Atari SA (ALATA) AI Stock Analysis

• Market Cap: €84.49M
• Dividend Yield: N/A
• Average Volume (3M): 233.84K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.12
• Revenue Growth: 63.11%
• EPS Growth: 10.97%
• Country: FR
• Employees: 1
• Sector: Consumer Cyclical
• Sector Strength: 80
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): -0.01
• Shares Outstanding: 559,082,950
• 10 Day Avg. Volume: 282,052
• 30 Day Avg. Volume: 233,845
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 43 Neutral
• Price Target: €0.00 ▼(-100.00% Downside)

The overall stock score is primarily influenced by financial performance concerns, including negative equity and cash flow challenges. Technical analysis suggests neutral momentum, while valuation is weak due to a negative P/E ratio and no dividend yield. The absence of earnings call and corporate events data limits further insights.

Atari SA Business Overview & Revenue Model

Company Description

Atari SA operates as a multi-platform, interactive entertainment, and licensing products company worldwide. The company provides video games; monetization of video games through multiple channels, multimedia production, and licensing activities; Atari VCS videogame computer system; and Atari Blockchain, which develops and markets non-fungible tokens (NFTs) and develops ecosystem around the Atari Token. It owns and manages a portfolio of approximately 200 games and franchises under the Asteroids, Centipede, Missile Command, Pong, and RollerCoaster Tycoon brands. The company was formerly known as Infogrames Entertainment SA and changed its name to Atari SA in May 2009. Atari SA was founded in 1972 and is based in Paris, France.

How the Company Makes Money

Atari generates revenue through a diversified model that includes the sale of video games, licensing of its intellectual property, and partnerships with other companies in the gaming and entertainment industries. Key revenue streams consist of direct sales from both physical and digital game distributions, in-game purchases, and subscriptions for premium content. The company also benefits from licensing agreements that allow other developers to create games using its classic IP, generating royalties. Additionally, Atari is exploring new revenue opportunities in blockchain gaming and NFTs, aiming to capitalize on trends in digital collectibles and virtual assets, which could significantly enhance its financial performance.

Atari SA Financial Statement Overview

Summary

Atari SA shows strong revenue growth but struggles with profitability and financial stability. Negative net income, high leverage, and negative equity indicate potential solvency issues. Positive operating cash flow is overshadowed by negative free cash flow, highlighting cash flow challenges.

Income Statement

Atari SA has shown a significant revenue growth rate of 20.43% in the latest year, indicating a positive trend in sales. However, the company struggles with profitability, as evidenced by a negative net profit margin of -37.5% and an EBIT margin of -21.13%. The gross profit margin is relatively strong at 73.51%, suggesting efficient production or service delivery, but the high operating expenses are eroding profits.

Balance Sheet

The balance sheet reveals a concerning financial structure with a negative stockholders' equity, leading to an extremely high and negative debt-to-equity ratio of -28.27. This indicates potential solvency issues. Return on equity is positive at 6.60%, but this is due to the negative equity base rather than operational efficiency. The equity ratio is not calculable due to negative equity, highlighting financial instability.

Cash Flow

Cash flow analysis shows a mixed picture. Operating cash flow is positive at $8.8 million, which is a positive sign. However, free cash flow remains negative at -$8.1 million, indicating challenges in generating cash after capital expenditures. The operating cash flow to net income ratio is 0.40, suggesting some ability to convert income into cash, but the negative free cash flow to net income ratio of -0.92 highlights ongoing cash flow challenges.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	27.90M	33.60M	20.60M	10.10M	14.90M	18.90M
Gross Profit	6.05M	24.70M	1.10M	2.50M	7.90M	800.00K
EBITDA	10.30M	11.10M	1.00M	-3.10M	-19.20M	900.00K
Net Income	-15.20M	-12.60M	-13.50M	-9.50M	-23.80M	-11.90M
Balance Sheet
Total Assets	64.50M	77.10M	78.10M	25.20M	26.00M	40.40M
Cash, Cash Equivalents and Short-Term Investments	2.90M	3.50M	2.60M	1.70M	600.00K	2.50M
Total Debt	48.50M	54.00M	46.10M	9.30M	6.80M	1.90M
Total Liabilities	64.20M	79.01M	71.30M	17.40M	21.60M	16.20M
Stockholders Equity	300.00K	-1.91M	6.80M	7.80M	4.40M	24.20M
Cash Flow
Free Cash Flow	-9.40M	-8.10M	-21.20M	-14.10M	-10.00M	-9.30M
Operating Cash Flow	1.90M	8.80M	-4.30M	-8.30M	-5.80M	-4.60M
Investing Cash Flow	-17.10M	-18.60M	-31.20M	-5.60M	-4.30M	-3.10M
Financing Cash Flow	16.80M	9.30M	36.80M	14.70M	7.50M	7.80M

Atari SA Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.15
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:ALATA, the sentiment is Positive. The current price of 0.15 is above the 20-day moving average (MA) of 0.14, above the 50-day MA of 0.15, and above the 200-day MA of 0.14, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 56.74 is Neutral, neither overbought nor oversold. The STOCH value of 52.78 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:ALATA.

Atari SA Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$18.02B	12.77	-0.74%	3.01%	1.30%	-13.03%
ALATA	43 Neutral	€84.49M	―	-514.29%	―	63.11%	10.97%
0NVL	―	€1.15B	―	-8.66%	―	―	―
0HF	―	€180.47M	8.41	13.78%	―	―	―
GUL	―	€79.75M	68.78	1.17%	―	―	―
RFV	―	€11.63M	―	-74.48%	―	―	―
4AW	―	€86.79M	3.05	-0.49%	―	―	―