Allied Gaming & Entertainment (AGAE) AI Stock Analysis

• Market Cap: $21.88M
• Dividend Yield: N/A
• Average Volume (3M): 4.15M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.14
• Revenue Growth: 0.52%
• EPS Growth: -225.42%
• Country: US
• Employees: 73
• Sector: Communication Services
• Sector Strength: 97
• Industry: Entertainment
• EPS (TTM): -0.12
• Shares Outstanding: 38,018,883
• 10 Day Avg. Volume: 292,240
• 30 Day Avg. Volume: 4,151,712
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.40
• Price to Sales (P/S): 3.20
• P/FCF Ratio: -2.39
• Enterprise Value/Market Cap: 3.98
• Enterprise Value/Revenue: 10.56
• Enterprise Value/Gross Profit: 37.57
• Enterprise Value/Ebitda: -5.93
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 42 Neutral
• Price Target: $0.50 ▼(-10.71% Downside)

Allied Gaming & Entertainment's overall stock score is primarily impacted by its financial performance and technical analysis. The company faces significant profitability and cash flow challenges, which are reflected in its financial performance score. Technical analysis indicates bearish momentum with the stock being oversold. Valuation concerns are highlighted by a negative P/E ratio and lack of dividend yield, further weighing down the overall score.

Allied Gaming & Entertainment Business Overview & Revenue Model

Company Description

Allied Gaming & Entertainment Inc. provides entertainment and gaming products worldwide. It operates esports properties to connect players and fans through a network of connected arenas; a flagship gaming arena located at the Luxor Hotel in Las Vegas, Nevada; a mobile esports truck that serves as a battleground and content generation hub; and a studio for recording and streaming gaming events. The company was formerly known as Allied Esports Entertainment Inc. and changed its name to Allied Gaming & Entertainment Inc. in December 2022. Allied Gaming & Entertainment Inc. was founded in 2018 and is based in Irvine, California.

How the Company Makes Money

AGAE generates revenue through multiple streams, primarily from gaming operations, including revenue from casinos and gaming machines. The company also earns money by offering software solutions for casino management and through fees associated with hosting esports events and tournaments. Additionally, AGAE partners with various online gaming platforms to provide seamless betting experiences and share in the revenue generated from these partnerships. Advertising and sponsorship deals related to esports and gaming events further contribute to the company's earnings, leveraging its brand presence in the growing esports market.

Allied Gaming & Entertainment Financial Statement Overview

Summary

Allied Gaming & Entertainment shows significant revenue growth but struggles with profitability, as indicated by negative net profit margins and EBIT margins. The balance sheet is stable with low leverage, yet the company faces cash flow challenges with negative operating and free cash flows. Overall, the financial health is concerning due to ongoing losses and cash flow issues.

Income Statement

Allied Gaming & Entertainment has shown significant revenue growth, particularly in the TTM period, indicating strong top-line expansion. However, the company struggles with profitability, as evidenced by negative net profit margins and EBIT margins across all periods. The gross profit margin is extremely low in the TTM period, suggesting high cost of goods sold relative to revenue. Overall, while revenue growth is a positive sign, the lack of profitability and high operating losses are concerning.

Balance Sheet

The company's balance sheet shows a relatively low debt-to-equity ratio, indicating conservative leverage. However, the return on equity is negative, reflecting ongoing losses and inefficiencies in generating returns for shareholders. The equity ratio is stable, suggesting a solid capital structure, but the negative ROE highlights the need for improved profitability.

Cash Flow

Cash flow analysis reveals challenges, with negative operating and free cash flows in the TTM period. The free cash flow to net income ratio is slightly above 1, indicating that cash flows are not significantly worse than accounting profits. However, the operating cash flow to net income ratio is negative, highlighting cash flow issues. Despite some growth in free cash flow, the overall cash flow position remains weak.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.26M	9.08M	7.66M	6.35M	4.96M	3.21M
Gross Profit	2.32M	2.71M	2.86M	1.25M	880.79K	347.90K
EBITDA	-14.70M	-11.79M	-5.10M	-8.76M	-12.47M	-36.63M
Net Income	-20.90M	-16.76M	-3.44M	-10.82M	62.87M	-45.06M
Balance Sheet
Total Assets	108.58M	112.69M	112.02M	97.73M	105.80M	61.90M
Cash, Cash Equivalents and Short-Term Investments	59.98M	71.53M	72.82M	81.17M	92.89M	424.22K
Total Debt	40.80M	31.36M	16.27M	7.75M	0.00	4.91M
Total Liabilities	46.50M	35.71M	18.61M	9.83M	7.16M	28.49M
Stockholders Equity	57.55M	73.01M	82.75M	87.90M	98.65M	33.41M
Cash Flow
Free Cash Flow	-5.32B	-12.13M	-9.19M	-11.03M	-10.27M	-5.53M
Operating Cash Flow	-5.26B	-9.77M	-8.14M	-10.93M	-10.08M	-5.17M
Investing Cash Flow	-11.96M	23.81M	6.13M	-70.14M	105.86M	-5.51M
Financing Cash Flow	5.04M	23.93M	7.15M	-610.56K	-3.42M	9.16M

Allied Gaming & Entertainment Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.56
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AGAE, the sentiment is Negative. The current price of 0.56 is below the 20-day moving average (MA) of 0.68, below the 50-day MA of 0.87, and below the 200-day MA of 1.40, indicating a bearish trend. The MACD of -0.10 indicates Positive momentum. The RSI at 27.46 is Positive, neither overbought nor oversold. The STOCH value of 14.14 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AGAE.

Allied Gaming & Entertainment Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CNVS	62 Neutral	$49.53M	19.33	9.22%	―	77.07%	―
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
RDI	46 Neutral	$46.41M	―	―	―	7.59%	61.22%
AGAE	42 Neutral	$21.88M	-1.11	-30.92%	―	0.52%	-225.42%
HOFV	40 Underperform	$2.88M	-0.05	-72.74%	―	-17.54%	24.84%
TOON	40 Underperform	$38.06M	-1.55	-57.70%	―	14.09%	67.05%
LVO	39 Underperform	$59.67M	-2.49	―	―	-18.76%	-21.71%

Allied Gaming & Entertainment Corporate Events

Allied Gaming Secures Nasdaq Compliance After Appeal

Allied Gaming & Entertainment Inc. successfully appealed a Nasdaq delisting procedure by holding its combined 2024 and 2025 Annual Meeting of Stockholders on August 4, 2025. The Nasdaq Hearings Panel confirmed the company’s compliance with Listing Rule 5620(a) on September 2, 2025, closing the matter.

The most recent analyst rating on (AGAE) stock is a Hold with a $1.50 price target. To see the full list of analyst forecasts on Allied Gaming & Entertainment stock, see the AGAE Stock Forecast page.

Allied Gaming & Entertainment Inc. at Risk of Nasdaq Delisting Amid Compliance Issues

Allied Gaming & Entertainment Inc. faces a significant business risk due to its current non-compliance with Nasdaq’s continued listing requirements. The company received a notice from Nasdaq on June 18, 2025, regarding its failure to hold an annual shareholders’ meeting and issues with its Form 10-Q. Although the company has requested an appeal and a stay of suspension, the outcome of the hearing held on July 31, 2025, is still pending. If the decision is unfavorable, the company’s stock could be delisted, leading to reduced market liquidity, limited analyst coverage, and challenges in raising capital.

Allied Gaming & Entertainment Reports Q2 2025 Earnings

Allied Gaming & Entertainment Inc. operates as a public esports and entertainment company, focusing on esports events, casual mobile gaming, and entertainment venues. In its latest earnings report for the quarter ending June 30, 2025, Allied Gaming & Entertainment Inc. reported a decline in total revenues to $1.9 million from $2.6 million in the same period last year, reflecting challenges in its casual mobile gaming segment. Despite a slight increase in in-person revenues, the company experienced a net loss of $4.8 million, compared to a $3.8 million loss in the previous year, primarily due to increased general and administrative expenses. The company also saw a significant decrease in cash and cash equivalents, ending the period with $23.1 million compared to $59.2 million at the start of the year. Looking ahead, Allied Gaming & Entertainment Inc. remains focused on expanding its esports and entertainment offerings, with management optimistic about future growth opportunities despite current financial challenges.

Allied Gaming Approves Proposals at Annual Meeting

On August 4, 2025, Allied Gaming & Entertainment held its combined 2024 and 2025 Annual Meeting of Stockholders, where all company-recommended proposals were approved. The stockholders voted to approve executive compensation, the frequency of future advisory votes on executive compensation, and ratified the appointment of ZH CPA, LLC as the independent registered public accounting firm for the fiscal years ending December 31, 2024, and December 31, 2025. The company expressed gratitude for the stockholders’ support and is eager to advance its strategic growth initiatives for the remainder of 2025.