GameStop Corp (NYSE:GME) on Friday was featured during Jim Cramer's "Mad Dash" segment on CNBC following the company's quarterly results.
What Happened: GameStop reported fourth-quarter revenue of $2.25 billion, which beat the $2.22 billion estimate. The company reported a quarterly adjusted earnings loss of $1.86 per share, which was down from positive earnings of $1.34 per share year-over-year.
Related Link: GameStop Q4 Highlights: Earnings Plunge Year-Over-Year, Revenue Beats Street Estimates, NFT Marketplace Update
Cramer's Take: Cramer opened the segment by playing a short video clip of someone lighting money on fire.
"I think it's very representative of what to think about GameStop," he said of the video.
GameStop's revenue has been flat for the last three years. The company is using its large cash position to enter the NFT space, "which we know is so important," Cramer said sarcastically.
He acknowledged GameStop has cleaned up its balance sheet and hired individuals with blockchain and gaming experience. Cramer views the strategic hires as a positive. The company also added a couple of large gaming customers during the quarter, he noted.
GameStop didn't accept questions during the conference call, which Cramer suggested is a red flag.
He reiterated that the company is losing money and failing to increase revenue on a year-over-year basis.
"It could be worth like $25 [per share] if they get it right," Cramer said.
GME Price Action: GameStop has traded between $77.58 and $344.66 over a 52-week period.
The stock was up 1.17% at $88.73 at time of publication.
Photo: JJBers from Flickr.
