Why GameStop (GME) Is Climbing Today

GameStop (GME) is advancing 6% after CNBC reported that the video game retailer is considering entering the crypto market.

GME’s Potential Foray Into Crypto

GameStop may invest in crypto and other alternative assets, according to CNBC, which cited three unnamed sources. The company, which could decide not to carry out the plan, is particularly interested in buying Bitcoin, the business news channel reported.

As of Nov. 2, the company had $4.6 billion of cash and cash equivalents, according to an SEC filing. GME had total debt of $533.5 million as of the end of the third quarter.

Back in 2022, GameStop started offering crypto wallets that let users manage their crypto assets. However, the retailer ultimately terminated the project in 2023.

More Information About GameStop

Two analysts on average expect GameStop’s earnings per share to increase to 7 cents this year from 6 cents in 2024. However, their average estimates call for its revenue to decline to $4 billion in 2025 from $5.27 billion in 2024.

The shares currently have a price-to-sales ratio of 2.2 times and a market capitalization of $11.75 billion.

In the last month, the stock has gained 1.5%, while it is up 5% in the last three months. However, it is down 11% so far in 2025.

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Disclosure: None. This article is originally published at Insider Monkey.