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AGS

PlayAGS NYSE:AGS Stock Report

Last Price

US$5.30

Market Cap

US$197.0m

7D

-3.8%

1Y

-35.1%

Updated

30 Sep, 2022

Data

Company Financials +
AGS fundamental analysis
Snowflake Score
Valuation5/6
Future Growth4/6
Past Performance0/6
Financial Health4/6
Dividends0/6

AGS Stock Overview

PlayAGS, Inc. designs and supplies gaming products and services for the gaming industry in the United States and internationally.

PlayAGS Competitors

Price History & Performance

Summary of all time highs, changes and price drops for PlayAGS
Historical stock prices
Current Share PriceUS$5.30
52 Week HighUS$10.45
52 Week LowUS$4.21
Beta2.32
1 Month Change-27.99%
3 Month Change0%
1 Year Change-35.13%
3 Year Change-49.33%
5 Year Changen/a
Change since IPO-71.35%

Recent News & Updates

Sep 09
PlayAGS (NYSE:AGS) Takes On Some Risk With Its Use Of Debt

PlayAGS (NYSE:AGS) Takes On Some Risk With Its Use Of Debt

Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously...

Aug 12

PlayAGS skyrockets 30% on report of bid from Inspired Entertainment

PlayAGS(NYSE:AGS) jumped 30% on a report that Inspired Entertainment (NASDAQ:INSE) made an offer to purchase the slot machine maker. Inspired made a $370 million, or $10/share, bid for PlayAGS (AGS), according to a Reuters report, which cited people familiar. There's no certainty any deal will be reached. Developing story ...

Shareholder Returns

AGSUS HospitalityUS Market
7D-3.8%-0.2%-2.5%
1Y-35.1%-34.1%-23.2%

Return vs Industry: AGS underperformed the US Hospitality industry which returned -30.3% over the past year.

Return vs Market: AGS underperformed the US Market which returned -21.5% over the past year.

Price Volatility

Is AGS's price volatile compared to industry and market?
AGS volatility
AGS Average Weekly Movement13.0%
Hospitality Industry Average Movement7.3%
Market Average Movement6.9%
10% most volatile stocks in US Market15.6%
10% least volatile stocks in US Market2.8%

Stable Share Price: AGS is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 13% a week.

Volatility Over Time: AGS's weekly volatility (13%) has been stable over the past year, but is still higher than 75% of US stocks.

About the Company

FoundedEmployeesCEOWebsite
2005780David Lopezhttps://www.playags.com

PlayAGS, Inc. designs and supplies gaming products and services for the gaming industry in the United States and internationally. It operates through three segments: Electronic Gaming Machines (EGM), Table Products, and Interactive Games (Interactive). The EGM segment offers various video slot titles for the marketplace; and EGM cabinets, including the Orion Starwall, Orion Curve Premium, Big Red, Orion Portrait, Orion Slant, Orion Curve, Orion Upright, and ICON.

PlayAGS Fundamentals Summary

How do PlayAGS's earnings and revenue compare to its market cap?
AGS fundamental statistics
Market CapUS$197.01m
Earnings (TTM)-US$21.97m
Revenue (TTM)US$286.94m

0.7x

P/S Ratio

-9.0x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
AGS income statement (TTM)
RevenueUS$286.94m
Cost of RevenueUS$76.40m
Gross ProfitUS$210.54m
Other ExpensesUS$232.51m
Earnings-US$21.97m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)-0.59
Gross Margin73.37%
Net Profit Margin-7.66%
Debt/Equity Ratio1,523.4%

How did AGS perform over the long term?

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

Valuation

Is AGS 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-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales 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 AGS?

Other financial metrics that can be useful for relative valuation.

AGS 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/EBITDA6.7x
PEG Ration/a

Price to Sales Ratio vs Peers

How does AGS's PS Ratio compare to its peers?

AGS PS Ratio vs Peers
The above table shows the PS ratio for AGS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPSEstimated GrowthMarket Cap
Peer Average2.5x
FLL Full House Resorts
1.1x24.7%US$193.2m
CDRO Codere Online Luxembourg
1.5x30.9%US$121.8m
NGMS NeoGames
5.7x39.1%US$333.6m
CPHC Canterbury Park Holding
1.6xn/aUS$108.5m
AGS PlayAGS
0.7x4.9%US$197.0m

Price-To-Sales vs Peers: AGS is good value based on its Price-To-Sales Ratio (0.7x) compared to the peer average (2.5x).


Price to Earnings Ratio vs Industry

How does AGS's PE Ratio compare vs other companies in the US Hospitality Industry?

Price-To-Sales vs Industry: AGS is good value based on its Price-To-Sales Ratio (0.7x) compared to the US Hospitality industry average (1.5x)


Price to Sales Ratio vs Fair Ratio

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

AGS PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio0.7x
Fair PS Ratio1.2x

Price-To-Sales vs Fair Ratio: AGS is good value based on its Price-To-Sales Ratio (0.7x) compared to the estimated Fair Price-To-Sales Ratio (1.2x).


Share Price vs Fair Value

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

Below Fair Value: AGS ($5.3) is trading below our estimate of fair value ($15.73)

Significantly Below Fair Value: AGS 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 PlayAGS forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

Future Growth Score

4/6

Future Growth Score 4/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


81.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AGS is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.9%).

Earnings vs Market: AGS is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: AGS is expected to become profitable in the next 3 years.

Revenue vs Market: AGS's revenue (4.9% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: AGS's revenue (4.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AGS's Return on Equity is forecast to be high in 3 years time (29.3%)


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Past Performance

How has PlayAGS performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


2.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: AGS is currently unprofitable.

Growing Profit Margin: AGS is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: AGS is unprofitable, but has reduced losses over the past 5 years at a rate of 2% per year.

Accelerating Growth: Unable to compare AGS's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: AGS is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (36.2%).


Return on Equity

High ROE: AGS has a negative Return on Equity (-60.07%), as it is currently unprofitable.


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Financial Health

How is PlayAGS's financial position?

Financial Health Score

4/6

Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Stable Cash Runway

  • Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: AGS's short term assets ($144.8M) exceed its short term liabilities ($64.2M).

Long Term Liabilities: AGS's short term assets ($144.8M) do not cover its long term liabilities ($585.1M).


Debt to Equity History and Analysis

Debt Level: AGS's net debt to equity ratio (1394.7%) is considered high.

Reducing Debt: AGS had negative shareholder equity 5 years ago, but is now positive and has therefore improved.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable AGS has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: AGS is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 40.6% per year.


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Dividend

What is PlayAGS 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

PlayAGS Dividend Yield vs Market
How does PlayAGS dividend yield compare to the market?
SegmentDividend Yield
Company (PlayAGS)n/a
Market Bottom 25% (US)1.7%
Market Top 25% (US)4.7%
Industry Average (Hospitality)2.0%
Analyst forecast in 3 Years (PlayAGS)0%

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

High Dividend: Unable to evaluate AGS'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 AGS's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if AGS'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 AGS has not reported any payouts.


Discover strong dividend paying companies

Management

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

5.3yrs

Average management tenure


CEO

David Lopez (48 yo)

5.33yrs

Tenure

US$9,659,499

Compensation

Mr. David B. Lopez has been Director at AGS, LLC since May 2017. He has been the Chief Executive Officer and President at PlayAGS, Inc. since February 03, 2014 and has been its Director since May 2017. Mr....


CEO Compensation Analysis

David Lopez's Compensation vs PlayAGS Earnings
How has David Lopez's remuneration changed compared to PlayAGS's earnings?
DateTotal Comp.SalaryCompany Earnings
Jun 30 2022n/an/a

-US$22m

Mar 31 2022n/an/a

-US$27m

Dec 31 2021US$10mUS$700k

-US$23m

Sep 30 2021n/an/a

-US$31m

Jun 30 2021n/an/a

-US$40m

Mar 31 2021n/an/a

-US$79m

Dec 31 2020US$2mUS$579k

-US$85m

Sep 30 2020n/an/a

-US$67m

Jun 30 2020n/an/a

-US$61m

Mar 31 2020n/an/a

-US$26m

Dec 31 2019US$3mUS$700k

-US$12m

Sep 30 2019n/an/a

-US$24m

Jun 30 2019n/an/a

-US$14m

Mar 31 2019n/an/a

-US$11m

Dec 31 2018US$3mUS$600k

-US$21m

Sep 30 2018n/an/a

-US$19m

Jun 30 2018n/an/a

-US$27m

Mar 31 2018n/an/a

-US$42m

Dec 31 2017US$1mUS$500k

-US$45m

Sep 30 2017n/an/a

-US$57m

Jun 30 2017n/an/a

-US$74m

Mar 31 2017n/an/a

-US$73m

Dec 31 2016US$1mUS$500k

-US$81m

Sep 30 2016n/an/a

-US$70m

Jun 30 2016n/an/a

-US$72m

Mar 31 2016n/an/a

-US$50m

Dec 31 2015US$928kUS$500k

-US$39m

Compensation vs Market: David's total compensation ($USD9.66M) is above average for companies of similar size in the US market ($USD1.72M).

Compensation vs Earnings: David's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: AGS's management team is seasoned and experienced (5.3 years average tenure).


Board Members

Experienced Board: AGS's board of directors are considered experienced (4.7 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

What is the ownership structure of AGS?
Owner TypeNumber of SharesOwnership Percentage
Individual Insiders535,3011.4%
General Public3,916,46910.5%
Hedge Funds6,737,70718.1%
VC/PE Firms8,208,07622.1%
Institutions17,773,24447.8%

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


Top Shareholders

Top 25 shareholders own 81.13% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
22.08%
Apollo Global Management, Inc.
8,208,076$43.5m0%0.29%
9.42%
HG Vora Capital Management, LLC
3,500,000$18.6m0%0.79%
9.2%
Goldman Sachs Group, Investment Banking and Securities Investments
3,420,246$18.1m77.16%0.01%
8.71%
ArrowMark Colorado Holdings, LLC
3,237,707$17.2m16.63%0.21%
3.64%
Renaissance Technologies LLC
1,354,542$7.2m2.58%0.01%
3.35%
The Vanguard Group, Inc.
1,245,006$6.6m-10.31%no data
2.79%
Emerald Advisers, LLC
1,035,863$5.5m-4.15%0.15%
2.75%
Deutsche Asset & Wealth Management
1,023,920$5.4m193.56%no data
2.54%
Morgan Stanley, Investment Banking and Brokerage Investments
943,089$5.0m434.31%no data
2.28%
BlackRock, Inc.
846,679$4.5m-59.53%no data
2.09%
Columbia Management Investment Advisers, LLC
777,185$4.1m0%no data
1.61%
LGT Capital Partners Ltd.
600,000$3.2m0%0.03%
1.33%
Jacobs Levy Equity Management Inc
495,057$2.6m10.49%0.02%
1.17%
Invenomic Capital Management, LP
433,081$2.3m102.94%0.38%
1.12%
1060 Capital Management, LLC
416,075$2.2m0%5.18%
1.05%
Monarch Partners Asset Management LLC
389,727$2.1m0%0.62%
0.84%
Millennium Management LLC
313,968$1.7m125.09%no data
0.75%
Two Sigma Advisers, LP
279,900$1.5m-18.66%no data
0.74%
David Lopez
275,708$1.5m-7.03%no data
0.74%
Dimensional Fund Advisors LP
273,414$1.4m2.16%no data
0.73%
Geode Capital Management, LLC
270,919$1.4m-43.12%no data
0.62%
Teton Advisors, LLC
232,000$1.2m0%0.25%
0.57%
Citadel Advisors LLC
210,919$1.1m-9.3%no data
0.55%
Eaton Vance Management
202,594$1.1m-18.15%no data
0.46%
Norges Bank Investment Management
170,300$902.6k0%no data

Company Information

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


Key Information

  • Name: PlayAGS, Inc.
  • Ticker: AGS
  • Exchange: NYSE
  • Founded: 2005
  • Industry: Casinos and Gaming
  • Sector: Consumer Services
  • Implied Market Cap: US$197.005m
  • Shares outstanding: 37.17m
  • Website: https://www.playags.com

Number of Employees


Location

  • PlayAGS, Inc.
  • 6775 S. Edmond St.
  • Suite 300
  • Las Vegas
  • Nevada
  • 89118-3502
  • United States


Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AGSNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 2018

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/09/30 00:00
End of Day Share Price2022/09/30 00:00
Earnings2022/06/30
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.