Sony Just Dealt GameStop a Body Blow
There isn't much of a bull case for troubled video game retailer GameStop (NYSE: GME). The company was struggling mightily before the coronavirus pandemic as video game purchases shifted from physical discs to digital downloads. GameStop's lucrative used-games business, long a cash cow, has been in decline for years. With the company's stores now limited to curbside pickup, already tumbling sales will likely tumble further.
GameStop's sales will probably get a boost during the 2020 holiday season due to the scheduled launches of two new game consoles, the Xbox Series X from Microsoft and the PlayStation 5 from Sony (NYSE: SNE). Assuming GameStop's stores are open by then, the new consoles will drive traffic and sales of hardware, software, and accessories.
At this point, the bull case for GameStop is:
Source Fool.com
