Playags (AGS) AI Stock Analysis

• Market Cap: $518.40M
• Dividend Yield: N/A
• Average Volume (3M): 473.21K
• Price to Earnings (P/E): 10.9
• Beta (1Y): 0.34
• Revenue Growth: 6.60%
• EPS Growth: 778.46%
• Country: US
• Employees: 916
• Sector: Consumer Cyclical
• Sector Strength: 61
• Industry: Gambling, Resorts & Casinos
• EPS (TTM): 1.08
• Shares Outstanding: 35,442,000
• 10 Day Avg. Volume: 575,958
• 30 Day Avg. Volume: 473,210
• PEG Ratio: 0.37
• Price to Book (P/B): 3.85
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 22.44
• Enterprise Value/Market Cap: 1.39
• Enterprise Value/Revenue: 0.46
• Enterprise Value/Gross Profit: 2.81
• Enterprise Value/Ebitda: 1.23
• 1Y Price Target: $12.50
• Price Target Upside: 0.08% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 68 Neutral
• Price Target: $13.50 ▲(8.09%Upside)

Playags' overall score is driven by its strong financial performance and the positive impact of the recent acquisition by Brightstar Capital. The bullish technical indicators contribute positively, but caution is advised due to potential near-term pullbacks. The reasonable valuation supports the stock's attractiveness, while the high debt levels remain a risk factor.

Playags Business Overview & Revenue Model

Company Description

PlayAGS (AGS) is a leading designer and supplier of gaming products and services for the casino industry. The company operates in three primary segments: Electronic Gaming Machines (EGMs), Table Products, and Interactive Solutions. PlayAGS provides a diverse range of gaming products, including slot machines, table games, and mobile gaming solutions, aimed at enhancing the gaming experience for players while driving revenue growth for casino operators.

How the Company Makes Money

PlayAGS generates revenue through the sale, lease, and maintenance of its gaming products and services. The majority of its revenue comes from the Electronic Gaming Machines (EGMs) segment, where it sells and leases slot machines and related gaming products to casinos. Additionally, the company earns revenue from its Table Products segment by providing a variety of table games, progressive systems, and side bets. The Interactive Solutions segment also contributes to earnings by offering mobile and online gaming products, which are increasingly significant as digital gaming continues to grow. PlayAGS often partners with casino operators to deploy its gaming solutions, and these partnerships are crucial for expanding its market reach and enhancing revenue streams.

Playags Financial Statement Overview

Summary

Playags demonstrates a strong recovery and growth trajectory, with significant improvements in profitability and cash flow generation. The company has effectively increased its profitability margins and maintained positive cash flows. However, the high level of debt is a concern, which requires careful management to sustain financial health in the long term.

Income Statement

Playags shows strong profitability with improving margins over time. The gross profit margin is robust, and the net profit margin has improved significantly in recent years, moving from negative to positive, which indicates a strong recovery and growth in profitability. Revenue growth has been steady, although it slowed in the most recent TTM period. EBIT and EBITDA margins remain healthy, supporting overall profitability.

Balance Sheet

The company's debt-to-equity ratio is high, indicating significant leverage, a common trait in the gambling and resort industry. However, the return on equity has improved as profitability has increased, demonstrating effective use of equity. The equity ratio is on the lower side, suggesting a higher reliance on debt. Overall, while the company is heavily leveraged, it is managing its equity efficiently, but the high debt remains a risk factor.

Cash Flow

Operating cash flows have been consistently positive and growing, which is a strong indicator of financial health. The free cash flow has also seen growth, although it fluctuates due to capital expenditures. The operating cash flow to net income ratio is strong, reflecting a good conversion of earnings into cash. Despite the positive cash flow trends, the company's reliance on debt financing poses a risk.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	393.72M	394.87M	356.54M	309.44M	259.70M	167.01M
Gross Profit	256.24M	276.80M	251.41M	222.76M	196.49M	118.13M
EBITDA	150.35M	151.49M	142.31M	105.86M	93.52M	36.40M
Net Income	50.51M	51.65M	428.00K	-8.04M	-22.57M	-85.38M
Balance Sheet
Total Assets	709.68M	709.59M	680.34M	684.75M	732.81M	740.78M
Cash, Cash Equivalents and Short-Term Investments	39.48M	38.31M	50.94M	37.89M	94.98M	81.69M
Total Debt	544.74M	546.39M	564.98M	566.55M	620.17M	618.09M
Total Liabilities	592.31M	596.86M	612.67M	635.39M	691.24M	687.00M
Stockholders Equity	117.38M	112.73M	67.67M	49.36M	41.57M	53.78M
Cash Flow
Free Cash Flow	24.92M	54.10M	24.28M	8.47M	26.80M	458.00K
Operating Cash Flow	101.48M	101.25M	86.20M	77.71M	78.33M	36.17M
Investing Cash Flow	-76.24M	-71.69M	-58.82M	-72.09M	-50.14M	-39.28M
Financing Cash Flow	-17.32M	-33.56M	-14.18M	-62.72M	-14.90M	71.64M

Playags Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 12.49
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AGS, the sentiment is Positive. The current price of 12.49 is above the 20-day moving average (MA) of 12.41, above the 50-day MA of 12.27, and above the 200-day MA of 11.90, indicating a bullish trend. The MACD of 0.06 indicates Negative momentum. The RSI at 79.41 is Negative, neither overbought nor oversold. The STOCH value of 86.03 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AGS.

Playags Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GAMB	78 Outperform	$431.51M	12.47	25.73%	―	24.67%	91.06%
ACEL	76 Outperform	$1.03B	24.47	18.42%	―	6.28%	-1.99%
AGS	68 Neutral	$518.40M	10.86	49.64%	―	6.60%	778.46%
Sector *	67 Neutral	¥252.23B	13.18	6.50%	2.78%	5.06%	-11.83%
CDRO	65 Neutral	$386.58M	―		―	―	―
FLL	54 Neutral	$150.38M	―	-79.70%	―	13.92%	-54.82%

Playags Corporate Events

Brightstar Capital Completes Acquisition of PlayAGS

On June 30, 2025, Brightstar Capital Partners completed its acquisition of PlayAGS, Inc. for approximately $1.1 billion, following stockholder and regulatory approvals. This acquisition marks AGS’s transition to a privately held company, with its stock being delisted from the NYSE. The move comes as AGS has experienced significant growth, doubling its global slot unit sales and increasing its online gaming and table products revenue over the past three years. With Brightstar as a strategic partner, AGS aims to accelerate growth and innovation in its product offerings, enhancing its ability to serve casino operators globally.

The most recent analyst rating on (AGS) stock is a Hold with a $12.50 price target. To see the full list of analyst forecasts on Playags stock, see the AGS Stock Forecast page.