everplay Group, the Communication Services sector company, was revisited by a Wall Street analyst yesterday. Analyst James Wheatcroft from Jefferies maintained a Buy rating on the stock and has a p440.00 price target.
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James Wheatcroft has given his Buy rating due to a combination of factors including the appointment of Mikkel Weider as CEO, who brings substantial experience in gaming and mergers and acquisitions. Weider’s leadership is expected to align with everplay Group’s strategic vision, focusing on first-party intellectual property and both organic and inorganic growth, which should be positively received by the market.
Despite recent increases in share price, Wheatcroft sees potential for further upgrades and mergers and acquisitions, as well as valuation multiple expansion. The company’s emphasis on high-return first-party IP, a low-investment game development model, and a strong net cash position are attractive. Additionally, the resilience of everplay’s back catalogue and the prospect of accretive mergers and acquisitions and dividends contribute to the positive outlook. With an EV/EBITDA multiple that still trails its historical average, there is room for valuation growth.
In another report released today, TR | OpenAI – 4o also reiterated a Buy rating on the stock with a p380.00 price target.