Gaming Realms Share Discussion Threads

[mylands] 02/7/2021 17:29

Good to see we not only held the rise but moved up to 38p offered and sellers getting 37.4p.

Good weekend ahead with England moving on to the semis, here's hoping!

[mylands] 02/7/2021 08:29

After 1.5 million traded yesterday interesting to see no follow through this morning, with just 15,000 traded.

Let’s hope we can hold yesterday’s rise and move back in to the 40’s.

[metis20] 01/7/2021 16:52

July 1 2021 by Niji Narayan



Gaming Realms has signed a multi-year licensing and distribution agreement with EveryMatrix, a leading B2B igaming software provider.

As per the deal, Gaming Realms’ Slingo Originals portfolio will be distributed to CasinoEngine’s global network of operators. Through CasinoEngine, EveryMatrix’s igaming integration platform, casino operators can access a wealth of content through a single integration.

“This is an exciting partnership agreement, especially as operators supporting the drive in these integrations. EveryMatrix are strategic partners with several marquee operators that we’re keen to expand our platform and portfolio of games into,” Gareth Scott, commercial director of Gaming Realms, said.

“Adding Slingo Originals’ portfolio of exciting titles to our CasinoEngine library is excellent news for our worldwide operators. Gaming Realms has a reputation of taking entertainment to a superior level and their games have already proved to be successful in many markets,” Amund Stensland, CasinoEngine COO at EveryMatrix, said.

[nashwan123] 01/7/2021 16:41

Super rise (13%) coincided with US markets opening. I feel the share price is lagging behind the earnings curve here.

[epicsurf] 01/7/2021 12:42

We have another very exciting announcement this week: our new licensing and distribution agreement with EveryMatrix! Our Slingo Originals portfolio will be distributed to EveryMatrix’s iGaming Integration Platform (CasinoEngine) in order to reach a global network of operators, including some of the largest names in the iGaming industry.

[johneee] 01/7/2021 12:27

When are Q1 numbers due from GMR? During July or later

[lanista 0202] 30/6/2021 20:56

So now we can see, even after the brilliant news from Michigan, there is no appetite to buy shares - this trend will last. Broker put a target price of 60, the company has 6 million in cash in the bank, GMR is doing absolutely brilliant everywhere, and people still find 30-32 to be not a good buy. Simply, this company needs to be sold.

[epicsurf] 30/6/2021 08:06

launch of three Slingo games in Michigan with BetMGM, the joint venture between Entain and MGM is another piece of the strategic puzzle slotting into place as expected, says Peel Hunt.

“With continued solid underlying growth in online gambling markets and a bow wave for Gaming Realms from relatively recent client wins,” buy is its recommendation with a 60p target price.

Michigan, which legalised both sports betting and online gaming in January 2021, has grown quickly to be the third-largest state in terms of GGR, much faster growth than was expected prior to launch.

BetMGM is the iGaming market leader in Michigan and Gaming Realms has signed agreements with other leading operators in the state.

“It appears that Gaming Realms has fewer competitors in terms of content suppliers in Michigan and there is therefore the potential for the revenue contribution from the state to exceed the £0.7m we have pencilled in for FY21E.”

[brownie69] 29/6/2021 07:57

At last!

Will be interesting to see how the share price reacts.

[someuwin] 29/6/2021 07:12

29 June 2021

Gaming Realms Plc

("Gaming Realms", the "Company" or the "Group")

Gaming Realms launches content in Michigan, U.S.A

Gaming Realms plc (AIM: GMR), the developer and licensor of mobile focused gaming content, is pleased to announce that, having received its provisional supplier license earlier this year, it has now launched its Slingo Originals content in Michigan, U.S.A. with BetMGM.

BetMGM is a leading sports-betting and online gaming operator in the U.S. and, as of May 2021, is the market leader of the iGaming market in Michigan.

Under the terms of the direct integration agreement between BetMGM and the Company, BetMGM has launched with an initial three Slingo games, with more games scheduled to follow shortly.

The Company has also signed agreements for Michigan with a number of other leading operators in the market, and its full portfolio of Slingo Originals games is set to go live in Michigan over the coming weeks.

Michael Buckley, Executive Chairman of Gaming Realms, commented: "We are delighted to be launching our Slingo games in Michigan, our second U.S. state, as we continue to increase our presence in the U.S. and capitalise on the expanding U.S. iGaming market.

"BetMGM is a leading operator which has been successfully distributing our Slingo portfolio to the New Jersey iGaming market for some time. With further agreements signed with some of the largest operators in the U.S., our full suite of Slingo games will be released to the Michigan iGaming market soon, and we look forward to providing further updates in due course."

[epicsurf] 28/6/2021 17:14

Online gaming operator NetBet has secured casino, poker and sports betting licences from the Hellenic Gaming Commission, securing a foothold in the Greek market.

The operator will launch its suite of four thousand casino titles in the sector, including latest and most popular slot releases, in addition to covering thousands of sports markets on a monthly basis. The licences will be valid for a seven-year period, after which NetBet will apply for renewal.

[adamb1978] 28/6/2021 09:23

Hi Lanista

All those macro points are very fair however they apply to most equities (at least those which dont benefits from those circumstances which you state). Personally I invest on a 2-3 year basis and dont believe I'm clever enough to predict some of those things will unfold. I've also foregone huge gains from selling too early and being too desperately to bank profits / take money off the table. I prefer to try to find good companies and then for as long as the investment thesis holds, try to apply masterful inactivity!
ALl the best,

Adam

[lanista 0202] 27/6/2021 21:00

Hi Adam, I appreciate your opinion very much, no one is counting the possibility of changes caused by inflation,the world markets and the economy in general. Here everyone is presuming that everything is going to go smoothly for the next 3-4 years, and I hope that it does. In my experience, whenever it comes to certain changes in inflation and the economy, the first companies that suffer are small cap, which GMR is. So waiting for an imaginary 80p is too risky. On the other side, the shareholder register has not changed much, maybe 30-40 million, but that is nothing, so I presume that the majority of big shareholders are still people who have been in the company for 7 years, and I'm not sure that their patience is that strong. Also, there are quite a few loose shares, and those people can drop the share price with a very small volume. My firm belief is that GMR can now pick up a bid of 60-65p, if management wants that; so can you please explain to me if an extra 15p is worth the risk of keeping this company for the next 3 years.

[adamb1978] 27/6/2021 10:51

Hi Lanista

Interesting post - I think I read it 3 times! However just to challenge what you said, there wasn't there anything company specific in there, so how do you see GMR being any different to another other growing company? In which case, what reason is there not to expect a gradual trend higher over coming years which has some parallel with what you say but simply just goes like:
- company releases decent results
- buyers come in, price goes up
- price gets ahead of itself as various mentions in popular tip sheets etc
- frothiness comes off between results and price drifts back, but to a high level that before the recent results
- company release decent results
- etc etc etc

In my view, we have a company here which is growth very strongly and is profitable. If we go out a couple years and put it on a PE of 30x-40x, which a profitable growing company should deserve as a minimum, you can get a price in the 80p-100p range. Its also on a EV/sales multiple of around 4x for FY23 currently.

Personally I dont get hung up about the share price given that I'm looking to hold for a couple years. I've set a limit order just above the 200DMA and would be happy to add more if its gets there.

Adam

[brownie69] 25/6/2021 17:45

I cant predict future SPs in detail. But I think I have a different perspective on how this could get valued in a sale.

I am a believer in the business model and the games. The fact that this has US traction and that by extension means the quality of the games is great.

We also know that GMR keep signing big names in the gambling world as clients such as IGT. Its actually easier to think about who is not a client amongst the big boys now. Thus they have ready made distribution as the US opens.

Longer term, I cant say when, but someone will make a move on this company as they prove their market share in more states. When that happens given the client base its easy to imagine an auction starting and due to FOMO and those not wanting to rely on games owned by a competitor.

That makes this a snip in my opinion as even at 70p its only a £200m market cap.

In the world of the big boys thats nothing. They can justify that and much higher prices based on how much their distribution will monetise the games.

[alphabeta4] 25/6/2021 10:51

FWIW I think some are overthinking this - revenue went £5.2m H1 last year, £6.2m H2. Needs to get to £14.9m this year to beat the Align note (which was upped from £13.8m) post finals. So £7.2m, £8.2m would do this on current trajectory and have already guided 'marginally ahead'. To me it looks these state wins are more driving the 2022 numbers and are almost a 'bonus' given the otherwise conservative guidance.

Last year this had a ts 2/6 which was unscheduled as shares were trading significantly ahead, outside of this usually don't get an update now until interims due c26/9. The theoretical downside would require them to reverse the trading ahead commentary and end up significantly behind for there to be a RNS, I just don't see that happening, effectively the company is in a sweet spot for the next couple of months where the only news we're likely to get is that they've gone live leading to a bounce in the price given it's gone down a quarter from the high (which btw is nothing new - it did the same in October-November last year).

So overall I think this will see decent support at 32p and will regain the 45p for a quick turn of over 30% within a few weeks. I'm not invested heavily here but that looks too good to turn down so I've added a trade to my position.

[sspurt] 24/6/2021 16:52

Interesting comment(s)...just not sure I am any the wiser

[adamb1978] 22/6/2021 10:19

Thanks for the industry background theherg88

[melody9999] 22/6/2021 09:40

IGT posted $1.02Bn revenue in Q1 2021. $4Bn a year suggests they must have a lot of customers and users. An important partnership hence the RNS I guess.

[theherg88] 22/6/2021 09:04

You'll also note tyhat Mark Blandford (a very shrewd industry legend) bought another 280k at 36p taking him to 10m shares+ - 3.6% of the business. He will be expecting M and A activity in the short/medium term

[theherg88] 22/6/2021 09:01

@AdamB1978 - I have worked in the online gambling market for 20 years and know the CEO etc of GMR. I suspect they haven't started fully building out the games yet using IGT's IP so it will be 4-6 months before they're complete and certified.

In the US they will perform strongly as IGT's brands are so well known and loved by players.

As a general note to this thread PA and MI are performing strongly for Gross Gaming Revenue (GGR) but underlying Net Win is hugelu impacted by crazy bonusing levels (over 50% often) and prhibitive tax in PA etc. I expect GMR to be bought for 80p a share by the start of next year IMHO

[brownie69] 22/6/2021 06:09

I'm not worried about the news flow here.

Just remember where we were 18 months ago. Since then its been a string of upgrades and good news announcements of which IGT is the latest.

I agree with Langham that maybe the share price got a bit ahead of itself around the time when Cannaccord must have been building their stake. 38 to 40p feels right for now based on the house broker estimates.

I do think that the company have created an expectation with investors re Penn and Michigan by having confirmed that they have licenses in both. News that we have gone live is now becoming important and could trigger me to buy more. Lack of such news could be behind the recent decline in share price but could easily be reversed by confirmation that we are live and a followup to say that we are getting good uptake etc.

[rimau1] 21/6/2021 22:51

Mylands - pretty sure today constituted a price sensitive announcement!!