We think now is the right time to analyze Elys Game Technology, Corp. (NASDAQ: ELYS) because it looks like the company is on the cusp of a huge accomplishment. Elys Game Technology, Corp. provides online and land-based gaming services in Europe and North America. With the latest loss of US $ 9.9 million and a year-over-year loss of US $ 13 million, the US $ 70 million market-cap company amplified its loss by moving further away from its profitability target. . The most pressing concern for investors is Elys Game Technology’s journey to profitability – when will it break even? In this article, we’ll discuss the company’s growth expectations and when analysts expect it to become profitable.
Check out our latest review for Elys Game Technology
According to the 4 industry analysts covering Elys Game Technology, the consensus is that the breakeven point is near. They expect the company to make a terminal loss in 2022, before making a profit of $ 8.1 million in 2023. So the company is expected to break even in about 2 years. How fast will the business need to grow each year to break even by 2023? Working backwards on analysts’ estimates, it turns out that they expect the company to grow 97% on average over one year, which is extremely dynamic. If this rate turns out to be too aggressive, the company could become profitable much later than analysts predict.
Since this is a high-level preview, we won’t go into details of Elys Game Technology’s upcoming projects, however, keep in mind that a high growth rate doesn’t is generally not unusual, especially when a company is in an investment period.
One thing we would like to point out is that the company has managed its capital wisely, with debt accounting for 0.9% of equity. This means that it has mainly financed its operations from equity and its low debt reduces the risk of investing in the loss-making company.
This article is not intended to be a full review on Elys Game Technology, so if you want to understand the business on a deeper level, take a look at the Elys Game Technology company page on Simply Wall St We have also compiled a list of the essential factors that you should consider:
- Evaluation: What is Elys Game Technology worth today? Has the potential for future growth already been factored into the price? The intrinsic value infographic in our free research report helps to visualize whether Elys Game Technology is currently being poorly valued by the market.
- Management team: An experienced management team at the helm increases our confidence in the company – find out who sits on the Elys Game Technology board and the CEO’s journey.
- Other high performing stocks: Are there other stocks that offer better prospects with a proven track record? Check out our free list of these great stocks here.
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This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts using only unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock and does not take into account your goals or your financial situation. Our aim is to bring you long-term, targeted analysis based on fundamental data. Note that our analysis may not take into account the latest announcements from price sensitive companies or qualitative documents. Simply Wall St has no position in any of the stocks mentioned.