PlayAGS, Inc. (NYSE: AGS) identified as top hedge fund pick with $744.8B gambling market growth by 2028.
Small-cap casino stock PlayAGS, Inc. (NYSE: AGS) is identified as a top pick by hedge funds, with the global gambling market expected to reach $744.8 billion by 2028, growing at a 6.6% CAGR. PlayAGS operates primarily in Electronic Gaming Machines (EGM), Table Products, and Interactive Games segments. In Q4 2023, PlayAGS demonstrated strong revenue growth at 15% YoY. Factors driving the gambling market's growth include legalization of gambling, rapid urbanization, increased internet penetration, and rising social media use. Hedge funds believe that small-cap stocks will outperform the market in the coming years, as they trade at a Forward P/E of around 10 with earnings expected to grow.
August 25, 2024
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