What is GameStop?
GameStop (GME) is a U.S. Fortune 500 company operating in the gaming software industry. The company provides video game titles, advanced video game hardware, consumer electronics and accessories. The GameStop brand family includes GameStop, international electronic games retailer EB Games, French video game retailer Micromania, and digital magazine Game Informer.
GameStop’s buy-sell-trade program enables customers to trade-in video game hardware and software, smartphones and tablets they no longer use or play. Every year GameStop provides over $1 billion in trade credits, more than 70% of which are put towards the purchase of new products.
However, some observers question whether GameStop’s business model has much of a future. Downloadable games have increasingly squeezed the market for game discs, and purchases of consoles can often work out cheaper elsewhere – for example, on Amazon.
Who are the key people at GameStop?
Dan DeMatteo is Executive Chairman of the Board of Directors for GameStop, having previously served as CEO and Chief Operating Officer.DeMatteo helped spearhead the acquisitions of the companies that became GameStop.
Michael K. Mauler has been Chief Executive Officer of GameStop since February 2018. Previously he was President of GameStop International, successfully launching GameStop’s global Collectibles business segment under the Zing Pop Culture retail brand.
Another key figure at GameStop is Chief Financial Officer Robert A. Lloyd. He has served in the role since 2010.
What is the modern history of GameStop?
GameStop traces its roots back to 1984, when a small educational software retailer called Babbage’s opened for business in Dallas, Texas. It then acquired Software Etc, was sold to Barnes & Noble, and merged with Funco Inc. In 2000 the business was renamed GameStop. Two years later it had its IPO on the New York Stock Exchange, and in 2004 GameStop was spun off from Barnes & Noble. A number of further acquisitions followed: Electronics Boutique Games in 2005; Micromania in 2008; and Geeknet Inc in 2015.
What are the latest developments at GameStop?
GameStop is increasingly seeking to penetrate the growing collectibles market – a segment that’s forecast to exceed $16 billion by 2019. As part of this drive, GameStop and sister brand ThinkGeek are converting around 200 GameStop stores into so-called “50/50” stores. This means dedicating 50% of their retail space to video game merchandise, and the other 50% to collectibles.
GameStop performed relatively well in 2017, posting a 7.2% rise in total global sales to $9.2 billion for the full year. Consolidated comparable store sales increased 5.8% (4.3% in the U.S. and 9.2% globally).New hardware sales increased by 28.3%, driven by demand for Nintendo Switch.
However, GameStop shares have been on the slide in recent years as the company has grappled with the steady shift to online purchases of video games. The GameStop share price, which stood at over $50 in November 2013, fell below $30 in 2016 and under $20 at the end of 2017. By the end of March 2018, the shares were trading at just $12.62.
To find out how the shares are doing right now, follow Capital.com. Our GME chart puts all the information at your fingertips.
Where does GameStop operate?
GameStop is headquartered in Grapevine, a suburb of Dallas, Texas. It operates over 7,200 stores in 14 countries across Europe, the USA, Canada and Australia.In total, the company employs more than 53,000 people worldwide.
Where is GameStop traded?
GameStop is traded on the New York Stock Exchange (NYSE). Check out Capital.com for the latest GME chart. We’ll keep you up to date and in the picture.