NEW YORK (TheStreet) -- Shares of GameStop (GME) were tumbling 8.24% to $29.51 in after-hours trading on Thursday after reporting weaker-than-expected comparable-store sales for the 2016 second quarter.
After today's market close, the Grapevine, TX-based video game retailer said that same-store sales fell 10.6%, while analysts were anticipating a decline of between 4% and 7%, according to CNBC.
Revenue for the second quarter similarly missed estimates. Sales fell 7.4% year-over-year to $1.63 billion in the most recent period and fell short of analysts' projections of $1.72 billion.
Video-game sales were hurt by a lack of new titles, while hardware sales fell on "new information being released about upcoming new consoles," the company said in statement.
GameStop reported in-line earnings of 27 cents per share for the period.
For the third quarter, GameStop expects to report earnings between 53 and 58 cents per share, while analysts are looking for earnings of 53 cents per share. The company expects to report full-year earnings between $3.90 and $4.05 per share vs. estimates of $3.99 per share.
Separately, TheStreet Ratings team rates the stock as a "buy" with a ratings score of B-.
GameStop's strengths such as its attractive valuation levels and largely solid financial position with reasonable debt levels by most measures outweigh the fact that the company has had sub par growth in net income.
You can view the full analysis from the report here: GME
TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author.