Playstudios Q2 Earnings: Bargain Valuation Amid Persistent Organic Growth Challenges (Rating Downgrade)
Summary
- Playstudios shares are down sharply since its Q2 earnings release, where weak performance prompted a reduction to full-year guidance.
- Despite the organic growth challenges that the company is facing, valuation appears attractive with more than half its market cap in cash.
- While capital allocation remains key, due to the ongoing uncertainty and the lack of near-term catalysts, I am downgrading MYPS stock to a hold.
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