Is GameStop Worth More Than $10 A Share? Analyst Slams 'Shameful' Earnings Call

GameStop Corp (NYSE:GME) is trading lower after the company reported weak earnings results and failed to provide updates on its long-term transformation strategy.

GameStop failed to provide color on its financial results or its long-term plan and even refrained from taking questions, Loop Capital's Anthony Chukumba said Thursday on CNBC's "Squawk Box."

What Happened: GameStop reported a quarterly earnings loss of 76 cents per share, which came in below the estimate for a loss of 66 cents per share. The company reported quarterly revenue of $1.183 billion, which beat the estimate of $1.12 billion.

The lack of clarity on the conference call was astounding, Chukumba said: "It was shameful. It was disrespectful to their shareholders."

He was skeptical of Chewy Inc (NYSE:CHWY) founder Ryan Cohen's ability to turn the company around.

"At some point we are going to have to come to the realization that the emperor has no clothes. There's no strategy and there's no turning this business around," Chukumba said.

Co-host Andrew Ross Sorkin asked for his thoughts about the characterization of GameStop as a well-funded startup company.

Startups grow sales at an extremely fast rate and although those companies usually lose money, it's easy to see when they may become profitable, Chukumba said, adding that in terms of GameStop, those characteristics are nowhere to be found.

"To liken this to an internet startup is an insult to internet startups," he said.

Valuation: The current valuation is nonsensical, Chukumba said. GameStop's market cap was just below $15 billion at publication time.

Chukumba had a price target of $10 on the stock when he last covered it.

"I haven't covered the company for quite some time, but there's nothing to make me think that it's worth any more than [$10 per share]. For this stock to have a $15 billion valuation is the dumbest thing I've heard in quite some time," he said.

Following his comments on the widely popular stock, Sorkin smiled and told Chukumba to "stay safe."

GME Price Action: GameStop has traded as high as $483 and as low as $5.87 over a 52-week period.

The stock rose 0.2% to $199.18 on Thursday.