Playtika Holding (PLTK) AI Stock Analysis

• Market Cap: $1.40B
• Dividend Yield: 10.75%
• Average Volume (3M): 2.31M
• Price to Earnings (P/E): 16.5
• Beta (1Y): 0.99
• Revenue Growth: 4.98%
• EPS Growth: -60.29%
• Country: US
• Employees: 3,500
• Sector: Communication Services
• Sector Strength: 97
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): 0.09
• Shares Outstanding: 375,796,970
• 10 Day Avg. Volume: 1,536,106
• 30 Day Avg. Volume: 2,306,997
• PEG Ratio: -0.51
• Price to Book (P/B): -19.68
• Price to Sales (P/S): 1.01
• P/FCF Ratio: 5.74
• Enterprise Value/Market Cap: 2.65
• Enterprise Value/Revenue: 1.39
• Enterprise Value/Gross Profit: 1.92
• Enterprise Value/Ebitda: 7.09
• 1Y Price Target: $7.36
• Price Target Upside: 93.68% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 63 Neutral
• Price Target: $4.00 ▲(5.26% Upside)

Playtika's overall stock score reflects a balance of moderate financial performance, mixed technical indicators, and reasonable valuation. The company's strong cash flow generation and attractive dividend yield are significant positives. However, high financial leverage and declining profitability pose risks. The earnings call provided a balanced view of achievements and challenges, leading to a cautious outlook.

Positive Factors

Revenue Growth

The 11% YoY revenue growth indicates effective execution of Playtika's M&A strategy, showcasing the company's ability to expand its market reach and enhance its product offerings, which is crucial for long-term growth.

Direct-to-Consumer Strategy

Raising the D2C revenue target reflects a strategic shift to enhance profitability and cash flow sustainability, reducing reliance on third-party platforms and improving customer engagement.

Cash Flow Generation

The positive free cash flow growth rate underscores Playtika's strong cash generation capabilities, providing financial flexibility to invest in growth opportunities and manage debt obligations effectively.

Negative Factors

High Financial Leverage

High financial leverage poses a risk to Playtika's financial stability, potentially limiting its ability to invest in growth and increasing vulnerability to economic downturns.

Declining Profitability

The decline in net profit margin indicates challenges in maintaining profitability, which could impact the company's ability to reinvest in its business and sustain long-term growth.

Slotomania Revenue Decline

The significant decline in Slotomania's revenue highlights challenges in maintaining player engagement and monetization, potentially affecting overall revenue and market position.

Playtika Holding Business Overview & Revenue Model

Company Description

Playtika Holding Corp. is a leading mobile gaming company known for its innovative social casino games. Founded in 2010 and headquartered in Herzliya, Israel, Playtika operates in the digital entertainment sector, primarily focusing on the development and publishing of free-to-play games. Its portfolio includes popular titles such as Slotomania, WSOP: Texas Holdem Poker, and Bingo Blitz, which leverage social interactions and in-game purchases to enhance player engagement and monetization.

How the Company Makes Money

Playtika primarily generates revenue through in-game purchases and microtransactions within its games, allowing players to buy virtual goods and enhancements to improve their gaming experience. The free-to-play model attracts a large user base, with monetization strategies that include selling virtual currency, premium items, and seasonal content. Additionally, Playtika benefits from advertising revenue through in-game ads and partnerships with advertisers looking to reach its extensive player audience. The company also engages in strategic partnerships and collaborations with other gaming and technology companies, which can provide additional revenue streams and enhance its market presence.

Playtika Holding Financial Statement Overview

Summary

Playtika Holding shows moderate revenue growth and strong gross profit margins, but faces challenges with declining net profitability and high financial leverage. The balance sheet reflects significant debt levels, posing potential financial risks. However, the company shows strength in cash flow generation, which could support future growth and debt servicing.

Income Statement

Playtika Holding shows a steady revenue growth rate of 2.65% in the TTM period, indicating moderate growth potential. However, the net profit margin has decreased to 3.23% from 6.36% in the previous year, suggesting declining profitability. The gross profit margin remains strong at 72.31%, reflecting efficient cost management. EBIT and EBITDA margins have also decreased, indicating potential challenges in operational efficiency.

Balance Sheet

The company's balance sheet reveals significant financial leverage with a negative debt-to-equity ratio of -28.76, highlighting high debt levels relative to equity. The negative return on equity indicates challenges in generating returns for shareholders. The equity ratio is also negative, reflecting a capital structure heavily reliant on debt, which poses financial risk.

Cash Flow

Cash flow analysis shows a positive free cash flow growth rate of 3.64%, indicating improved cash generation capabilities. The operating cash flow to net income ratio is 0.72, suggesting a reasonable conversion of income into cash. The free cash flow to net income ratio of 0.89 indicates that the company is generating substantial cash relative to its net income, which is a positive sign.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.67B	2.55B	2.57B	2.62B	2.58B	2.37B
Gross Profit	1.93B	1.86B	1.85B	1.88B	1.85B	1.66B
EBITDA	523.20M	603.00M	703.60M	640.30M	703.10M	511.90M
Net Income	86.40M	162.20M	235.00M	275.30M	308.50M	92.10M
Balance Sheet
Total Assets	3.64B	3.64B	3.17B	2.70B	2.80B	1.78B
Cash, Cash Equivalents and Short-Term Investments	593.60M	565.80M	1.03B	768.70M	1.12B	520.10M
Total Debt	2.53B	2.50B	2.52B	2.53B	2.53B	2.40B
Total Liabilities	3.72B	3.77B	3.40B	3.27B	3.18B	3.02B
Stockholders Equity	-87.80M	-131.10M	-221.50M	-568.60M	-377.70M	-1.24B
Cash Flow
Free Cash Flow	430.30M	449.20M	483.00M	383.70M	452.10M	419.60M
Operating Cash Flow	474.90M	490.10M	515.60M	493.70M	551.70M	517.70M
Investing Cash Flow	-468.20M	-782.10M	-240.20M	-74.60M	-609.40M	-98.10M
Financing Cash Flow	-215.50M	-167.10M	-18.20M	-652.00M	559.70M	-181.30M

Playtika Holding Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 3.80
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PLTK, the sentiment is Neutral. The current price of 3.8 is above the 20-day moving average (MA) of 3.62, above the 50-day MA of 3.59, and below the 200-day MA of 4.64, indicating a neutral trend. The MACD of 0.02 indicates Negative momentum. The RSI at 59.58 is Neutral, neither overbought nor oversold. The STOCH value of 91.16 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for PLTK.

Playtika Holding Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DDI	―	$451.93M	4.25	12.05%	―	0.51%	-8.46%
PLTK	―	$1.40B	16.49	―	10.75%	4.98%	-60.29%
GDEV	―	$403.67M	10.38	―	13.66%	―	―
Sector *	―	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
GMGI	―	$141.73M	―	-8.87%	―	97.84%	-268.53%
MYPS	―	$119.08M	―	-12.32%	―	-13.95%	-75.02%
SKLZ	―	$130.04M	―	-40.15%	―	-18.41%	-61.67%

Playtika Holding Corporate Events

Playtika Appoints New Chief Accounting Officer

On October 8, 2025, Playtika Holding Corp. announced the appointment of Erez Hershkovitz as the Vice President and Chief Accounting Officer. Hershkovitz brings extensive experience from his previous roles as CFO at Au10tix Ltd and Voyager Labs Ltd, and various finance roles at Check Point Software Technologies Ltd. This strategic appointment is expected to strengthen Playtika’s financial leadership, with Hershkovitz’s background in accounting and finance likely to enhance the company’s operational efficiency and industry positioning.

The most recent analyst rating on (PLTK) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on Playtika Holding stock, see the PLTK Stock Forecast page.

Playtika’s Mixed Earnings Call: Successes and Challenges

Playtika’s recent earnings call painted a picture of mixed sentiment, with notable successes and challenges. The company celebrated the successful launch of Disney Solitaire and the robust performance of Bingo Blitz, while grappling with a significant decline in Slotomania revenue and rising operating expenses. Despite these hurdles, Playtika’s strategic focus on increasing direct-to-consumer (D2C) revenue and exploring new growth avenues offers a promising outlook, even as immediate financial pressures loom large.

Playtika Holding Corp. Reports Mixed Q2 2025 Results

Playtika Holding Corp., a leader in mobile gaming entertainment and technology, is known for its diverse portfolio of free-to-play social games available on social networks and mobile platforms. Headquartered in Herzliya, Israel, the company continues to expand its global presence with a mission to entertain the world through innovative gaming experiences.