(AGS) PlayAGS - Ratings and Ratios

PlayAGS Inc (NYSE:AGS) is a leading provider of innovative gaming products and services, catering to the evolving needs of the global gaming industry. With a diverse portfolio of offerings across three primary segments - Electronic Gaming Machines, Table Products, and Interactive Games - the company has established itself as a key player in the industry.

The Electronic Gaming Machines segment is a significant contributor, offering an extensive library of video and mechanical slot titles, as well as a range of EGM cabinets and conversion kits. This segment serves various jurisdictions, including Class II Native American and Mexico gaming, as well as Class III Native American, commercial, and charitable markets. The companys EGM offerings are designed to provide a unique gaming experience, leveraging advanced technology and engaging game titles.

The Table Products segment provides a comprehensive suite of table game products, including live felt table games, side bets, progressives, card shufflers, and ancillary equipment. The companys table technology solutions cater to various games, such as blackjack, poker, baccarat, craps, and roulette. Notable products include the Dex S and Pax S single-deck card shufflers, which enhance the gaming experience and improve operational efficiency.

The Interactive segment is a rapidly growing area, with the company offering a business-to-business game aggregation platform for real-money gaming operators, as well as business-to-consumer free-to-play social casino games through its Lucky Play Casino mobile app. This segment is poised for significant growth, driven by the increasing demand for online gaming solutions.

From a technical analysis perspective, the stock has demonstrated stability, with the last price of $12.12 hovering around the 20-day and 50-day moving averages of $12.06. The 200-day moving average of $11.71 provides a level of support, indicating a potential upward trend. The Average True Range (ATR) of 0.09, representing a 0.71% volatility, suggests relatively low volatility.

Fundamentally, the company has a market capitalization of $500.46 million, with a price-to-earnings ratio of 10.11 and a forward P/E of 29.59. The return on equity (RoE) of 63.39% indicates strong profitability. By analyzing the technical and fundamental data, we can forecast that PlayAGS Inc is likely to experience a moderate increase in stock price, driven by the growing demand for its products and services, particularly in the Interactive segment. A potential price target could be $14.50, representing a 19.6% increase from the current price, based on the companys improving fundamentals and technical indicators.