Elevator Pitch
I assign a "Neutral" rating to Hong Kong-listed mobile game developer and publisher, IGG Inc. (IGGGF) [799:HK]. IGG's revenue and net profit were down -11% and -13% YoY in FY2019, in tandem with the decline in average monthly billings for the company's flagship games, Lords Mobile and Castle Clash. IGG's key challenge is that the company is still too reliant on its two flagship games launched years ago, and the market is waiting for the company's next big hit before the stock's valuations can be positively re-rated.
IGG, currently, trades at