GameStop Earnings Disappoint as Meme Stock Struggles to Adapt

On September 9, 2025, GameStop is scheduled to release its Q2 earnings after the market close in the US. The meme stock, which has seen significant volatility in recent years, is forecast to report earnings per share (EPS) of $0.19 on revenue of $900 million. This represents a decline from previous quarters, as the company continues to face ongoing pressure in the retail space.

The GameStop stock has declined 28% year-to-date, with weakness in the core business and other firm-specific risks, including concerns over the company's strategy to grow into digital assets and other revenue streams. GameStop is also pivoting towards Bitcoin in an attempt to copy the success of other firms, which has added to unease among investors. The market will be closely watching to see whether the company can maintain profitability as it shifts away from physical game sales to digital alternatives.

Elsewhere, software giant Adobe is set to release its Q3 2025 earnings on September 11. The company is expected to report EPS of $5.18, up 11.4% from a year ago, on revenue of $5.91 billion, up 9% from the previous year. However, Adobe's stock has underperformed the broader market, declining 22% year-to-date, due to increased competition from AI-driven platforms and slow progress in monetizing its new tools. Some analysts remain hopeful, citing steady demand for Adobe's creative tools and potential growth from new products.

Additionally, Primark owner Associated British Foods (ABF) is scheduled to release a trading update on September 10, ahead of its full-year results in early November. A modest improvement in profits is expected from Primark and the Ingredients division, while the Grocery and Agriculture segments are set to post lower earnings. The company's Sugar division, which accounts for around 11% of group sales, faces challenges amid lower European sugar prices and the loss of its UK bio ethanol business.