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MTG B: Share Repurchase and New Divisions Will Drive Earnings Momentum

Update shared on 01 Dec 2025

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AnalystConsensusTarget's Fair Value
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1Y
23.9%
7D
-0.9%

Analysts have revised their price target for Modern Times Group MTG, maintaining the fair value estimate at SEK 155.67. They cited shifts in projected profit margins and future earnings multiples as the reason for this adjustment.

What's in the News

  • Modern Times Group MTG AB announced a share repurchase program, authorizing buybacks of up to 12,203,000 shares, representing 10% of issued share capital, with a value of up to SEK 400 million. The program will run from October 10, 2025, to May 15, 2026, and repurchased shares will be cancelled (Key Developments).
  • The company raised its earnings guidance for full year 2025, now expecting organic growth of 7% to 9% and total reported revenues of SEK 11.4 to SEK 11.7 billion. This is an increase from a previous organic growth target of 3% to 7% (Key Developments).
  • Modern Times Group MTG AB announced a new divisional structure, creating two commercial divisions, the Midcore District and the Casual District, as part of operational leadership changes within its Gaming Village (Key Developments).

Valuation Changes

  • Fair Value Estimate remains unchanged at SEK 155.67 per share.
  • Discount Rate has decreased slightly, moving from 7.88% to 7.82%.
  • Revenue Growth projections have edged down modestly, from 10.02% to 9.99%.
  • Net Profit Margin has fallen significantly, dropping from 10.16% to 6.73%.
  • Future P/E ratio has increased markedly, rising from 16.08x to 24.26x.

Disclaimer

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