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DEVO

Devolver Digital AIM:DEVO Stock Report

Last Price

UK£0.61

Market Cap

UK£269.8m

7D

-1.6%

1Y

n/a

Updated

15 Aug, 2022

Data

Company Financials +
DEVO fundamental analysis
Snowflake Score
Valuation5/6
Future Growth1/6
Past Performance2/6
Financial Health6/6
Dividends0/6

DEVO Stock Overview

Devolver Digital Inc. develops video games for release on PC and mobile in the United States and internationally.

Devolver Digital Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Devolver Digital
Historical stock prices
Current Share PriceUK£0.61
52 Week HighUK£2.22
52 Week LowUK£0.50
Beta0
1 Month Change-1.61%
3 Month Change-57.04%
1 Year Changen/a
3 Year Changen/a
5 Year Changen/a
Change since IPO-67.03%

Recent News & Updates

Apr 06
Devolver Digital, Inc.'s (LON:DEVO) Intrinsic Value Is Potentially 80% Above Its Share Price

Devolver Digital, Inc.'s (LON:DEVO) Intrinsic Value Is Potentially 80% Above Its Share Price

In this article we are going to estimate the intrinsic value of Devolver Digital, Inc. ( LON:DEVO ) by estimating the...

Shareholder Returns

DEVOGB EntertainmentGB Market
7D-1.6%3.0%0.4%
1Yn/a-39.1%-9.0%

Return vs Industry: Insufficient data to determine how DEVO performed against the UK Entertainment industry.

Return vs Market: Insufficient data to determine how DEVO performed against the UK Market.

Price Volatility

Is DEVO's price volatile compared to industry and market?
DEVO volatility
DEVO Average Weekly Movement15.3%
Entertainment Industry Average Movement6.1%
Market Average Movement5.4%
10% most volatile stocks in GB Market10.8%
10% least volatile stocks in GB Market2.7%

Stable Share Price: DEVO is more volatile than 90% of UK stocks over the past 3 months, typically moving +/- 15% a week.

Volatility Over Time: DEVO's weekly volatility has increased from 9% to 15% over the past year.

About the Company

FoundedEmployeesCEOWebsite
2008200n/ahttps://www.devolverdigital.com

Devolver Digital Inc. develops video games for release on PC and mobile in the United States and internationally. It publishes video games. The company was founded in 2008 and is based in Wilmington, Delaware.

Devolver Digital Fundamentals Summary

How do Devolver Digital's earnings and revenue compare to its market cap?
DEVO fundamental statistics
Market CapUS$325.81m
Earnings (TTM)US$32.37m
Revenue (TTM)US$98.15m

10.1x

P/E Ratio

3.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
DEVO income statement (TTM)
RevenueUS$98.15m
Cost of RevenueUS$58.92m
Gross ProfitUS$39.23m
Other ExpensesUS$6.86m
EarningsUS$32.37m

Last Reported Earnings

Dec 31, 2021

Next Earnings Date

Sep 26, 2022

Earnings per share (EPS)0.073
Gross Margin39.97%
Net Profit Margin32.98%
Debt/Equity Ratio0.0%

How did DEVO perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is DEVO undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for DEVO?

Other financial metrics that can be useful for relative valuation.

DEVO key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2.5x
Enterprise Value/EBITDA4.3x
PEG Ratio-0.6x

Price to Earnings Ratio vs Peers

How does DEVO's PE Ratio compare to its peers?

DEVO PE Ratio vs Peers
The above table shows the PE ratio for DEVO vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average44.4x
TBLD tinyBuild
35x22.3%UK£239.4m
FDEV Frontier Developments
45x60.5%UK£634.9m
TM17 Team17 Group
27.7x11.4%UK£658.0m
GMR Gaming Realms
69.8xn/aUK£87.6m
DEVO Devolver Digital
10.1x-15.7%UK£269.8m

Price-To-Earnings vs Peers: DEVO is good value based on its Price-To-Earnings Ratio (10.1x) compared to the peer average (44.4x).


Price to Earnings Ratio vs Industry

How does DEVO's PE Ratio compare vs other companies in the European Entertainment Industry?

Price-To-Earnings vs Industry: DEVO is good value based on its Price-To-Earnings Ratio (10.1x) compared to the UK Entertainment industry average (26.4x)


Price to Earnings Ratio vs Fair Ratio

What is DEVO's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

DEVO PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio10.1x
Fair PE Ratio14.1x

Price-To-Earnings vs Fair Ratio: DEVO is good value based on its Price-To-Earnings Ratio (10.1x) compared to the estimated Fair Price-To-Earnings Ratio (14.1x).


Share Price vs Fair Value

What is the Fair Price of DEVO when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: DEVO (£0.61) is trading below our estimate of fair value (£2.76)

Significantly Below Fair Value: DEVO is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


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Future Growth

How is Devolver Digital forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


-15.7%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: DEVO's earnings are forecast to decline over the next 3 years (-15.7% per year).

Earnings vs Market: DEVO's earnings are forecast to decline over the next 3 years (-15.7% per year).

High Growth Earnings: DEVO's earnings are forecast to decline over the next 3 years.

Revenue vs Market: DEVO's revenue (16.9% per year) is forecast to grow faster than the UK market (4.4% per year).

High Growth Revenue: DEVO's revenue (16.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: DEVO's Return on Equity is forecast to be low in 3 years time (7.6%).


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Past Performance

How has Devolver Digital performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


-49.5%

Last years earnings growth

Earnings and Revenue History

Quality Earnings: DEVO has high quality earnings.

Growing Profit Margin: DEVO's current net profit margins (33%) are higher than last year (30.1%).


Past Earnings Growth Analysis

Earnings Trend: Unable to establish if DEVO's year-on-year earnings growth rate was positive over the past 5 years as it has been trading publicly for less than 3 years.

Accelerating Growth: Unable to compare DEVO's past year earnings growth to its 5-year average as it has been trading publicly for less than 3 years.

Earnings vs Industry: DEVO had negative earnings growth (-49.5%) over the past year, making it difficult to compare to the Entertainment industry average (10.9%).


Return on Equity

High ROE: DEVO's Return on Equity (13.2%) is considered low.


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Financial Health

How is Devolver Digital's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: DEVO's short term assets ($113.1M) exceed its short term liabilities ($32.1M).

Long Term Liabilities: DEVO's short term assets ($113.1M) exceed its long term liabilities ($1.6M).


Debt to Equity History and Analysis

Debt Level: DEVO is debt free.

Reducing Debt: DEVO had no debt 5 years ago.

Debt Coverage: DEVO has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: DEVO has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


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Dividend

What is Devolver Digital current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate DEVO's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate DEVO's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if DEVO's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if DEVO's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as DEVO has not reported any payouts.


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Management

How experienced are the management team and are they aligned to shareholders interests?


CEO

Devolver Digital has no CEO, or we have no data on them.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: DEVO only recently listed within the past 12 months.


Top Shareholders

Company Information

Devolver Digital, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Devolver Digital, Inc.
  • Ticker: DEVO
  • Exchange: AIM
  • Founded: 2008
  • Industry: Interactive Home Entertainment
  • Sector: Media
  • Implied Market Cap: UK£269.777m
  • Shares outstanding: 442.26m
  • Website: https://www.devolverdigital.com

Number of Employees


Location

  • Devolver Digital, Inc.
  • 251 Little Falls Drive
  • New Castle County
  • Wilmington
  • Delaware
  • 19808
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/15 00:00
End of Day Share Price2022/08/15 00:00
Earnings2021/12/31
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.