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Evolution Gaming Group AB (EVVTY) AI Stock Analysis
Evolution Gaming Group AB
(Other OTC:EVVTY)
The overall score of 78 reflects a high-quality company facing a growth transition. The company's primary strength is its exceptional financial foundation, characterized by elite profitability and a debt-free balance sheet. The earnings call reinforces this with a return to growth and strong margins, but also confirms significant regional challenges. The low valuation provides a potential cushion, while mixed technicals suggest the market is in a wait-and-see mode. The most significant risk is the sustainability of the top-line recovery amid the Brazil ban and European weakness.
Evolution Gaming Group AB (EVVTY) vs. SPDR S&P 500 ETF (SPY)
- Market Cap
- $15.18B
- Dividend Yield
- ―
- Average Volume (3M)
- 11.82K
- Price to Earnings (P/E)
- 13.9
- Beta (1Y)
- 0.51
- Revenue Growth
- 4.40%
- EPS Growth
- 2.65%
- Country
- US
- Employees
- 16,243
- Sector
- Consumer Cyclical
- Sector Strength
- 61
- Industry
- Gambling, Resorts & Casinos
Evolution Gaming Group AB Business Overview & Revenue Model
Company Description
Evolution AB (publ) develops, produces, markets, and licenses innovative live casino and slot gaming solutions for online operators, primarily in the European and United States markets. The company's signature offering involves streaming live game pl...
How the Company Makes Money
Evolution primarily makes money by supplying casino game content and operating infrastructure to online gambling operators on a B2B basis. Its core revenue is generated when operators offer Evolution’s games to players: Evolution is typically compens...
Evolution Gaming Group AB Earnings Call Summary
The call was predominantly positive, with revenue returning to year-on-year growth, strong EBITDA margins, robust cash flow and cash conversion, growth in North America, LatAm and Africa, continued studio and product expansion, and maintained margin guidance. The main negative topics were the uncertain Brazilian ban and studio closure, Europe's year-on-year decline, ongoing cybercrime issues in Asia, higher personnel cost growth, and continuing litigation.
Q3-2026 Updates
Positive Updates
Negative Updates
Company Guidance
For the full year, the EBITDA margin target remains 66%, and margin guidance remains “in line with last year”; buybacks will continue through Q4 and Q1, “although at a somewhat lower pace than in Q3” and aligned more closely with cash generation, while the company aims to remain in a net cash position with no debt. Evolution expects to open a fourth studio in New Jersey during Q4, also serving Delaware, taking its U.S. footprint to 8 operative hubs, with a “good ramp-up in medium term”; Spinning Whale’s first game will be available in November, Game Night will launch “very soon,” and management expects a “spectacular road map” and a “spectacular year” in 2027. In Brazil, the company is ready to reopen the studio on short notice if the market reopens and is planning further expansion in Colombia and building momentum in Argentina with its 2 studios there.
Evolution Gaming Group AB Financial Statement Overview
Summary
Exceptional profitability with a 50.5% net margin and a fortress balance sheet with a 0.02x debt-to-equity ratio. However, a sharp 24.5% TTM revenue decline and a 62.1% drop in free cash flow growth signal a critical top-line contraction, tempering an otherwise elite financial profile.
Income Statement
85Very PositiveBalance Sheet
92Very PositiveCash Flow
78Positive| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 2.12B | 2.07B | 2.06B | 1.80B | 1.46B | 1.07B |
| Gross Profit | 1.89B | 2.12B | 2.11B | 1.80B | 936.13M | 1.09B |
| EBITDA | 1.40B | 1.37B | 1.59B | 1.28B | 1.01B | 730.94M |
| Net Income | 1.05B | 1.06B | 1.24B | 1.07B | 843.36M | 605.43M |
Balance Sheet | ||||||
| Total Assets | 5.08B | 5.52B | 5.35B | 4.97B | 4.37B | 3.90B |
| Cash, Cash Equivalents and Short-Term Investments | 667.52M | 817.60M | 787.07M | 985.76M | 532.55M | 421.43M |
| Total Debt | 111.16M | 91.07M | 93.66M | 79.46M | 79.55M | 67.81M |
| Total Liabilities | 1.41B | 1.45B | 1.37B | 967.27M | 909.09M | 712.12M |
| Stockholders Equity | 3.67B | 4.08B | 3.97B | 4.01B | 3.46B | 3.19B |
Cash Flow | ||||||
| Free Cash Flow | 1.18B | 1.12B | 1.16B | 1.07B | 780.53M | 537.30M |
| Operating Cash Flow | 1.30B | 1.21B | 1.30B | 1.17B | 877.47M | 598.89M |
| Investing Cash Flow | -67.05M | -139.44M | -247.97M | -139.36M | -371.60M | -154.95M |
| Financing Cash Flow | -1.24B | -1.05B | -1.24B | -574.50M | -394.20M | -248.52M |
Evolution Gaming Group AB Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EVVTY, the sentiment is Positive. The current price of 83.83 is above the 20-day moving average (MA) of 81.66, below the 50-day MA of 84.64, and above the 200-day MA of 72.72, indicating a neutral trend. The MACD of 0.20 indicates Negative momentum. The RSI at 55.58 is Neutral, neither overbought nor oversold. The STOCH value of 76.06 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for EVVTY.
Evolution Gaming Group AB Peers Comparison
Overall Rating
SGHC81Outperform- EVVTY78Outperform
CDRO70Outperform
RSI70Outperform
DKNG64Neutral
MGM52Neutral
Financial Indicators
| Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
| SGHC | 81Outperform | $5.43B | 14.64 | 45.70% | 4.12% | 17.33% | 176.52% |
| EVVTY | 78Outperform | $15.35B | 13.85 | 26.01% | ― | 4.40% | 2.65% |
| CDRO | 70Outperform | $393.31M | 60.26 | 31.40% | ― | 6.33% | -150.96% |
| RSI | 70Outperform | $2.81B | 35.28 | 21.96% | ― | 38.66% | 9.55% |
| DKNG | 64Neutral | $18.60B | -62.08 | -26.30% | ― | 15.03% | 46.89% |
| Sector * | 61Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% |
| MGM | 52Neutral | $7.58B | 11.30 | 28.11% | ― | 2.57% | 1487.04% |
* Consumer Cyclical Sector Average
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| EVVTY | Evolution Gaming | 83.83 | 16.14 | 23.84% | |
| MGM | Mgm Resorts International | 29.96 | -2.17 | -6.75% | |
| DKNG | Draftkings Inc | 20.91 | -9.66 | -31.60% | |
| RSI | Rush Street Interactive, Inc. | 12.12 | -4.81 | -28.41% | |
| SGHC | Super Group (Sghc) Limited | 10.69 | 0.57 | 5.64% | |
| CDRO | Codere Online | 8.65 | 2.53 | 41.34% |
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.
Date of analysis: Oct 24, 2026