NeogamesSA currently holds roughly 130.14
M in cash with 38.35
M of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 4.97.
NeogamesSA holds a
performance score of 8 on a scale of zero to a hundred. The company secures a Beta (Market Risk) of 1.614, which conveys a somewhat significant risk relative to the market. Let's try to break down what NeogamesSA's beta means in this case. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, NeogamesSA will likely underperform. Although it is essential to pay attention to
NeogamesSA price patterns, it is also good to be reasonable about what you can do with equity historical
price patterns. Our philosophy towards estimating
future performance of any stock is to look not only at its past charts but also at the business as a whole, including all fundamental and
technical indicators. To evaluate if NeogamesSA expected return of 1.68 will be sustainable into the future, we have found twenty-one different
technical indicators, which can help you to check if the expected returns are sustainable. Use NeogamesSA
standard deviation,
maximum drawdown, as well as the
relationship between the Maximum Drawdown and
expected short fall to analyze future returns on NeogamesSA.
Volatility is a rate at which the price of Neogames or any other equity instrument increases or decreases for a given set of returns. It is measured by calculating the standard deviation of the annualized returns over a given period of time and shows the range to which the price of Neogames may increase or decrease. In other words, similar to Neogames's
beta indicator, it measures the risk of Neogames and helps estimate the fluctuations that may happen in a short period of time. So if prices of Neogames fluctuate rapidly in a short time span, it is termed to have high volatility, and if it swings slowly in a more extended period, it is understood to have low volatility. Please read more on our
technical analysis page.
How important is Neogames's Liquidity
Neogames
financial leverage refers to using borrowed capital as a funding source to finance Neogames SA ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Neogames financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Financial leverage can amplify the potential profits to Neogames' owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of Neogames' financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the
breakdown between Neogames's total debt and its cash.
Breaking it down
This firm reported the previous year's revenue of 165.7
M. Net Loss for the year was (18.96
M) with profit before overhead, payroll, taxes, and interest of 165.7
M.
| 2020 | 2021 | 2022 | 2023 (projected) |
Interest Expense | 4.34 M | 4.81 M | 2.87 M | 3.47 M | Gross Profit | 42.52 M | 40.57 M | 68.12 M | 56.41 M |
Will NeogamesSA pull back in June 2023?
Newest semi variance is at 8.26.
As of the 20th of May, NeogamesSA secures the Mean Deviation of 4.73,
risk adjusted performance of 0.1, and Downside Deviation of 3.87. In connection with
fundamental indicators, the
technical analysis model lets you check existing technical drivers of NeogamesSA, as well as the relationship between them. Strictly speaking, you can use this information to find out if the firm will indeed mirror its model of past prices, or the prices will eventually revert. We have collected data for nineteen
technical drivers for NeogamesSA, which can be compared to its peers in the industry. Please verify
NeogamesSA standard deviation,
maximum drawdown, as well as the
relationship between the Maximum Drawdown and
expected short fall to decide if NeogamesSA is priced some-what accurately, providing market reflects its recent price of 27.56 per share. Given that NeogamesSA has
jensen alpha of 1.58, we recommend you to check NeogamesSA's last-minute market performance to make sure the company can sustain itself at a future point.
The Bottom Line
Whereas some companies within the gambling industry are still a little expensive, even after the recent corrections, NeogamesSA may offer a potential longer-term growth to private investors. While some private investors may not share our view we believe it may be a good time to exit NeogamesSA as the risk-reward trade off is not appealing enough to hold a position. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to NeogamesSA.
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Ellen Johnson is a Member of Macroaxis Editorial Board. Ellen covers public companies in North America, focusing primarily on valuation and volatility. Six years of experience in predictive investment analytics and risk management.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Ellen Johnson do not own shares of Neogames SA. Please refer to our
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