| Snowflake Score | |
|---|---|
| Valuation | 2/6 |
| Future Growth | 5/6 |
| Past Performance | 1/6 |
| Financial Health | 4/6 |
| Dividends | 0/6 |
NGMS Stock Overview
NeoGames S.A. provides iLottery solutions worldwide.
NeoGames Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$12.05 |
| 52 Week High | US$73.54 |
| 52 Week Low | US$10.69 |
| Beta | 0 |
| 1 Month Change | -18.36% |
| 3 Month Change | -49.56% |
| 1 Year Change | -73.83% |
| 3 Year Change | n/a |
| 5 Year Change | n/a |
| Change since IPO | -44.90% |
Recent News & Updates
Alta Fox Capital - NeoGames: In A Healthy Oligopoly
NeoGames valuation has recently slumped to levels that imply far more pessimism than we can realistically envision. We believe the pro forma entity is much more attractive to a potential acquirer. Our research suggests that there are likely several interested strategic acquirers in NGMS.
NeoGames S.A.'s (NASDAQ:NGMS) Intrinsic Value Is Potentially 92% Above Its Share Price
Today we will run through one way of estimating the intrinsic value of NeoGames S.A. ( NASDAQ:NGMS ) by projecting its...
Shareholder Returns
| NGMS | US Hospitality | US Market | |
|---|---|---|---|
| 7D | -8.9% | -5.3% | -2.5% |
| 1Y | -73.8% | -22.2% | -10.4% |
Return vs Industry: NGMS underperformed the US Hospitality industry which returned -22.2% over the past year.
Return vs Market: NGMS underperformed the US Market which returned -10.4% over the past year.
Price Volatility
| NGMS volatility | |
|---|---|
| NGMS Average Weekly Movement | 11.5% |
| Hospitality Industry Average Movement | 9.1% |
| Market Average Movement | 7.8% |
| 10% most volatile stocks in US Market | 16.7% |
| 10% least volatile stocks in US Market | 2.8% |
Stable Share Price: NGMS is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 12% a week.
Volatility Over Time: NGMS's weekly volatility (12%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 2014 | 154 | Moti Malul | https://neogames.com |
NeoGames S.A. provides iLottery solutions worldwide. The company offers various technology platforms, a range of value-added services, and a game studio that provides a portfolio of draw based games and instant tickets through personal computers, smartphones, and handheld devices. It also develops and operates online lotteries and games that allows lottery operators to distribute lottery products through online sales channels using the company’s technology.
NeoGames Fundamentals Summary
| NGMS fundamental statistics | |
|---|---|
| Market Cap | US$311.61m |
| Earnings (TTM) | US$4.65m |
| Revenue (TTM) | US$50.46m |
67.0x
P/E Ratio6.2x
P/S RatioIs NGMS overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| NGMS income statement (TTM) | |
|---|---|
| Revenue | US$50.46m |
| Cost of Revenue | US$0 |
| Gross Profit | US$50.46m |
| Other Expenses | US$45.81m |
| Earnings | US$4.65m |
Last Reported Earnings
Dec 31, 2021
Next Earnings Date
n/a
| Earnings per share (EPS) | 0.18 |
| Gross Margin | 100.00% |
| Net Profit Margin | 9.22% |
| Debt/Equity Ratio | 56.8% |
How did NGMS perform over the long term?
See historical performance and comparisonValuation
Is NeoGames undervalued compared to its fair value and its price relative to the market?
Valuation Score
2/6Valuation Score 2/6
Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: NGMS ($12.05) is trading below our estimate of fair value ($40.47)
Significantly Below Fair Value: NGMS is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: NGMS is poor value based on its PE Ratio (67x) compared to the US Hospitality industry average (17.7x).
PE vs Market: NGMS is poor value based on its PE Ratio (67x) compared to the US market (15.5x).
Price to Earnings Growth Ratio
PEG Ratio: NGMS is poor value based on its PEG Ratio (1.3x)
Price to Book Ratio
PB vs Industry: NGMS is overvalued based on its PB Ratio (5.2x) compared to the US Hospitality industry average (2.6x).
Future Growth
How is NeoGames forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
Future Growth Score
5/6Future Growth Score 5/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
50.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: NGMS's forecast earnings growth (50.9% per year) is above the savings rate (1.9%).
Earnings vs Market: NGMS's earnings (50.9% per year) are forecast to grow faster than the US market (12.6% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: NGMS's revenue (27.8% per year) is forecast to grow faster than the US market (8% per year).
High Growth Revenue: NGMS's revenue (27.8% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if NGMS's Return on Equity is forecast to be high in 3 years time
Past Performance
How has NeoGames performed over the past 5 years?
Past Performance Score
1/6Past Performance Score 1/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
68.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: NGMS has a high level of non-cash earnings.
Growing Profit Margin: NGMS's current net profit margins (9.2%) are lower than last year (13.2%).
Past Earnings Growth Analysis
Earnings Trend: NGMS's earnings have grown significantly by 68.3% per year over the past 5 years.
Accelerating Growth: NGMS's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: NGMS had negative earnings growth (-28.6%) over the past year, making it difficult to compare to the Hospitality industry average (86.7%).
Return on Equity
High ROE: NGMS's Return on Equity (7.8%) is considered low.
Financial Health
How is NeoGames's financial position?
Financial Health Score
4/6Financial Health Score 4/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: NGMS's short term assets ($77.5M) exceed its short term liabilities ($34.1M).
Long Term Liabilities: NGMS's short term assets ($77.5M) exceed its long term liabilities ($21.8M).
Debt to Equity History and Analysis
Debt Level: NGMS has more cash than its total debt.
Reducing Debt: Insufficient data to determine if NGMS's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: NGMS's debt is well covered by operating cash flow (43.9%).
Interest Coverage: NGMS's interest payments on its debt are not well covered by EBIT (0.5x coverage).
Balance Sheet
Dividend
What is NeoGames's current dividend yield, its reliability and sustainability?
Dividend Score
0/6Dividend Score 0/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage
Dividend Yield vs Market
Notable Dividend: Unable to evaluate NGMS's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate NGMS'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 NGMS's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if NGMS'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 NGMS has not reported any payouts.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.6yrs
Average management tenure
CEO
Moti Malul (49 yo)
3.58yrs
Tenure
Mr. Moti Malul serves as Chief Executive Officer and Director at NeoGames S.A. since October 2018 and is its Co-Managing Director. Prior to that, Mr. Malul served as Executive Vice President of Sales and B...
Leadership Team
Experienced Management: NGMS's management team is considered experienced (3.6 years average tenure).
Board Members
Experienced Board: NGMS's board of directors are considered experienced (3.1 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.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3.5%.
Top Shareholders
Company Information
NeoGames S.A.'s employee growth, exchange listings and data sources
Key Information
- Name: NeoGames S.A.
- Ticker: NGMS
- Exchange: NasdaqGM
- Founded: 2014
- Industry: Casinos and Gaming
- Sector: Consumer Services
- Implied Market Cap: US$311.609m
- Shares outstanding: 25.86m
- Website: https://neogames.com
Number of Employees
Location
- NeoGames S.A.
- Building C
- 16th Floor
- Tel Aviv
- 6971014
- Israel
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/05/15 00:00 |
| End of Day Share Price | 2022/05/13 00:00 |
| Earnings | 2021/12/31 |
| Annual Earnings | 2021/12/31 |
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.