G5 Entertainment AB (G5EN) AI Stock Analysis

• Market Cap: $752.18M
• Dividend Yield: 8.88%
• Average Volume (3M): 19.19K
• Price to Earnings (P/E): 9.3
• Beta (1Y): 0.87
• Revenue Growth: -14.68%
• EPS Growth: -29.97%
• Country: SE
• Employees: 845
• Sector: Communication Services
• Sector Strength: 97
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): 2.00
• Shares Outstanding: 8,383,650
• 10 Day Avg. Volume: 17,432
• 30 Day Avg. Volume: 19,188
• 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: 0.80
• Enterprise Value/Revenue: 0.58
• Enterprise Value/Gross Profit: 0.84
• Enterprise Value/Ebitda: 5.39
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 74 Outperform
• Price Target: kr103.00 ▲(9.57% Upside)

G5 Entertainment AB's overall stock score reflects strong financial health and attractive valuation, with a low P/E ratio and high dividend yield. However, technical indicators suggest a bearish trend, and mixed earnings call sentiment highlights both growth opportunities and profitability challenges.

G5 Entertainment AB Business Overview & Revenue Model

Company Description

G5 Entertainment AB (publ) develops and publishes free-to-play games for smartphones, tablets, and personal computers in Sweden. Its primary portfolio of games includes Hidden City, Jewels of Rome, Sherlock, Jewels of the Wild West, Mahjong Journey, The Secret Society, Jewels of Egypt, Homicide Squad, Sheriff of Mahjong, and Match Town Makeover. The company distributes games through Apple App Store, Microsoft Store, Google Play, Amazon Appstore, and Mac App Store, as well as its proprietary store.G5 Entertainment AB (publ) was founded in 2001 and is headquartered in Stockholm, Sweden.

How the Company Makes Money

G5 Entertainment generates revenue primarily through in-game purchases, where players can buy virtual goods, currency, and other enhancements to enhance their gaming experience. Additionally, the company employs a freemium model, allowing users to download games for free while monetizing through optional purchases. Advertisements within their games also contribute to revenue, as G5 integrates advertising partnerships that provide income based on user engagement. Furthermore, G5 has established partnerships with various platforms and distribution channels, enhancing its visibility and accessibility to a larger audience, which in turn drives downloads and in-game spending.

G5 Entertainment AB Financial Statement Overview

Summary

G5 Entertainment AB demonstrates strong financial health with efficient cost management and a solid balance sheet. However, declining revenue and profit margins indicate challenges in sustaining growth and profitability. The company maintains strong cash flow generation, though careful cash management is essential to navigate potential headwinds.

Income Statement

G5 Entertainment AB shows a solid gross profit margin of 68.7% TTM, indicating efficient cost management. However, the net profit margin has declined to 8.5% TTM, reflecting reduced profitability. Revenue growth has been negative, with a 5.1% decline TTM, suggesting challenges in maintaining sales momentum. The EBIT and EBITDA margins have also decreased, indicating pressure on operational efficiency.

Balance Sheet

The company maintains a strong balance sheet with a negligible debt-to-equity ratio, highlighting low financial leverage. The return on equity is healthy at 17.7% TTM, though it has decreased from previous years, indicating a slight decline in shareholder returns. The equity ratio remains robust, showcasing a solid capital structure.

Cash Flow

Operating cash flow remains strong with a coverage ratio of 2.22 TTM, indicating good cash generation relative to net income. Free cash flow growth is positive at 7.5% TTM, reflecting improved cash management. However, the free cash flow to net income ratio has slightly decreased, suggesting a need for careful cash allocation.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.04B	1.13B	1.32B	1.40B	1.32B	1.36B
Gross Profit	722.34M	776.10M	892.37M	936.42M	810.45M	786.32M
EBITDA	112.13M	262.10M	294.70M	227.20M	227.45M	205.65M
Net Income	76.77M	118.97M	127.57M	66.95M	198.21M	167.27M
Balance Sheet
Total Assets	581.06M	666.71M	610.15M	657.88M	625.79M	593.19M
Cash, Cash Equivalents and Short-Term Investments	246.96M	275.54M	182.33M	185.49M	162.16M	188.41M
Total Debt	1.54M	1.80M	1.87M	2.86M	12.29M	6.38M
Total Liabilities	114.30M	112.39M	118.75M	158.15M	133.38M	161.38M
Stockholders Equity	466.75M	554.32M	491.40M	499.73M	492.41M	431.81M
Cash Flow
Free Cash Flow	137.39M	178.17M	130.85M	129.15M	188.41M	140.09M
Operating Cash Flow	235.33M	283.33M	241.16M	304.76M	360.63M	269.09M
Investing Cash Flow	-103.56M	-119.32M	-113.25M	-176.66M	-208.53M	-129.00M
Financing Cash Flow	-65.28M	-76.64M	-119.48M	-108.62M	-192.34M	-97.63M

G5 Entertainment AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 94.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:G5EN, the sentiment is Positive. The current price of 94 is above the 20-day moving average (MA) of 93.35, above the 50-day MA of 92.32, and below the 200-day MA of 106.63, indicating a neutral trend. The MACD of 0.16 indicates Negative momentum. The RSI at 55.43 is Neutral, neither overbought nor oversold. The STOCH value of 61.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:G5EN.

G5 Entertainment AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
G5EN	74 Outperform	$752.18M	9.34	12.65%	8.88%	-14.68%	-29.97%
EG7	64 Neutral	kr1.44B	-6.45	―	―	5.10%	-623.00%
Sector *	60 Neutral	$48.67B	4.58	-11.27%	4.14%	2.83%	-41.78%
MAGI	54 Neutral	kr233.15M	―	-3.04%	11.36%	-3.51%	-192.91%
GCOR	41 Neutral	kr165.80M	―	-541.56%	―	31.74%	21.54%
STAR.B	39 Underperform	$215.99M	-1.20	-22.68%	―	-68.13%	-229.75%

G5 Entertainment AB Corporate Events

G5 Entertainment Reports Q3 2025 Revenue Decline Amidst Growth in Direct Channel

G5 Entertainment AB reported a 15% decrease in revenue for Q3 2025 compared to the same period in 2024, with a gross margin increase to 71.2% due to a higher share of revenue from its direct-to-consumer channel. Despite a decline in EBIT by 45% and a reduction in average monthly active users by 17%, the G5 Store saw a 30% year-over-year gross revenue growth, indicating a shift in consumer purchasing behavior towards the company’s platform.

The most recent analyst rating on (SE:G5EN) stock is a Buy with a SEK105.00 price target. To see the full list of analyst forecasts on G5 Entertainment AB stock, see the SE:G5EN Stock Forecast page.

G5 Entertainment Appoints Nomination Committee for 2026 AGM

G5 Entertainment AB has appointed a Nomination Committee ahead of its 2026 Annual General Meeting, consisting of representatives from its five largest shareholders as of August 2025. This committee will play a crucial role in shaping the company’s governance by selecting board members, potentially impacting the company’s strategic direction and stakeholder interests.

The most recent analyst rating on (SE:G5EN) stock is a Buy with a SEK105.00 price target. To see the full list of analyst forecasts on G5 Entertainment AB stock, see the SE:G5EN Stock Forecast page.

G5 Entertainment to Announce Q3 2025 Financial Results

G5 Entertainment AB announced it will release its financial results for the third quarter of 2025 on November 5, 2025. The company will host a presentation for investors, analysts, and media, followed by a Q&A session, providing stakeholders an opportunity to engage with the company’s leadership and gain insights into its financial performance.

The most recent analyst rating on (SE:G5EN) stock is a Buy with a SEK102.00 price target. To see the full list of analyst forecasts on G5 Entertainment AB stock, see the SE:G5EN Stock Forecast page.

G5 Entertainment Reports Q2 2025 Earnings

G5 Entertainment AB is a Swedish company that develops and publishes high-quality free-to-play games for various platforms, including its own G5 Store, and is listed on Nasdaq Stockholm.

G5 Entertainment AB Reports Revenue Decline but Sees Growth in Direct Sales

G5 Entertainment AB reported a 20% decline in revenue for Q2 2025 compared to the same period in 2024, with a notable impact on their EBIT, which decreased by 74%. Despite these challenges, the company saw a growth in its G5 Store and an increase in gross margin due to a larger share of revenue from direct-to-consumer sales. The company continues to focus on user acquisition, which has slightly increased, and is working on expanding its third-party game offerings in the G5 Store.