Bragg Gaming Group Inc (BRAG) AI Stock Analysis

• Market Cap: C$79.15M
• Dividend Yield: N/A
• Average Volume (3M): 16.25K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.50
• Revenue Growth: 12.57%
• EPS Growth: -40.95%
• Country: CA
• Employees: 502
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Electronic Gaming & Multimedia
• EPS (TTM): -0.15
• Shares Outstanding: 25,449,478
• 10 Day Avg. Volume: 9,269
• 30 Day Avg. Volume: 16,252
• PEG Ratio: -0.70
• Price to Book (P/B): 1.15
• Price to Sales (P/S): 0.83
• P/FCF Ratio: -42.06
• 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: C$9.26
• Price Target Upside: 201.63% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 58 Neutral
• Price Target: C$3.00 ▼(-2.28% Downside)

Bragg Gaming Group's overall score is primarily influenced by strong revenue growth and strategic expansion efforts. However, profitability challenges and a negative valuation score weigh heavily on the stock's attractiveness. Technical indicators suggest a bearish trend, while recent corporate events and positive earnings call sentiment provide some optimism.

Positive Factors

Revenue Growth

Strong revenue growth in key markets like the U.S. and Brazil highlights Bragg's expanding market reach and successful market penetration, indicating potential for sustained future growth.

Diversification Strategy

The successful diversification strategy reduces dependency on any single market, enhancing resilience and providing a stable revenue base across multiple regions.

Credit Facility

The new credit facility strengthens Bragg's financial position by improving liquidity and reducing borrowing costs, supporting future growth and operational flexibility.

Negative Factors

Profitability Challenges

Ongoing profitability challenges suggest difficulties in cost management and operational efficiency, which could hinder long-term financial health and shareholder returns.

Revenue Decline in the Netherlands

Regulatory changes leading to revenue decline in the Netherlands highlight risks associated with regulatory environments, potentially impacting overall revenue stability.

Cash Flow Volatility

Significant volatility in free cash flow indicates potential challenges in maintaining consistent cash generation, which could affect investment capacity and financial stability.

Bragg Gaming Group Inc Business Overview & Revenue Model

Company Description

Bragg Gaming Group Inc. operates as a technology and content supplier to the gaming industry worldwide. The company provides business-to-business online gaming solutions. It offers a range of games, including slot, table, card, video bingo, scratch card, and live dealer games, as well as virtual sports. The company also provides managed operational and marketing services to its iGaming operator customers to complete its turnkey gaming solution. It offers proprietary third-party gaming content, which delivers through a single integrated platform. The company also holds various content distribution rights through partnerships with selected third-party studios. Bragg Gaming Group Inc. is headquartered in Toronto, Canada.

How the Company Makes Money

Bragg Gaming Group generates revenue primarily through the licensing of its gaming software and content to online gaming operators. The company earns fees based on a percentage of the gaming revenue generated by its clients, which is known as a revenue-sharing model. Additionally, Bragg may charge upfront licensing fees for the use of its proprietary platform and games. The company has established significant partnerships with various online casinos and gaming operators, which enhance its market reach and contribute to its earnings. These partnerships allow Bragg to expand its distribution network and leverage its technology across different markets, thereby increasing its revenue potential.

Bragg Gaming Group Inc Financial Statement Overview

Summary

Bragg Gaming Group Inc shows revenue growth and a strong equity position with low leverage. However, profitability and cash flow stability are concerns, with negative profit margins and return on equity indicating challenges in operational efficiency and cost management.

Income Statement

Bragg Gaming Group Inc has shown a consistent increase in revenue over the years, with a TTM revenue growth rate of 1.175%. However, the company is struggling with profitability, as evidenced by negative net profit margins and EBIT margins. The gross profit margin remains healthy at 54.44% for TTM, indicating efficient cost management at the gross level, but the negative EBIT and net profit margins highlight challenges in managing operating expenses and achieving profitability.

Balance Sheet

The company maintains a low debt-to-equity ratio of 0.138 for TTM, indicating conservative leverage and a strong equity position. However, the return on equity is negative, reflecting ongoing losses. The equity ratio is stable, suggesting a solid asset base supported by equity, but the negative ROE indicates that the company is not generating returns on its equity investments.

Cash Flow

Bragg Gaming Group Inc's cash flow situation is mixed. The operating cash flow is positive, but the free cash flow has shown significant volatility, with a TTM free cash flow growth rate of -580.69%. The operating cash flow to net income ratio is positive, indicating some ability to generate cash from operations, but the negative free cash flow to net income ratio suggests challenges in maintaining free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	105.55M	102.00M	93.52M	84.73M	58.32M	46.42M
Gross Profit	58.44M	54.05M	49.94M	45.08M	28.32M	20.19M
EBITDA	13.68M	12.95M	12.36M	8.34M	-1.64M	-9.02M
Net Income	-7.45M	-5.15M	-3.84M	-3.48M	-7.51M	-14.48M
Balance Sheet
Total Assets	100.50M	106.59M	103.37M	104.39M	83.39M	72.09M
Cash, Cash Equivalents and Short-Term Investments	3.02M	10.47M	8.80M	11.29M	16.01M	26.10M
Total Debt	7.17M	10.28M	3.28M	7.39M	600.00K	726.00K
Total Liabilities	36.48M	33.10M	33.12M	34.85M	17.20M	32.20M
Stockholders Equity	64.02M	73.50M	70.25M	69.53M	66.19M	39.90M
Cash Flow
Free Cash Flow	-1.90M	-2.00M	2.02M	-2.17M	-3.31M	4.22M
Operating Cash Flow	12.24M	11.16M	11.74M	5.75M	-41.00K	6.73M
Investing Cash Flow	-15.04M	-13.17M	-9.72M	-16.87M	-23.88M	-2.78M
Financing Cash Flow	-5.51M	3.61M	-4.17M	7.01M	12.41M	22.26M

Bragg Gaming Group Inc Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 3.07
• 50DMA: Negative
• 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 TSE:BRAG, the sentiment is Neutral. The current price of 3.07 is above the 20-day moving average (MA) of 3.05, below the 50-day MA of 3.33, and below the 200-day MA of 4.88, indicating a neutral trend. The MACD of -0.06 indicates Negative momentum. The RSI at 46.53 is Neutral, neither overbought nor oversold. The STOCH value of 44.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TSE:BRAG.

Bragg Gaming Group Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
BRAG	58 Neutral	C$79.15M	-6.69	-10.97%	―	12.57%	-40.95%
AIC	51 Neutral	C$2.30M	-3.14	―	―	-100.00%	90.84%
VRTS	46 Neutral	C$19.11M	-2.38	―	―	-3.78%	88.40%
VST	44 Neutral	C$76.11M	-10.46	-40.46%	―	52.23%	-300.60%

Bragg Gaming Group Inc Corporate Events

Bragg Gaming Group Reports Strong Q3 2025 Results and Strategic Expansion

Bragg Gaming Group Inc reported strong financial results for the third quarter of 2025, with a notable revenue growth of 20% excluding the Netherlands, despite a net loss of €2.3 million. The company expanded its U.S. content footprint, strengthened its balance sheet with a new financing agreement, and enhanced its leadership team, all while navigating regulatory challenges and focusing on high-margin operations.

Bragg Gaming Group to Announce Q3 2025 Financial Results

Bragg Gaming Group announced it will release its third-quarter 2025 financial results on November 13, 2025, followed by a conference call led by the CEO and CFO to discuss the results and provide a business update. This announcement is significant as it provides stakeholders with insights into the company’s financial health and strategic direction, potentially impacting its market positioning and investor relations.

Bragg Gaming Expands U.S. Presence with West Virginia Launch

Bragg Gaming Group has launched its exclusive online casino content with Caesars Entertainment in West Virginia, marking its expansion into a sixth U.S. state. This move is part of Bragg’s North American growth strategy, aiming to capitalize on the rapidly growing U.S. online casino market. The company’s content has seen significant growth, outpacing the market, and is expected to enhance Caesars’ iGaming offerings, providing an elevated experience for players.

Bragg Gaming Group Strengthens Financial Position with New Credit Facilities

Bragg Gaming Group has secured new credit facilities worth up to $6 million from the Bank of Montreal, replacing its prior note indebtedness and strengthening its financial strategy. This move is expected to reduce borrowing costs significantly, supporting the company’s strategic shift towards higher-quality earnings and sustainable growth. The company also provided an update on a recent cybersecurity incident, stating that it has been contained with the help of independent experts.