% | $
Quotes you view appear here for quick access.

International Game Technology PLC Message Board

  • investora2z investora2z Nov 17, 2013 6:03 AM Flag

    SA articles

    An article on seekingalpha has given a target of $29.50 for the stock which indicates a significant upside potential from current levels. The author considers the recent correction a buying opportunity for the investors. The earnings were below analyst estimates, but a major reason for that was provisioning / adjustment needed to set aside more money for income taxes. Before this provisioning, the adjusted earnings per share from continuing operations was 22% higher. This indicates better operational performance. The company has performed consistently over the years, and the revenues and net income have grown at a decent pace. The trailing P/E is around 17, and the forward P/E is below 13. This indicates expectations of modest growth in earnings over the next few years. However, the deal with Caesars Entertainment (CZR) to supply it with 7,000 video poker terminals is yet to have its full impact on the financials. The social casino / gaming space has huge potential, and Double Down is likely to continue its good performance. As per reports, the social casino segment is expected to grow at a good pace over the next few years. The space is attracting competition, with big and small players like Caesars (CZR) and MGT Capital Investments (MGT) acquiring companies to enter the space. MGT acquired Avcom a few days ago. Double Down's online gaming revenue increased to $61 million (up 74%), and the average number of daily users increased by 20% to more than 1.6 million. The social revenues continued the fast paced growth (up 151% over the past year). The legalization of online gambling in more and more states will increase the potential, especially as more users access the internet using mobile devices. The repurchase program may continue to support the price, though the company needs to keep the leverage in check.

    SortNewest  |  Oldest  |  Most Replied Expand all replies
16.22+0.14(+0.87%)Oct 6 4:00 PMEDT