GME Relative Valuation
GME's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, GME is overvalued; if below, it's undervalued.
Historical Valuation
GameStop Corp (GME) is now in the Fair zone, suggesting that its current forward PS ratio of 2.13 is considered Fairly compared with the five-year average of -580.81. The fair price of GameStop Corp (GME) is between 10.10 to 23.66 according to relative valuation methord.
Relative Value
Fair Zone
10.10-23.66
Current Price：21.29
Fair
24.26
PE
1Y
3Y
5Y
0.00
EV/EBITDA
GameStop Corp. (GME) has a current EV/EBITDA of 0.00. The 5-year average EV/EBITDA is -114.52. The thresholds are as follows: Strongly Undervalued below -972.33, Undervalued between -972.33 and -543.43, Fairly Valued between 314.39 and -543.43, Overvalued between 314.39 and 743.30, and Strongly Overvalued above 743.30. The current Forward EV/EBITDA of 0.00 falls within the Historic Trend Line -Fairly Valued range.
0.00
EV/EBIT
GameStop Corp. (GME) has a current EV/EBIT of 0.00. The 5-year average EV/EBIT is -81.65. The thresholds are as follows: Strongly Undervalued below -475.28, Undervalued between -475.28 and -278.47, Fairly Valued between 115.16 and -278.47, Overvalued between 115.16 and 311.97, and Strongly Overvalued above 311.97. The current Forward EV/EBIT of 0.00 falls within the Historic Trend Line -Fairly Valued range.
2.13
PS
GameStop Corp. (GME) has a current PS of 2.13. The 5-year average PS is 1.91. The thresholds are as follows: Strongly Undervalued below 0.21, Undervalued between 0.21 and 1.06, Fairly Valued between 2.75 and 1.06, Overvalued between 2.75 and 3.60, and Strongly Overvalued above 3.60. The current Forward PS of 2.13 falls within the Historic Trend Line -Fairly Valued range.
0.00
P/OCF
GameStop Corp. (GME) has a current P/OCF of 0.00. The 5-year average P/OCF is -7.56. The thresholds are as follows: Strongly Undervalued below -291.70, Undervalued between -291.70 and -149.63, Fairly Valued between 134.51 and -149.63, Overvalued between 134.51 and 276.58, and Strongly Overvalued above 276.58. The current Forward P/OCF of 0.00 falls within the Historic Trend Line -Fairly Valued range.
0.00
P/FCF
GameStop Corp. (GME) has a current P/FCF of 0.00. The 5-year average P/FCF is -11.11. The thresholds are as follows: Strongly Undervalued below -93.99, Undervalued between -93.99 and -52.55, Fairly Valued between 30.34 and -52.55, Overvalued between 30.34 and 71.78, and Strongly Overvalued above 71.78. The current Forward P/FCF of 0.00 falls within the Historic Trend Line -Fairly Valued range.
GameStop Corp (GME) has a current Price-to-Book (P/B) ratio of 1.74. Compared to its 3-year average P/B ratio of 3.42 , the current P/B ratio is approximately -49.14% higher. Relative to its 5-year average P/B ratio of 6.08, the current P/B ratio is about -71.34% higher. GameStop Corp (GME) has a Forward Free Cash Flow (FCF) yield of approximately 6.16%. Compared to its 3-year average FCF yield of 1.04%, the current FCF yield is approximately 492.84% lower. Relative to its 5-year average FCF yield of -0.79% , the current FCF yield is about -876.77% lower.
1.74
P/B
Median3y
3.42
Median5y
6.08
6.16
FCF Yield
Median3y
1.04
Median5y
-0.79
Competitors Valuation Multiple
The average P/S ratio for GME's competitors is 0.70, providing a benchmark for relative valuation. GameStop Corp Corp (GME) exhibits a P/S ratio of 2.13, which is 202.58% above the industry average. Given its robust revenue growth of -4.57%, this premium appears unsustainable.
Performance Decomposition
1Y
3Y
5Y
Market capitalization of GME decreased by 20.86% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 2.02 to 9.39.
The secondary factor is the Revenue Growth, contributed -4.57%to the performance.
Overall, the performance of GME in the past 1 year is driven by Margin Expansion. Which is more sustainable.
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Frequently Asked Questions
Is GameStop Corp (GME) currently overvalued or undervalued?
GameStop Corp (GME) is now in the Fair zone, suggesting that its current forward PS ratio of 2.13 is considered Fairly compared with the five-year average of -580.81. The fair price of GameStop Corp (GME) is between 10.10 to 23.66 according to relative valuation methord.
What is GameStop Corp (GME) fair value?
GME's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of GameStop Corp (GME) is between 10.10 to 23.66 according to relative valuation methord.
How does GME's valuation metrics compare to the industry average?
The average P/S ratio for GME's competitors is 0.70, providing a benchmark for relative valuation. GameStop Corp Corp (GME) exhibits a P/S ratio of 2.13, which is 202.58% above the industry average. Given its robust revenue growth of -4.57%, this premium appears unsustainable.
What is the current P/B ratio for GameStop Corp (GME) as of Jan 08 2026?
As of Jan 08 2026, GameStop Corp (GME) has a P/B ratio of 1.74. This indicates that the market values GME at 1.74 times its book value.
What is the current FCF Yield for GameStop Corp (GME) as of Jan 08 2026?
As of Jan 08 2026, GameStop Corp (GME) has a FCF Yield of 6.16%. This means that for every dollar of GameStop Corp’s market capitalization, the company generates 6.16 cents in free cash flow.
What is the current Forward P/E ratio for GameStop Corp (GME) as of Jan 08 2026?
As of Jan 08 2026, GameStop Corp (GME) has a Forward P/E ratio of 24.26. This means the market is willing to pay $24.26 for every dollar of GameStop Corp’s expected earnings over the next 12 months.
What is the current Forward P/S ratio for GameStop Corp (GME) as of Jan 08 2026?
As of Jan 08 2026, GameStop Corp (GME) has a Forward P/S ratio of 2.13. This means the market is valuing GME at $2.13 for every dollar of expected revenue over the next 12 months.