Stock fact sheet · data as of
GameStop Corp. (GME): fair value, margin of safety and Wheel Score
Consumer Cyclical · Specialty Retail · United States · Value
Is GME undervalued?
GameStop Corp. (GME) closed at 28.02 on 16 Oct 2026. The GLS average fair value - the simple average of the 8 valuation models that produced a positive number - is 38.65, so the price sits 28% below it. 4 of the 8 models value the shares above the current price. A margin of safety between 10% and 30% is where most of the Sunday Scan candidates come from.
There is a wide gap between DCF (4.03) and GLS Growth (121.85). When the models are this far apart the "fair value" is really a range, and the margin of safety above should be read with that range in mind.
The nightly engine files GME under Value: positive earnings at a P/E of 18 or less.
Nine valuation models for GME
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 4.03 | -86% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 24.76 | -12% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 29.53 | +5% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 6.64 | -76% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 121.85 | +335% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 39.55 | +41% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 60.72 | +117% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | - | - | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend; no value tonight |
| EPV | 22.12 | -21% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | 9.92 | -65% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 18.25 | -35% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
GameStop Corp. scores only 4 of 9 on the Piotroski F-score, which fails the Sunday Scan's "6 or more" rule. A reading this low means several of the basic tests - positive earnings, positive operating cash flow, falling debt, no new share issuance - are not met. A GLS Moat score of 2.6/10 is a weak reading: the ten-year history the score grades (revenue, EPS, book value, margins, cash flow, share count, ROIC) has not been steady, so the Moat part of the Wheel Score contributes little.
Returns on capital are thin or negative - ROIC 4.3%, ROE 7.7%, ROA 4.0% - with debt at 0.80 times equity and a free-cash-flow yield of 4.9%.
GameStop Corp. pays no dividend, so the DDM model does not apply and a covered-call holder earns only the premium and any price gain. Revenue comes mainly from Collectibles 100% (quarter Q2 FY2026).
Institutional ownership scores 5/10, insider activity 10/10 and Congressional trading 5/10 on the GLS smart-money scales; the last recorded insider buy was on 21 Sep 2026.
| Piotroski F-score | 4 / 9 | ROIC | 4.3% |
|---|---|---|---|
| GLS Moat | 2.6 / 10 | ROE | 7.7% |
| Debt / equity | 0.80 | ROA | 4.0% |
| Free-cash-flow yield | 4.9% | Payout ratio | 0% |
| Institutions | 5 / 10 | Insiders · Congress | 10 · 5 / 10 |
Wheel Score 72: Good
With a Wheel Score of 72 - the Good band - GameStop Corp. clears the Sunday Scan's "70 or higher" rule. The parts: Value 24/25, Health 9/20, Moat 4/15, Premium 17/20, Stability 19/20; Moat (4/15) scores lowest.
Implied volatility is 72% on the near-the-money contracts 20-60 days out - above the 60% ceiling of the sweet spot. Premiums are large, but the Wheel Score tapers the Premium points (17 of 20) because volatility this high usually comes with a reason. The option chain is deep: 1,794,086 contracts of open interest across all expiries, which means tight fills at most strikes.
Volume runs at 12.3M shares a day on a market cap of $14.1B, with a beta of 1.62 - a high beta, so the stock tends to move more than the market and a strike can be gapped through; the Stability part of the Wheel Score gives that 19 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 24 / 25 | 28% margin of safety | |
| Health | 9 / 20 | Piotroski 4/9 | |
| Moat | 4 / 15 | moat 2.6/10 | |
| Premium | 17 / 20 | implied volatility 72% | |
| Stability | 19 / 20 | 12.3M shares/day, $14.1B cap, beta 1.62 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
The next earnings report is due on 8 Dec 2026, 53 days away - outside the window of a 30-45-day put sold today.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Specialty Retail
The 12 companies below are the closest to GameStop Corp. by market cap within the Specialty Retail industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| W Wayfair Inc. | 104.78 | 83.75 | -25% | 44Weak | $14.4B |
| DKS DICK'S Sporting Goods, Inc. | 140.84 | 163.52 | +14% | 76Good | $12.5B |
| FIVE Five Below, Inc. | 223.23 | 225.38 | +1% | 79Good | $12.3B |
| TSCO Tractor Supply Company | 32.74 | 21.97 | -49% | 67Good | $17.1B |
| BBY Best Buy Co., Inc. | 94.17 | 93.88 | -0% | 78Good | $19.8B |
| MUSA Murphy USA Inc. | 544.73 | 357.54 | -52% | 58Fair | $10.0B |
| CHWY Chewy, Inc. | 21.31 | 26.02 | +18% | 86Prime | $8.6B |
| ETSY Etsy, Inc. | 89.18 | 91.93 | +3% | 73Good | $8.2B |
| CASY Casey's General Stores, Inc. | 673.63 | 330.95 | -104% | 64Fair | $24.9B |
| ULTA Ulta Beauty, Inc. | 592.42 | 476.96 | -24% | 61Fair | $25.5B |
| CPNG Coupang, Inc. | 14.79 | 9.90 | -49% | 45Weak | $26.6B |
| WSM Williams-Sonoma, Inc. | 242.48 | 148.10 | -64% | 63Fair | $28.6B |
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Start free See the Sunday ScanQuestions about GME
Is GME undervalued right now?
By the GLS models, moderately: at 28.02 the stock trades 28% below the average fair value of 38.65 (data as of 16 Oct 2026).
What is the Wheel Score of GME and what does it mean?
GME scores 72 out of 100 (Good). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for GME?
38.65 per share as of 16 Oct 2026 - the simple average of the 8 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does GameStop Corp. report earnings next?
The next earnings report is due on 8 Dec 2026, 53 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does GME have listed options, and how liquid are they?
Yes. The nightly snapshot found 1,000 listed contracts with 1,794,086 open interest across all expiries and implied volatility of 72% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.