Bragg Gaming Group Inc, the Consumer Cyclical sector company, was revisited by a Wall Street analyst yesterday. Analyst Gianluca Tucci from Haywood reiterated a Buy rating on the stock and has a C$7.50 price target.
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Gianluca Tucci has given his Buy rating due to a combination of factors despite the challenges Bragg Gaming Group Inc is facing. The company reported lower-than-expected results for Q2/25 and adjusted its full-year guidance to reflect modest revenue growth, primarily due to difficulties in key markets like the Netherlands and Brazil. However, Bragg Gaming Group Inc has managed to achieve €2M in synergies, which is expected to enhance margins in the latter half of 2025.
The company is focusing on improving its margin and cash flow performance rather than pursuing aggressive revenue growth. Additionally, the anticipated closure of a senior secured revolving credit facility with a major Canadian bank is expected to provide financial flexibility. Although the outlook has been revised with a lower target price, the strategic focus on financial stability and operational efficiency underpins the Buy rating.
In another report released yesterday, Citizens JMP also maintained a Buy rating on the stock with a $4.00 price target.
Based on the recent corporate insider activity of 15 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of BRAG in relation to earlier this year.