Bragg Gaming Group Inc. (TSE:BRAG) On The Verge Of Breaking Even
Bragg Gaming Group Inc. (TSE:BRAG) is possibly approaching a major achievement in its business, so we would like to shine some light on the company. Bragg Gaming Group Inc. operates as an online gaming and content supplier to the gaming industry worldwide. The CA$87m market-cap company’s loss lessened since it announced a €3.5m loss in the full financial year, compared to the latest trailing-twelve-month loss of €3.2m, as it approaches breakeven. The most pressing concern for investors is Bragg Gaming Group's path to profitability – when will it breakeven? In this article, we will touch on the expectations for the company's growth and when analysts expect it to become profitable.
See our latest analysis for Bragg Gaming Group
Bragg Gaming Group is bordering on breakeven, according to the 8 Canadian Hospitality analysts. They anticipate the company to incur a final loss in 2022, before generating positive profits of €429k in 2023. So, the company is predicted to breakeven approximately a year from now or less! We calculated the rate at which the company must grow to meet the consensus forecasts predicting breakeven within 12 months. It turns out an average annual growth rate of 76% is expected, which is rather optimistic! Should the business grow at a slower rate, it will become profitable at a later date than expected.
Underlying developments driving Bragg Gaming Group's growth isn’t the focus of this broad overview, though, take into account that by and large a high growth rate is not out of the ordinary, particularly when a company is in a period of investment.
Before we wrap up, there’s one aspect worth mentioning. The company has managed its capital prudently, with debt making up 7.9% of equity. This means that it has predominantly funded its operations from equity capital, and its low debt obligation reduces the risk around investing in the loss-making company.
Next Steps:
There are too many aspects of Bragg Gaming Group to cover in one brief article, but the key fundamentals for the company can all be found in one place – Bragg Gaming Group's company page on Simply Wall St. We've also put together a list of important aspects you should further research:
Valuation: What is Bragg Gaming Group worth today? Has the future growth potential already been factored into the price? The intrinsic value infographic in our free research report helps visualize whether Bragg Gaming Group is currently mispriced by the market.
Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Bragg Gaming Group’s board and the CEO’s background.
Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Join A Paid User Research Session
You’ll receive a US$30 Amazon Gift card for 1 hour of your time while helping us build better investing tools for the individual investors like yourself. Sign up here
