One-glance verdict
Undervalued
$70.90 our estimate vs market $4.66
Wall Street consensus: $5.00 (-92.9% lower than our fair-value estimate)
93% below our estimate, below the bear case
Fundamentals snapshot
PLAYSTUDIOS, Inc.
MYPS · NCM · Communication Services · Electronic Gaming & Multimedia
Current price
$4.66
52-week range
$3.53 - $8.51
Market cap
$55.98M
Balance sheet
Healthy
-10.62x Concerning
Net cash $91.40M. Interest coverage shows how many times profit covers the interest bill.
What stands out
1 Reward
1 Risk
1 rewards · 1 risks
- Reward Free cash flow was positive in 7/10 years.
- Risk Return on equity was -22.5% last year — the company lost money on shareholders' equity.
What this company does
PLAYSTUDIOS, Inc.
PLAYSTUDIOS makes free-to-play mobile games like casino and puzzle games that people enjoy playing on their phones. Most of their money comes from people buying virtual items within the games, and this matters because it shows how popular and engaging their games are to players. They also have a unique loyalty program that lets players earn real-world rewards, like hotel stays or discounts, by playing their games.
How the company got here
PLAYSTUDIOS, Inc. was founded in 2011 with a vision to blend the excitement of casino-style gaming with the accessibility of mobile devices. The company's journey began with its flagship title, myVEGAS Slots, which quickly gained traction by offering a unique rewards program. This early success laid the foundation for expansion into other game genres and platforms. A key turning point was the integration of real-world rewards, allowing players to redeem in-game achievements for tangible benefits, setting PLAYSTUDIOS apart in the competitive gaming landscape.
What it actually does
PLAYSTUDIOS creates and publishes free-to-play casual games that people can enjoy on their smartphones, tablets, and social media. Think of games like slots, blackjack, bingo, and solitaire, but designed for fun rather than real money gambling. The unique twist is that by playing these games, users can earn "PlayAwards" which can be redeemed for real-world perks like hotel stays, meals, or entertainment at partner venues. This model encourages continued engagement by offering tangible benefits beyond just virtual achievements.
playGAMES
The playGAMES segment is the core of PLAYSTUDIOS's business, encompassing all of its mobile and social casino-style games. This includes popular titles such as myVEGAS Slots, POP! Slots, and my KONAMI Slots. Players download these games for free and can choose to make in-app purchases for virtual currency or other advantages. The success of this segment is driven by its ability to attract and retain a large player base, who are then exposed to the company's loyalty program.
playAWARDS
The playAWARDS segment is what makes PLAYSTUDIOS unique in the gaming world. It's a loyalty program that allows players to earn "PlayAwards" by playing the company's various games. These awards can then be redeemed for a wide array of real-world experiences and discounts from PLAYSTUDIOS's network of partners, which often include hotels, restaurants, and entertainment venues. This segment acts as a powerful incentive for players to keep engaging with the games, as it offers tangible value beyond the virtual gameplay.
What management is betting on now
PLAYSTUDIOS is focused on expanding its portfolio of games and strengthening its playAWARDS loyalty program. Management is looking to introduce new game titles and explore different genres to attract a broader audience. A key strategic priority is to deepen partnerships with existing and new brands to enhance the value and appeal of the rewards offered through playAWARDS. The company is also investing in technology to improve player engagement and explore new monetization strategies within its free-to-play model.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2024 Q4
$11.46M
FY2025 Q1
$3.18M
FY2025 Q2
$13.23M
FY2025 Q3
$5.35M
FY2025 Q4
$3.61M
FY2026 Q1
$3.65M
FY2026 Q2
$5.43M
FY2026 Q3
$7.58M
Revenue
$48.92M
Net income
$-11.04M
Diluted EPS
-0.92
Operating cash flow
$8.03M
Free cash flow
$7.58M
Fetching…
Sources
Revenue
$54.99M
Net income
$-13.27M
Diluted EPS
-0.10
Operating cash flow
$5.64M
Free cash flow
$5.43M
Fetching…
Sources
Revenue
$58.41M
Net income
$-10.68M
Diluted EPS
-0.08
Operating cash flow
$3.72M
Free cash flow
$3.65M
Fetching…
Sources
Revenue
$55.40M
Net income
$-13.69M
Diluted EPS
-0.12
Operating cash flow
$3.74M
Free cash flow
$3.61M
Fetching…
Sources
Revenue
$57.65M
Net income
$-9.12M
Diluted EPS
-0.07
Operating cash flow
$5.66M
Free cash flow
$5.35M
Fetching…
Sources
Revenue
$59.34M
Net income
$-2.95M
Diluted EPS
-0.02
Operating cash flow
$13.64M
Free cash flow
$13.23M
Fetching…
Sources
Revenue
$62.71M
Net income
$-2.88M
Diluted EPS
-0.02
Operating cash flow
$3.30M
Free cash flow
$3.18M
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Sources
Revenue
$67.78M
Net income
$-22.41M
Diluted EPS
-0.18
Operating cash flow
$11.62M
Free cash flow
$11.46M
Fetching…
Sources
Is it cheap or expensive?
Fair value $70.90 vs current price $4.66
Wall Street consensus is the average analyst price target: $5.00 (-92.9% lower than our fair-value estimate).
Our most-likely fair value is $70.90 a share — about 1,421.4% above today's price of $4.66, so the stock currently looks cheap (undervalued).
Is it drowning in debt?
Healthy
Net cash $91.4M - more cash than debt. Interest coverage -10.6x.
Net debt
$-91.40M
Interest coverage
-10.62x
PLAYSTUDIOS, Inc.'s profit covers its interest bill about 0.0 times over. which is weaker than most peers shown here and 3 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Healthy
Worse cushion
Baseline
Better cushion
MYPS
BASELINE
PLAYSTUDIOS, Inc.
Total debt $4.46M Interest coverage -10.62x This is the baseline the peer rows are being compared against.
Total debt $37.45M Interest coverage 70.96x This peer still has a real interest-payment cushion, while MYPS does not.
Total debt $688.00K Interest coverage -83.47x Neither company has much profit cushion over interest right now.
Total debt $7.00M Interest coverage -3.59x Neither company has much profit cushion over interest right now.
Total debt $349.50M Interest coverage 0.91x This peer still has a real interest-payment cushion, while MYPS does not.
What you should know
The case for and against MYPS
1 Reward
1 Risk
Rewards
-
Free cash flow was positive in 7/10 years.
Risks
-
Return on equity was -22.5% last year — the company lost money on shareholders' equity.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
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Forward P/E
359.57x
P/B
0.29x
P/S
0.26x
EV/EBITDA
-2.43x
PEG ratio
4.37x
Profitability
How much profit each dollar creates
Gross margin
79.1%
Operating margin
-2.9%
Net margin
-22.4%
ROE
-22.5%
ROA
-5.5%
Health
Liquidity and balance-sheet strength
Debt / equity
0.02x
Current ratio
3.33x
Quick ratio
3.19x
Total debt
$4.46M
Total cash
$95.86M
Growth
How the business has been compounding
Revenue TTM
$217.72M
Revenue 5Y CAGR
-4.9%
EPS TTM
-3.89
EPS 5Y CAGR
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Cash flow
How much cash the business throws off
Operating CF TTM
$21.12M
Free CF TTM
$25.37M
FCF margin
11.7%
Dividend
Shareholder payout
Yield
0.0%
Payout ratio
0.0%
Last ex-div date
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