solid article glad to be first to comment- thank you for your work! solid and reassuring analysis. One point to consider to further anchor the value opportunity higher would be to purely value both the video game business and the ip library. i’ve seen rational valuations for both that substantiate 30B and 90B enterprise values respectively- not counting most of the actual revenue streams in the valuations. i think it’s a safe bet even with bad macros for 2-3 years for this to be a 80-120$ stock...once management proves it’s mettle and ability, multiples and earnings should climb -quickly!
ps 1 decimal point (213pct not 2183) typo:”also possible that analysts overstated 2025’s EBITDA. To be conservative, let us use a lower 2025 EBITDA estimate of $13,000 million. For this case, with a margin of safety of 15%, we have a TP of $35 for 2025, representing a 2183% upside from today’s prices ( 30% CAGR)
solid article glad to be first to comment- thank you for your work! solid and reassuring analysis. One point to consider to further anchor the value opportunity higher would be to purely value both the video game business and the ip library. i’ve seen rational valuations for both that substantiate 30B and 90B enterprise values respectively- not counting most of the actual revenue streams in the valuations. i think it’s a safe bet even with bad macros for 2-3 years for this to be a 80-120$ stock...once management proves it’s mettle and ability, multiples and earnings should climb -quickly!
ps 1 decimal point (213pct not 2183) typo:”also possible that analysts overstated 2025’s EBITDA. To be conservative, let us use a lower 2025 EBITDA estimate of $13,000 million. For this case, with a margin of safety of 15%, we have a TP of $35 for 2025, representing a 2183% upside from today’s prices ( 30% CAGR)
Thank you for your kind feedback and for catching the typos. I'll definitely have to take a deeper look into their gaming business!