
LNW Stock Forecast & Price Target
LNW Analyst Ratings
Bulls say
Light & Wonder reported a significant increase in systems revenue, reaching US$88 million in 4Q24, representing a 24% year-over-year growth and exceeding market expectations, indicating strong demand in the gaming hardware and software sectors. The company is actively enhancing its direct-to-consumer penetration within its SciPlay segment, now at 13%, with a projected increase to 16% by 2025, suggesting a favorable trend in revenue generation from its mobile gaming initiatives. Furthermore, the consistent growth of the North American installed gaming base, achieving the 18th consecutive quarter of expansion, and positive EBITDA growth outlook of 8%-13% underscore Light & Wonder's robust market position and potential for sustained profitability.
Bears say
Light & Wonder's financial outlook is hampered by a significant decline in international outright sales, which dropped by 51% year-over-year, indicating a lumpy earnings profile and weaker cash conversion relative to their gaming operations. The company's expectation that no U.S. jurisdictions will legalize iGaming in 2025 suggests limited growth potential in this area for the near term, with more favorable opportunities likely pushed to 2026 and beyond. Additionally, the stock has experienced earnings downgrades, reflecting weak analyst sentiment and a challenging environment for land-based gaming operations, despite maintaining market leadership in the U.S. and Australia.
This aggregate rating is based on analysts' research of Light & Wonder Inc and is not a guaranteed prediction by Public.com or investment advice.
LNW Analyst Forecast & Price Prediction
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