WSE:PLW

Stock Analysis Report

Executive Summary

PlayWay S.A. produces and publishes PC and mobile video games in Poland, Western Europe, North America, Germany, and internationally.


Snowflake Analysis

Flawless balance sheet with moderate growth potential.

Share Price & News

How has PlayWay's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: PLW's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

4.7%

PLW

2.0%

PL Entertainment

-0.7%

PL Market


1 Year Return

151.3%

PLW

86.9%

PL Entertainment

-8.9%

PL Market

Return vs Industry: PLW exceeded the Polish Entertainment industry which returned 86.9% over the past year.

Return vs Market: PLW exceeded the Polish Market which returned -8.9% over the past year.


Shareholder returns

PLWIndustryMarket
7 Day4.7%2.0%-0.7%
30 Day46.2%20.0%-1.4%
90 Day125.1%30.4%-0.2%
1 Year154.8%151.3%88.1%86.9%-6.1%-8.9%
3 Year704.8%679.0%285.1%276.7%-6.5%-13.1%
5 Yearn/a1215.7%1164.0%0.5%-12.1%

Price Volatility Vs. Market

How volatile is PlayWay's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is PlayWay undervalued compared to its fair value and its price relative to the market?

40.09x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: PLW (PLN389.5) is trading above our estimate of fair value (PLN223.3)

Significantly Below Fair Value: PLW is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: PLW is poor value based on its PE Ratio (40.1x) compared to the Entertainment industry average (38.6x).

PE vs Market: PLW is poor value based on its PE Ratio (40.1x) compared to the Polish market (12.1x).


Price to Earnings Growth Ratio

PEG Ratio: PLW is poor value based on its PEG Ratio (5.5x)


Price to Book Ratio

PB vs Industry: PLW is overvalued based on its PB Ratio (18.5x) compared to the PL Entertainment industry average (8.2x).


Next Steps

Future Growth

How is PlayWay forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

7.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PLW's forecast earnings growth (7.2% per year) is above the savings rate (2%).

Earnings vs Market: PLW's earnings (7.2% per year) are forecast to grow slower than the Polish market (11.6% per year).

High Growth Earnings: PLW's earnings are forecast to grow, but not significantly.

Revenue vs Market: PLW's revenue (17.7% per year) is forecast to grow faster than the Polish market (6.2% per year).

High Growth Revenue: PLW's revenue (17.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PLW's Return on Equity is forecast to be high in 3 years time (32.8%)


Next Steps

Past Performance

How has PlayWay performed over the past 5 years?

59.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PLW has a high level of non-cash earnings.

Growing Profit Margin: PLW's current net profit margins (65.2%) are higher than last year (61.5%).


Past Earnings Growth Analysis

Earnings Trend: PLW's earnings have grown significantly by 59.7% per year over the past 5 years.

Accelerating Growth: PLW's earnings growth over the past year (51.7%) is below its 5-year average (59.7% per year).

Earnings vs Industry: PLW earnings growth over the past year (51.7%) underperformed the Entertainment industry 58.6%.


Return on Equity

High ROE: PLW's Return on Equity (45.7%) is considered outstanding.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is PlayWay's financial position?


Financial Position Analysis

Short Term Liabilities: PLW's short term assets (PLN142.6M) exceed its short term liabilities (PLN10.7M).

Long Term Liabilities: PLW's short term assets (PLN142.6M) exceed its long term liabilities (PLN4.6M).


Debt to Equity History and Analysis

Debt Level: PLW is debt free.

Reducing Debt: PLW had no debt 5 years ago.

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

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


Balance Sheet

Inventory Level: PLW has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if PLW's debt is covered by short term assets.


Next Steps

Dividend

What is PlayWay's current dividend yield, its reliability and sustainability?

0.64%

Current Dividend Yield


Dividend Yield vs Market

company0.6%marketbottom25%2.3%markettop25%6.6%industryaverage0.4%forecastin3Years2.4%

Current dividend yield vs market & industry

Notable Dividend: PLW's dividend (0.64%) isn’t notable compared to the bottom 25% of dividend payers in the Polish market (2.29%).

High Dividend: PLW's dividend (0.64%) is low compared to the top 25% of dividend payers in the Polish market (6.62%).


Stability and Growth of Payments

Stable Dividend: PLW is not paying a notable dividend for the Polish market, therefore no need to check if payments are stable.

Growing Dividend: PLW is not paying a notable dividend for the Polish market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: PLW is not paying a notable dividend for the Polish market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of PLW's dividend in 3 years as they are not forecast to pay a notable one for the Polish market.


Next Steps

Management

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

4.2yrs

Average board tenure


CEO

Krzysztof Kostowski 0

8.8yrs

Tenure

0

Mr. Krzysztof Kostowski serves as Member of the Supervisory Board at CreativeForge Games S.A. since January 24, 2019. He serves as the President of the Management Board of PlayWay S.A. since April 20, 2011 ...


Board Members

NamePositionTenureCompensationOwnership
Aleksy Uchanski
Member of the Supervisory Board4.2yrsno datano data
Radoslaw Mrowinski
Member of the Supervisory Board3.9yrsno datano data
Mateusz Zawadzki
Chairman of the Supervisory Board0yrsno datano data
Michal Kojecki
Member of the Supervisory Board4.2yrsno datano data
Grzegorz Czarnecki
Member of the Supervisory Board4.2yrsno datano data

4.2yrs

Average Tenure

43yo

Average Age

Experienced Board: PLW's board of directors are considered experienced (4.2 years average tenure).


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: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

PlayWay S.A.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: PlayWay S.A.
  • Ticker: PLW
  • Exchange: WSE
  • Founded: 2011
  • Industry: Interactive Home Entertainment
  • Sector: Media
  • Market Cap: zł2.574b
  • Shares outstanding: 6.60m
  • Website: https://www.playway.com

Location

  • PlayWay S.A.
  • ul. Fedorowicza 17A
  • Hornówek
  • Warsaw
  • 05-080
  • Poland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PLWWSE (Warsaw Stock Exchange)YesCommon Bearer SharesPLPLNOct 2016
0RJZLSE (London Stock Exchange)YesCommon Bearer SharesGBPLNOct 2016
6P5BST (Boerse-Stuttgart)YesCommon Bearer SharesDEEUROct 2016
6P5DB (Deutsche Boerse AG)YesCommon Bearer SharesDEEUROct 2016

Biography

PlayWay S.A. produces and publishes PC and mobile video games in Poland, Western Europe, North America, Germany, and internationally. It sells its products through STEAM, AppStore, and GooglePlay platforms. The company was founded in 2011 and is headquartered in Warsaw, Poland. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/22 23:27
End of Day Share Price2020/02/21 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.