retailer reported mixed first-quarter financial results.

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The Texas-based company announced earnings per share (EPS) of $0.09, which topped the $0.04 consensus expectation of analysts. However, revenue for the quarter came in at $732.4 million, which was below the consensus Wall Street estimate of $754.2 million.

The company also reported an improved operating margin of -1.5%, which was up from -5.7% in the same quarter of 2024. GameStop’s free cash flow at the end of the quarter totaled $189.6 million, which was a big improvement from negative -$114.7 million a year earlier.

GameStop’s profitability. Source: Main Street Data

Bitcoin Purchases

Along with its financial results, GameStop disclosed that it bought 4,710 Bitcoins (BTC) between May 3 and June 10 of this year. It’s not known what the average purchase price of the Bitcoin was. However, GameStop’s BTC holdings are currently worth $516.6 million based on the current price of Bitcoin.

GameStop announced previously that it planned to begin buying and holding cryptocurrencies, adopting a similar playbook to that of software developer turned serial BTC acquirer Strategy (MSTR). GameStop has said it plans to use its excess cash to make investments in risk assets such as crypto and stocks. The company made its first Bitcoin investment in May of this year.

Is GME Stock a Buy?

Currently, only one Wall Street analysts offers a rating and price target on GME stock. So instead, we’ll look at the stock’s three-month performance. As one can see in the chart below, GameStop’s share price has gained 33% over the last 12 weeks.

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