Everi Holdings price target lowered to $10 from $14 at Raymond James » 08:5206/0306/03/20
Raymond James analyst…
Raymond James analyst John Davis lowered the firm's price target on Everi Holdings to $10 from $14 and keeps a Strong Buy rating on the shares following Q1 results that were largely in-line with expectations and encouraging re-opening commentary. Davis says that while the recovery will take time, the "lights have started to come back on" and the stock is quite inexpensive with it down over 50% from pre-COVID-19 levels.
Everi Holdings reports Q1 EPS (16c), consensus (10c) » 16:2406/0206/02/20
Reports Q1 revenue…
Reports Q1 revenue $113.3M, consensus $116.11M. Michael Rumbolz, CEO of Everi, said, "The significant improvement in our operating metrics in the first two months of 2020, including revenue, earnings and cash flow, demonstrates the strength in our business prior to the outbreak of the COVID-19 pandemic. Our performance during that time, which included a 21% year-over-year increase in the daily win per unit of our installed base and a 17% year-over-year increase in the total number of cash access transactions in our FinTech business for January and February, offers clear evidence of our operating momentum and contributed to the margin improvement we experienced. Since the onset of the pandemic and the resulting closure of our customers' casinos in mid-March, our attention has been on addressing the impact on our employees and their families, our customers and our Company. We acted aggressively to preserve cash and improve our liquidity position to allow the Company to achieve our long-term goals as our customers' operations begin to reopen. These actions included dramatically reducing our near-term cash burn rate, accessing the capital markets in April for an incremental $125 million term loan and amending certain financial covenants of our existing credit agreement."
Everi Holdings options imply 31.0% move in share price post-earnings » 15:3406/0206/02/20
Pre-earnings options volume in Everi Holdings is 3.3x normal with calls leading puts 16:1. Implied volatility suggests the market is anticipating a move near 31.0%, or $2.02, after results are released. Median move over the past eight quarters is 7.6%.
|Over a week ago|
PlayAGS assumed with a Neutral from Outperform at Credit Suisse » 06:1805/2105/21/20
Credit Suisse analyst…
Credit Suisse analyst Benjamin Chaiken downgraded PlayAGS to Neutral from Outperform with a price target of $3, down from $24, after assuming coverage of the name. The analyst sees "multiple headwinds" to gaming technology over the short and medium term, "as slot floors shrink to make way for sports books." Further, consolidation in the casino industry diminishes suppliers' power and smaller operators continue to take share, Chaiken tells investors in a research note.
Everi Holdings rises 12.4% » 10:0005/2005/20/20
Everi Holdings is up…
Everi Holdings is up 12.4%, or 66c to $5.99.
PlayAGS upgraded to Buy from Hold at Union Gaming » 10:0605/0805/08/20
Union Gaming analyst John…
Union Gaming analyst John DeCree upgraded PlayAGS to Buy from Hold.
PlayAGS price target lowered to $5 from $9 at Deutsche Bank » 07:5705/0805/08/20
Deutsche Bank analyst…
Deutsche Bank analyst Carlo Santarelli lowered the firm's price target on PlayAGS to $5 from $9 and keeps a Hold rating on the shares following the company's Q1 results.
PlayAGS reports Q1 EPS (41c), consensus (7c) » 17:3705/0705/07/20
Reports Q1 revenue…
Reports Q1 revenue $54.31M, consensus $69.15M. CEO David Lopez said, "(...) Our team took early steps to formulate and implement a comprehensive plan that included costs savings through Company-wide salary reductions, layoffs, and furloughs, capital expenditure reductions, and strengthening our liquidity position. Through these initial steps, we were able to reduce our estimated monthly cash outflow nearly 80% to approximately $4M, which does not include our monthly debt service costs of $3.8M." CFO Kimo Akiona added, "In addition to the operational savings and cash-saving programs that we have implemented, we have taken measures to ensure that the Company is in the best possible liquidity position given the current operating environment. These measures included drawing the full $30M under the existing revolving credit facility during the quarter and postponing substantially all capital expenditures and related projects. On May 1, we entered into an incremental agreement in which we incurred incremental term loans of $95M and obtained covenant relief on our net first lien leverage ratio for the remaining periods in 2020."
|Over a month ago|
Snap, TripAdvisor downgrades among today's top calls on Wall Street » 10:1405/0605/06/20
SNAP, TRIP, BKNG, EXPE, PINS, NIO, IGT, AGS
Check out today's top…
SunTrust cuts International Game, PlayAGS to Hold on recovery lag for suppliers » 07:4005/0605/06/20
SunTrust analyst Barry…
SunTrust analyst Barry Jonas downgraded International Game (IGT) and PlayAGS (AGS) to Hold from Buy as part of a broader gaming sector note with a view that gaming tech suppliers will lag operators in a recovery, with potentially "severe hits to revenues" coming in the near-term and some uncertainty beyond that. For PlayAGS, the analyst is positive on the company's tribal exposure and its possibility of a quicker recovery, but he is concerned over its higher relative exposure to a challenged North America gaming market while still recovering from "strategic missteps" last year. For International Game, Jonas is positive on the company's "resilient" Lottery exposure, but he sees a shrinking free cash flow generation window as increasing government budgets heighten tax risks in Italy.