- Playtika is a mobile gaming company with focus on casino-centric content.
- Mobile gaming accounts for approximately 50% of the total gaming industry and is the industry's fastest growing component, growing at a CAGR > 10% according to Newzoo.
- Even without any significant growth going forward, Playtika stock appears attractive merely by getting exposure to the company's current fundamentals.
- At a price-to-cash flow ratio < x10, I argue the company is undervalued.
- I value Playtika with a residual earnings valuation and calculate a fair implied share price of $19.79.
For further details see:
Playtika: A Standout In Mobile Gaming