Enterprise Value to EBITDA (EV/EBITDA)
Paying user area
Try for free
GameStop Corp. pages available for free this week:
The data is hidden behind: . Unhide it.
Get full access to the entire website from $10.42/mo, or
get 1-month access to GameStop Corp. for $22.49.
This is a one-time payment. There is no automatic renewal.
We accept:
Earnings before Interest, Tax, Depreciation and Amortization (EBITDA)
GameStop Corp., EBITDA calculation
US$ in thousands
Based on: 10-K (reporting date: 2024-02-03), 10-K (reporting date: 2023-01-28), 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02).
- Net Income (Loss)
- The net income exhibits a consistent pattern of significant losses from 2019 through 2023, with the magnitude of the loss generally decreasing until a rebound occurs in 2024. Specifically, the net loss reduced from -673,000 thousand USD in 2019 to -215,300 thousand USD in 2021, then increased again to -381,300 thousand USD in 2022 and slightly improved to -313,100 thousand USD in 2023. In 2024, there is a notable positive shift to a small net income of 6,700 thousand USD.
- Earnings Before Tax (EBT)
- EBT follows a somewhat similar trend to net income, with persistent losses each year until 2024. Starting from -753,100 thousand USD in 2019, losses gradually reduced over the next two years, reaching -269,900 thousand USD in 2021. However, losses deteriorated again in 2022 (-395,400 thousand USD) and improved slightly in 2023 (-302,100 thousand USD). In 2024, the company reports positive earnings before tax of 13,100 thousand USD for the first time within this timeframe.
- Earnings Before Interest and Tax (EBIT)
- EBIT trends closely mirror those of EBT, given their closely linked definitions. Losses are substantial and broadly decrease from -696,300 thousand USD in 2019 to -235,900 thousand USD in 2021, before worsening again in 2022 (-368,500 thousand USD) and slightly improving in 2023 (-302,100 thousand USD). The year 2024 sees a positive result of 13,100 thousand USD, indicating operational profitability before interest and taxes.
- Earnings Before Interest, Tax, Depreciation, and Amortization (EBITDA)
- EBITDA reflects a general improvement trend until 2021, with losses declining from -569,400 thousand USD in 2019 to -155,200 thousand USD in 2021. However, the figures worsen in 2022 (-291,300 thousand USD) and 2023 (-240,400 thousand USD), although losses remain smaller than earlier years. In 2024, EBITDA turns positive at 69,300 thousand USD, demonstrating enhanced operational cash flow earnings without deductions for depreciation and amortization.
- Overall Financial Trend
- Across all measured profitability metrics, the company faced substantial operating and net losses over the majority of the years presented, with intermittent periods of improvement. The data indicates a pattern of decreasing losses up to early 2021, followed by a reversion to higher loss levels in 2022 and 2023. A significant turnaround is observed in 2024, with all key profitability indicators turning positive. This suggests successful efforts at cost control, operational improvements, or revenue enhancements leading to the first profitable year within the six-year span.
Enterprise Value to EBITDA Ratio, Current
GameStop Corp., current EV/EBITDA calculation, comparison to benchmarks
| Selected Financial Data (US$ in thousands) | |
| Enterprise value (EV) | |
| Earnings before interest, tax, depreciation and amortization (EBITDA) | |
| Valuation Ratio | |
| EV/EBITDA | |
| Benchmarks | |
| EV/EBITDA, Competitors1 | |
| Amazon.com Inc. | |
| Home Depot Inc. | |
| Lowe’s Cos. Inc. | |
| TJX Cos. Inc. | |
| EV/EBITDA, Sector | |
| Consumer Discretionary Distribution & Retail | |
| EV/EBITDA, Industry | |
| Consumer Discretionary | |
Based on: 10-K (reporting date: 2024-02-03).
1 Click competitor name to see calculations.
If the company EV/EBITDA is lower then the EV/EBITDA of benchmark then company is relatively undervalued.
Otherwise, if the company EV/EBITDA is higher then the EV/EBITDA of benchmark then company is relatively overvalued.
Enterprise Value to EBITDA Ratio, Historical
GameStop Corp., historical EV/EBITDA calculation, comparison to benchmarks
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | Feb 2, 2019 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Enterprise value (EV)1 | |||||||
| Earnings before interest, tax, depreciation and amortization (EBITDA)2 | |||||||
| Valuation Ratio | |||||||
| EV/EBITDA3 | |||||||
| Benchmarks | |||||||
| EV/EBITDA, Competitors4 | |||||||
| Amazon.com Inc. | |||||||
| Home Depot Inc. | |||||||
| Lowe’s Cos. Inc. | |||||||
| TJX Cos. Inc. | |||||||
| EV/EBITDA, Sector | |||||||
| Consumer Discretionary Distribution & Retail | |||||||
| EV/EBITDA, Industry | |||||||
| Consumer Discretionary | |||||||
Based on: 10-K (reporting date: 2024-02-03), 10-K (reporting date: 2023-01-28), 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02).
3 2024 Calculation
EV/EBITDA = EV ÷ EBITDA
= ÷ =
4 Click competitor name to see calculations.
- Enterprise Value (EV) Trend
- Over the six-year period, the Enterprise Value exhibited substantial fluctuation. Initially, EV declined from approximately 231 million US dollars in early 2019 to around 194 million in early 2020. This downward trend was followed by a significant surge to nearly 12.57 billion by early 2021, representing a more than 60-fold increase from the prior year. Subsequently, the EV decreased markedly over the next three years, dropping to about 5.47 billion in early 2022, then slightly rising to 5.70 billion in early 2023, before falling sharply to approximately 3.57 billion by early 2024. This pattern indicates high volatility with a peak in 2021 followed by a pronounced contraction.
- EBITDA Performance
- Earnings before interest, taxes, depreciation, and amortization (EBITDA) demonstrated persistent negative values from 2019 through 2023, indicating operational losses during these periods. The losses decreased in magnitude from -569.4 million US dollars in 2019 to a smaller loss of -155.2 million in early 2021, suggesting some operational improvement until that point. However, the EBITDA deteriorated again in 2022 and 2023, recording losses of -291.3 million and -240.4 million respectively. Notably, in early 2024, EBITDA turned positive, reaching 69.3 million US dollars, which signals a possible turnaround in operational profitability.
- Valuation Multiples (EV/EBITDA)
- The EV to EBITDA ratio is available only for the latest period, valued at approximately 51.52. Given the prior negative EBITDA values, this ratio could not be reliably computed for earlier years. The high ratio in early 2024 reflects the combination of a positive but relatively modest EBITDA and an enterprise value in the few billion-dollar range, suggesting the market valuation remains elevated relative to operating earnings despite the recent improvement in EBITDA.
- Overall Analysis
- The data reveals significant volatility in enterprise valuation accompanied by prolonged net operational losses for the majority of the observed period. The peak in enterprise value in early 2021 corresponds with a period of reduced losses but does not translate into profitability until the latest year. The recent shift to positive EBITDA marks an important development, potentially indicating improved operational efficiency or favorable market conditions. However, the enterprise value has declined from its peak substantially, reflecting recalibrated market expectations. The elevated EV/EBITDA multiple at the latest date underscores a still pronounced valuation premium relative to earnings.