GameStop Falls 19% on Loss Exceeding Most Pessimistic Estimate
- CEO blames ‘unprecedented decline’ in gaming hardware sales
- Video-game players are also switching to free online titles
A shopper walks toward a GameStop Corp. store in Ottawa, Illinois.
Photographer: Daniel Acker/BloombergThis article is for subscribers only.
GameStop Corp., the ailing video-game retailer, plunged as much as 19% after posting a third-quarter loss that was larger than even the most dire Wall Street estimate.
The adjusted quarterly loss came to 49 cents a share, the merchant said Tuesday. The most pessimistic analyst had expected a deficit of 16 cents. Sales plummeted 26% from a year earlier to $1.44 billion, and GameStop also reduced its forecast for the year.