PLAYSTUDIOS (MYPS) AI Stock Analysis

• Market Cap: $120.54M
• Dividend Yield: N/A
• Average Volume (3M): 237.18K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.02
• Revenue Growth: -13.95%
• EPS Growth: -75.02%
• Country: US
• Employees: 556
• Sector: Communication Services
• Sector Strength: 96
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): -0.02
• Shares Outstanding: 108,888,040
• 10 Day Avg. Volume: 204,307
• 30 Day Avg. Volume: 237,175
• 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: 0.50
• Enterprise Value/Revenue: 0.22
• Enterprise Value/Gross Profit: 0.30
• Enterprise Value/Ebitda: 1.69
• 1Y Price Target: $1.50
• Price Target Upside: 56.25% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 52 Neutral
• Price Target: $1.00 ▲(4.17% Upside)

The overall stock score of 52 reflects significant challenges in financial performance and technical analysis, with declining revenues and bearish market indicators. While there are promising strategic initiatives and a strong cash position, these are not enough to offset the current operational inefficiencies and market pressures.

Positive Factors

Direct-to-Consumer Strategy

PLAYSTUDIOS continues to benefit from early traction in direct-to-consumer monetization and disciplined cost execution through its Reinvention plan.

Financial Flexibility

The company is actively buying back stock and maintains a strong balance sheet with $107M in cash, no debt, and $20M in free cash flow generated.

Strategic Differentiation

The strategic differentiation of PLAYSTUDIOS' loyalty-powered ecosystem, underpinned by the playAWARDS platform, continues to be highlighted.

Negative Factors

Execution Risk

Execution risk remains elevated, particularly given rising cash needs, declining legacy engagement, and mixed macro trends.

Market Pressure

Top-line trends remain pressured by significant declines across both social casino and casual game portfolios, driven by lower daily and monthly active users and muted user acquisition spend.

Revenue and Profitability Concerns

FY 2025 guidance was below consensus, particularly on profitability, raising concerns about near-term margin expansion and cash generation.

PLAYSTUDIOS Business Overview & Revenue Model

Company Description

PLAYSTUDIOS, Inc. develops and publishes free-to-play casual games for mobile and social platforms in the United States, North America, and internationally. The company is headquartered in Las Vegas, Nevada.

How the Company Makes Money

PLAYSTUDIOS generates revenue primarily through in-app purchases and advertising within its games. Players can purchase virtual currency, which is used to enhance gameplay or accelerate progress within the games. Additionally, the company's loyalty platform serves as a significant revenue stream, as it partners with various businesses to offer rewards. These partnerships not only enhance the value proposition for players but also create promotional opportunities for partner brands, potentially leading to shared revenue models or marketing fees. The company's focus on creating engaging games with real-world rewards has established a distinctive niche in the gaming market.

PLAYSTUDIOS Financial Statement Overview

Summary

PLAYSTUDIOS faces revenue decline and profitability challenges, as evidenced by negative net profit margins and EBIT. The balance sheet remains strong with low debt and high equity, but cash flow issues, particularly the reduction in free cash flow, pose concerns. The company should focus on improving operational efficiency and stabilizing revenue to enhance its financial performance.

Income Statement

The company's revenue has been declining over recent periods, with a TTM revenue of $274.31 million compared to $289.43 million in the previous year. Both gross profit margin and net profit margin have been negative, indicating challenges in converting revenue into profit. Despite a positive EBITDA margin, persistent negative EBIT suggests ongoing operational inefficiencies.

Balance Sheet

The balance sheet shows a healthy equity position with an equity ratio of 77.8%. The company has maintained low levels of debt, resulting in a low debt-to-equity ratio. However, declining total assets and equity year-over-year highlight potential concerns about asset management or investment strategy.

Cash Flow

Operating cash flow remains positive, indicating the company's core operations are generating cash. However, free cash flow has decreased from $41.76 million to $24.41 million in the TTM, suggesting increased capital expenditure or reduced cash generation from operations. The free cash flow to net income ratio is positive, but net income itself is negative, which may obscure the true cash flow health.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	274.31M	289.43M	310.89M	290.31M	287.42M	269.88M
Gross Profit	204.77M	216.71M	233.09M	204.91M	195.78M	178.41M
EBITDA	36.01M	38.29M	43.36M	20.50M	27.49M	33.47M
Net Income	-31.00M	-28.69M	-19.39M	-17.78M	10.74M	12.81M
Balance Sheet
Total Assets	313.77M	322.95M	366.32M	352.01M	334.84M	134.46M
Cash, Cash Equivalents and Short-Term Investments	107.10M	109.18M	132.89M	134.00M	213.50M	48.93M
Total Debt	9.03M	10.06M	9.94M	16.23M	0.00	0.00
Total Liabilities	69.69M	78.24M	77.97M	49.70M	31.38M	38.38M
Stockholders Equity	244.08M	244.72M	288.35M	302.31M	303.47M	96.08M
Cash Flow
Free Cash Flow	24.41M	41.76M	19.25M	4.00K	-7.02M	21.40M
Operating Cash Flow	44.04M	45.74M	51.72M	33.38M	33.88M	48.40M
Investing Cash Flow	-23.38M	-26.29M	-32.31M	-102.35M	-56.94M	-27.00M
Financing Cash Flow	-40.11M	-41.91M	-20.18M	-9.57M	186.89M	-3.63M

PLAYSTUDIOS Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.96
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MYPS, the sentiment is Negative. The current price of 0.96 is below the 20-day moving average (MA) of 0.99, below the 50-day MA of 1.13, and below the 200-day MA of 1.48, indicating a bearish trend. The MACD of -0.05 indicates Negative momentum. The RSI at 38.79 is Neutral, neither overbought nor oversold. The STOCH value of 14.41 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for MYPS.

PLAYSTUDIOS Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DDI	75 Outperform	$480.67M	4.51	12.05%	―	0.51%	-8.46%
GDEV	64 Neutral	$281.56M	7.32		21.09%	-5.57%	―
Sector *	60 Neutral	$46.28B	4.13	-13.12%	4.13%	1.85%	-42.71%
PLTK	59 Neutral	$1.38B	15.92	-220.61%	10.75%	4.98%	-60.29%
SKLZ	53 Neutral	$155.37M	―	-40.15%	―	-18.41%	-61.67%
MYPS	52 Neutral	$120.54M	―	-12.32%	―	-13.95%	-75.02%
NCTY	―	$112.92M	3.07	-22.85%	―	―	―

PLAYSTUDIOS Corporate Events

PLAYSTUDIOS Annual Meeting Approves Key Proposals

On May 28, 2025, PLAYSTUDIOS held its Annual Meeting where stockholders voted on two key proposals. The first proposal involved the election of five directors to the board for a one-year term, and the second proposal was to ratify Deloitte & Touche LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2025. Both proposals were approved, with all director nominees elected and the appointment of Deloitte ratified, indicating strong shareholder support for the company’s governance and financial oversight.