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G5 Entertainment: Another slow quarter; waiting for a trigger - SEB

With the war in Ukraine and a weak mobile gaming market, G5 had a tough year in 2022. There have been few new releases, which has resulted in net sales developing in line with a slow market. We make minor downward revisions to 2023E-25E sales of 3%, but keep EBIT largely unchanged as we forecast a lower UA spend going forward. As a result, we trim our DCF-based mid-point fair value estimate of SEK 270 (280) per share.

With the war in Ukraine and a weak mobile gaming market, G5 had a tough year in 2022. There have been few new releases, which has resulted in net sales developing in line with a slow market. We make minor downward revisions to 2023E-25E sales of 3%, but keep EBIT largely unchanged as we forecast a lower UA spend going forward. As a result, we trim our DCF-based mid-point fair value estimate of SEK 270 (280) per share.
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