Reviewing Gamehaus (NASDAQ:GMHS) and GameStop (NYSE:GME)

GameStop (NYSE:GME) and Gamehaus (NASDAQ:GMHS) are both consumer discretionary companies, but which is the superior investment? We will compare the two businesses based on the strength of their earnings, risk, dividends, profitability, analyst recommendations, institutional ownership and valuation.

Earnings and Valuation

This table compares GameStop and Gamehaus”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
GameStop	$3.63 billion	2.75	$418.40 million	$1.32	16.84
Gamehaus	$118.05 million	0.45	$3.96 million	$0.09	10.93

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

Insider & Institutional Ownership

29.2% of GameStop shares are held by institutional investors. Comparatively, 63.7% of Gamehaus shares are held by institutional investors. 9.5% of GameStop shares are held by insiders. Comparatively, 27.7% of Gamehaus shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current recommendations and price targets for GameStop and Gamehaus, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GameStop	1	1	0	0	1.50
Gamehaus	1	0	0	0	1.00

GameStop currently has a consensus price target of $13.50, suggesting a potential downside of 39.26%. Given GameStop’s stronger consensus rating and higher possible upside, equities analysts plainly believe GameStop is more favorable than Gamehaus.

Volatility & Risk

GameStop has a beta of 1.78, suggesting that its share price is 78% more volatile than the S&P 500. Comparatively, Gamehaus has a beta of 0.59, suggesting that its share price is 41% less volatile than the S&P 500.

Profitability

This table compares GameStop and Gamehaus’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GameStop	20.45%	14.10%	7.18%
Gamehaus	N/A	N/A	N/A

Summary

GameStop beats Gamehaus on 11 of the 13 factors compared between the two stocks.

About GameStop

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.

About Gamehaus

Gamehaus Holdings Inc. is a mobile game developer and publisher. Gamehaus Holdings Inc. is headquartered in Beijing, China.