Head-To-Head Comparison: GameStop (NYSE:GME) versus Bragg Gaming Group (NASDAQ:BRAG)

Bragg Gaming Group (NASDAQ:BRAGGet Free Report) and GameStop (NYSE:GMEGet Free Report) are both consumer discretionary companies, but which is the better investment? We will compare the two companies based on the strength of their risk, valuation, dividends, analyst recommendations, earnings, profitability and institutional ownership.

Profitability

This table compares Bragg Gaming Group and GameStop’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Bragg Gaming Group -7.08% -11.05% -7.32%
GameStop 11.08% 9.75% 5.80%

Analyst Ratings

This is a summary of current recommendations for Bragg Gaming Group and GameStop, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Bragg Gaming Group 1 4 1 0 2.00
GameStop 2 0 0 0 1.00

Bragg Gaming Group presently has a consensus target price of $7.00, suggesting a potential upside of 211.11%. GameStop has a consensus target price of $13.50, suggesting a potential downside of 36.06%. Given Bragg Gaming Group’s stronger consensus rating and higher possible upside, research analysts clearly believe Bragg Gaming Group is more favorable than GameStop.

Institutional and Insider Ownership

4.0% of Bragg Gaming Group shares are owned by institutional investors. Comparatively, 29.2% of GameStop shares are owned by institutional investors. 26.4% of Bragg Gaming Group shares are owned by company insiders. Comparatively, 8.6% of GameStop shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares Bragg Gaming Group and GameStop”s revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Bragg Gaming Group $110.38 million 0.51 -$5.57 million ($0.34) -6.62
GameStop $3.82 billion 2.47 $131.30 million $0.82 25.75

GameStop has higher revenue and earnings than Bragg Gaming Group. Bragg Gaming Group is trading at a lower price-to-earnings ratio than GameStop, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Bragg Gaming Group has a beta of 0.84, meaning that its share price is 16% less volatile than the S&P 500. Comparatively, GameStop has a beta of -1.23, meaning that its share price is 223% less volatile than the S&P 500.

Summary

GameStop beats Bragg Gaming Group on 9 of the 14 factors compared between the two stocks.

About Bragg Gaming Group

(Get Free Report)

Bragg Gaming Group Inc. provides business to business online gaming technology platform and casino content aggregator worldwide. The company offers a range of games, including slot, table, card, video bingo, scratch card, and virtual sports, as well as live dealer games. It also provides player account management platform, a multi-channel and cross-product that enables operators to manage the entire product suite using one shared account and one wallet for casino, lottery, sportsbook, and other operations; and Fuze, a single integrated platform that delivers third party gaming content. In addition, the company offers turnkey and managed services; and holds various content distribution rights through partnerships with selected third-party studios. It offers its products under the Wild Streak, Spin, Atomic Slot Lab, Indigo Magic, Oryx Gaming, iCasino, and sportsbook brands. The company was formerly known as Rockies Financial Corporation and as changed its name to Bragg Gaming Group Inc. in 2018. Bragg Gaming Group Inc. was incorporated in 2004 and is headquartered in Toronto, Canada.

About GameStop

(Get Free Report)

GameStop Corp., a specialty retailer, provides games and entertainment products through its stores and ecommerce platforms in the United States, Canada, Australia, and Europe. The company sells new and pre-owned gaming platforms; accessories, such as controllers, gaming headsets, and virtual reality products; new and pre-owned gaming software; and in-game digital currency, digital downloadable content, and full-game downloads. It sells collectibles comprising apparel, toys, trading cards, gadgets, and other retail products for pop culture and technology enthusiasts, as well as engages in the digital asset wallet and NFT marketplace activities. The company operates stores and ecommerce sites under the GameStop, EB Games, and Micromania brands; and pop culture themed stores that sell collectibles, apparel, gadgets, electronics, toys, and other retail products under the Zing Pop Culture brand, as well as offers Game Informer magazine, a print and digital gaming publication. The company was formerly known as GSC Holdings Corp. GameStop Corp. was founded in 1996 and is headquartered in Grapevine, Texas.

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