Edison Investment Research Limited
London, UK, 8 Mai 2024
Edison issues update on MGI - Media and Games Invest (M8G): A strong start to the year MGI's Q124 report shows an impressive 21% organic revenue uplift over Q123, with both good new client recruitment and higher spend from existing clients as corporate confidence rebuilds. With the market shift towards privacy-first advertising, despite Google's continued deadline extensions for full cookie withdrawal, MGI's AI-driven contextual targeting solution is well-placed. The move to a single infrastructure on the Google cloud should enhance scalability and improve efficiency. Our forecasts are edged ahead, to the midpoint of management revenue guidance, which is restrained by caution over the macroeconomic outlook. The rating remains at a discount to peers, despite an 80% share price gain year to date. Adtech shares have had mixed performances over the year to date, averaging out positive, with scale a clear benefit. MGI has outperformed the peer set strongly over the same period (+80%) and is in the upper echelons over 12 months (+43%), reducing the discount at which it trades across pure adtech and relevant content categories. Parity of rating on EV/revenue and EV/EBITDA across FY24-25e would now see the price climb to €3.73 (from €3.70 in March). Click here to view the full report. All reports published by Edison are available to download free of charge from its website www.edisongroup.com About Edison: As a content-led investor-relations business, Edison helps companies stand out and meet the right shareholders. Edison's integrated investor relations solution combines expert analyst content, digital targeting and active investor engagement. This drives liquidity and valuations by building bigger, better informed and more engaged investor audiences globally. Edison has a proven history of increasing liquidity and valuations for its clients. Edison's content can be viewed by all investors, anywhere in the world. Edison is authorised and regulated by the Financial Conduct Authority. Edison is not an adviser or broker-dealer and does not provide investment advice. Edison's reports are not solicitations to buy or sell any securities. For more information, please contact Edison: Fiona Orford-Williams +44 (0)20 3077 5739 media@edisongroup.com Learn more at www.edisongroup.com and connect with Edison on: LinkedIn https://www.linkedin.com/company/edison-group-/ Xwww.twitter.com/Edison_Inv_Res YouTube http://www.youtube.com/edisonitv Dissemination of a CORPORATE NEWS, transmitted by EQS Group. |
1898949 08-May-2024
