OGQ: Bragg and Aspire Global are the top growth shares in Q1 2022
Online Gambling Quarterly analyses the key financial figures of igaming companies from the first three months of the year
Once a quarter the Online Gambling Quarterly provides an overview of the best performing shares of online gambling operators and service providers. The biggest leap among the analysed “pure” online gambling companies was taken by Bragg with an increase of +35% over the past three months.
Share developments
Below are the key results of the analyses – find here more insights:
- “Winner” – The biggest leap in the sample of online gambling focused companies was taken by Bragg with an increase of +35% over the past three months; followed by Aspire Global (+30%).
- “Loser” – Rush Street and PointsBet had the worst three-month performance in our analysis with a decrease of -57% and -47%, respectively.
- Average growth – On average, share prices analysed decreased by -12%.
- Comparison to FTSE 100 – Compared to the three-month development of the FTSE 100 (+2%), the average growth of the online gambling industry looks “worse”.
- Multi-channel operators – Among the multi-channel operators that also operate a relevant retail business, Entain is the “winner” with a share development of -3% over the past months.
- Comparison to multi-channel operators – It is also interesting to compare the performance of exclusively online gambling companies with that of companies also operating a retail/land-based business. The share prices of the online/retail operators analysed decreased on average by -11% (compared to -12% for the online-only operators).
P/E ratios
The Online Gambling Quarterly also analysed the current P/E ratios for several companies. The ratio provides a good picture of the value of the company.
- NeoGames has the highest P/E ratio – NeoGames leads the ranking with a P/E ratio of 91.
- Average P/E ratio – The average P/E ratio of the sample analysed is 25 (median of 14).
Market capitalisation in relation to Q4/2021 revenues
Traditionally, market capitalisation is correlated to earnings-related figures. But in times of rapidly changing markets (e.g., US) and a relevant number of new and growing market players, earnings-related analyses may be less conclusive. Therefore, the researchers also set the market capitalisation in relation to the most recent quarterly revenues (in this edition: revenues in Q4/2021). For operators, the Online Gambling Quarterly took the net gaming revenues, and for all others (tech providers, affiliates) they took the revenue related to online gambling (if reported). In some cases, the revenues reported might not be entirely comparable, but the analysis indicates the market dynamics.
- Evolution has the highest market cap / revenue ratio – Evolution leads the ranking in market capitalisation in relation to the most recent quarterly revenue with 68; it is followed by Inspired (35) and NeoGames (32).
- Average ratio – The average ratio of the companies analysed is 18 (median of 12).
