GameStop Corp. (NYSE:GME) stock is trading higher on Wednesday after the retailer reported better-than-expected second-quarter sales results on Tuesday.

The company posted second-quarter revenue of $790.20 million, topping the analyst consensus estimate of $756.85 million. Adjusted earnings reached 27 cents per share, meeting Wall Street estimates.

The Nasdaq is down 0.45% while the S&P 500 has shed 0.58% and Consumer Discretionary is lower by 1.3%.

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Top-Line Revenue Trends

Total revenue declined 18.72% year-over-year. Management attributed the lower revenue comparison to the prior-year launch of Nintendo Switch 2, planned store closures, and the divestiture of operations in France.

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Segment Sales Performance

Reporting net sales across three categories starting this quarter, Collectibles generated $356.3 million, up from $227.6 million year-over-year.

Video Games revenue totaled $263.2 million compared to $494.6 million, while Pre-Owned and Refurbished sales generated $170.7 million, down from $250 million.

Collectibles grew 57% year-over-year, accounting for 45.1% of total net sales.

Operating income hit $160.2 million, marking the highest second-quarter operating income in company history.

Following the quarter, GameStop raised its fiscal 2026 adjusted EBITDA outlook to "in excess" of $650 million, up from its previous projection of more than $600 million.

Technical Analysis

At $19.91, GME is trading 7.5% above its 20-day SMA ($18.50), but it’s still trading 1.4% below its 50-day SMA ($20.17) and 10.3% below its 200-day SMA ($22.17), so the bigger-picture trend is still pressured. The 20-day SMA remains below the 50-day SMA, and the death cross that formed in June (50-day below the 200-day) keeps the intermediate trend biased lower until price can reclaim those longer averages.

  • Key Resistance: $23 — a round-number area sitting near the longer moving averages where rebounds can stall
  • Key Support: $18 — a nearby floor close to the recent low zone and just under the 20-day trend area

GME Stock Price Activity: GameStop shares were up 5.43% at $19.10 at the time of publication on Wednesday, according to Benzinga Pro data.

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Photo: Jonathan Weiss / Shutterstock