Games Workshop (GAW) AI Stock Analysis

• Market Cap: £5.39B
• Dividend Yield: 3.15%
• Average Volume (3M): 54.29K
• Price to Earnings (P/E): 30.8
• Beta (1Y): 1.23
• Revenue Growth: 17.40%
• EPS Growth: 25.15%
• Country: UK
• Employees: 2,950
• Sector: Consumer Cyclical
• Sector Strength: 58
• Industry: Leisure
• EPS (TTM): 2.88
• Shares Outstanding: 32,971,750
• 10 Day Avg. Volume: 35,500
• 30 Day Avg. Volume: 54,286
• PEG Ratio: 4.75
• Price to Book (P/B): 13.23
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 18.78
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: £11,850.00
• Price Target Upside: -27.70% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1

• Rating: 79 Outperform
• Price Target: 17,538.00p ▲(7.00%Upside)

Games Workshop scores strongly due to its robust financial performance and positive corporate developments. While the stock's technical indicators and valuation suggest some caution, the company's strategic actions and strong financial metrics underpin investor confidence. These factors collectively result in a favorable overall score.

Positive Factors

Earnings

Group profit before tax is expected to be approximately £255m, comfortably ahead of market expectations.

Licensing Revenue

Licensing revenue is expected to reach approximately £45m, marking an impressive increase of 167%.

Media and Licensing

Games Workshop has announced that it has agreed creative guidelines and reached a final agreement with Amazon for the adaptation of Warhammer 40k into films and TV series.

Negative Factors

Production Timeline

Production processes in respect of film/TV may take 'a number of years', but the opportunity is seen as too compelling.

Share Price

The shares have had a strong run (6m +25%) but are likely to see further growth.

Games Workshop Business Overview & Revenue Model

Company Description

Games Workshop Group PLC, together with its subsidiaries, designs, manufactures, distributes, and sells miniature figures and games in the United Kingdom, Continental Europe, North America, Australia, New Zealand, Asia, and internationally. It operates in two segments, Core and Licensing. The company offers games under the Warhammer: Age of Sigmar and Warhammer 40,000 names, as well as Horus Heresy, an off shoot of Warhammer 40,000. It also publishes short stories, audio dramas, full length novels, and audio books under the Black Library name; and develops digital content for animation and TV. In addition, the company provides painting and modelling products, boxed games, and gifts; and engages in the newsstand and trustee businesses. It offers its products through its retail stores, social media sites, and warhammer-community.com; and physical bookstores, third party online platforms, and other retail and specialist stores. The company operated 518 stores in 23 countries; 400 single staff stores; and 118 multi-staff stores. Games Workshop Group PLC was incorporated in 1991 and is headquartered in Nottingham, the United Kingdom.

How the Company Makes Money

Games Workshop makes money primarily through the sale of its miniature models, rulebooks, and related hobby products. Its revenue streams include direct sales from its retail stores and online platforms, as well as wholesale distribution to independent retailers. The company also generates income from licensing agreements, allowing other companies to produce video games, merchandise, and media content based on its intellectual properties. Key factors contributing to its earnings include its strong brand presence, dedicated fan base, and a diverse product lineup that encourages customer engagement and repeat purchases.

Games Workshop Financial Statement Overview

Summary

Games Workshop demonstrates strong financial health with impressive profitability metrics. The company maintains a healthy balance sheet with low debt levels and efficient cash flow management. Continued revenue growth and operational efficiency further bolster its financial standing.

Income Statement

Games Workshop demonstrates strong profitability with a consistent upward trajectory in revenue growth, featuring a gross profit margin of 71.2% and a net profit margin of 28.7% for the latest period. The company has maintained steady EBIT and EBITDA margins, reflecting efficient operations. Continued revenue growth over the years signifies a robust business model.

Balance Sheet

The company maintains a healthy balance sheet with a low debt-to-equity ratio of 0.19, indicating prudent financial management. A substantial equity ratio of 71.6% reflects strong capital structure stability. However, monitoring the slight increase in total debt is advisable to sustain financial health.

Cash Flow

Games Workshop's cash flow is strong, with significant free cash flow generation and an operating cash flow to net income ratio of 1.3, indicating efficient cash conversion. The company shows a stable free cash flow with a slight dip in growth, but overall cash flow management remains robust.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
577.50M	525.70M	470.80M	414.80M	369.50M	269.70M
	Gross Profit
411.80M	374.50M	319.80M	282.70M	269.30M	177.00M
	EBIT
237.80M	201.80M	175.30M	159.30M	153.40M	74.30M
	EBITDA
250.90M	243.30M	211.00M	169.90M	178.10M	115.10M
	Net Income Common Stockholders
174.90M	151.10M	134.70M	128.40M	122.00M	71.30M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
125.80M	107.60M	90.20M	71.40M	85.20M	52.90M
	Total Assets
396.20M	351.30M	326.80M	321.10M	281.70M	207.60M
	Total Debt
46.40M	47.20M	49.90M	48.90M	47.00M	37.00M
	Net Debt
-79.40M	-60.40M	-40.30M	-22.50M	-38.20M	-15.90M
	Total Liabilities
107.40M	99.90M	91.70M	86.40M	85.40M	73.90M
	Stockholders Equity
288.80M	251.40M	235.10M	234.70M	196.30M	133.70M
Cash Flow		Free Cash Flow
178.10M	163.60M	165.60M	89.40M	102.90M	80.00M
	Operating Cash Flow
199.80M	196.20M	193.90M	121.70M	132.90M	104.60M
	Investing Cash Flow
-38.80M	-30.10M	-28.30M	-32.30M	-30.00M	-24.60M
	Financing Cash Flow
-147.70M	-148.50M	-146.60M	-103.60M	-70.00M	-56.80M

Games Workshop Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 16390.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:GAW, the sentiment is Positive. The current price of 16390 is above the 20-day moving average (MA) of 15914.00, above the 50-day MA of 15200.80, and above the 200-day MA of 13308.35, indicating a bullish trend. The MACD of 331.26 indicates Negative momentum. The RSI at 63.64 is Neutral, neither overbought nor oversold. The STOCH value of 71.20 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:GAW.

Games Workshop Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GAW	79 Outperform	£5.39B	30.80	65.47%	3.15%	17.40%	25.15%
BOWL	74 Outperform	£418.75M	14.91	18.88%	0.07%	7.46%	-18.88%
FSTA	74 Outperform	£323.11M	12.42	6.45%	2.51%	2.22%	98.79%
GYM	71 Outperform	£263.29M	58.80	3.39%	―	10.93%	―
CCT	70 Outperform	£44.79M	8.41	14.34%	8.87%	-2.86%	4.50%
TUNE	64 Neutral	£105.52M	53.41	1.70%	3.42%	-3.88%	-83.28%
Sector *	62 Neutral	$6.86B	11.07	2.77%	4.27%	2.66%	-24.95%

Games Workshop Corporate Events

Games Workshop Announces Total Voting Rights Update

Games Workshop Group PLC announced that as of June 2, 2025, it has 32,971,750 issued ordinary shares, each carrying one vote at general meetings. This information is crucial for shareholders and others with notification obligations to determine their interest in the company under the Disclosure and Transparency Rules.

The most recent analyst rating on (GB:GAW) stock is a Buy with a £11850.00 price target. To see the full list of analyst forecasts on Games Workshop stock, see the GB:GAW Stock Forecast page.

Games Workshop Appoints New Group Operations Director

Games Workshop has announced the appointment of Neil Tomlinson as Group Operations Director. Tomlinson, who joined the company in 2018 and has held various management roles, brings experience from previous positions at J Sainsbury’s and ASDA Walmart. This appointment is expected to strengthen the company’s operational capabilities.

The most recent analyst rating on (GB:GAW) stock is a Buy with a £11850.00 price target. To see the full list of analyst forecasts on Games Workshop stock, see the GB:GAW Stock Forecast page.

Games Workshop Reports Strong Financial Performance with Record Licensing Revenue

Games Workshop has reported strong financial performance for the year ending June 2025, with core revenue expected to exceed £560 million and licensing revenue reaching a record £50 million. Despite the record licensing revenue, the company does not anticipate similar results in the next fiscal year, highlighting the importance of this revenue stream. The company has also recognized staff contributions through profit-sharing payments and increased dividends, reflecting its commitment to rewarding employees and shareholders.

The most recent analyst rating on (GB:GAW) stock is a Buy with a £11850.00 price target. To see the full list of analyst forecasts on Games Workshop stock, see the GB:GAW Stock Forecast page.

Games Workshop Shareholders Approve Key Resolutions Amidst Mixed Support

Games Workshop Group PLC announced that during their recent General Meeting, shareholders approved two key resolutions: the remuneration policy and the 2025 Share Awards Plan. Despite some opposition, with over 20% of votes against, the Board acknowledged the majority support and emphasized ongoing engagement with shareholders regarding remuneration practices.

The most recent analyst rating on (GB:GAW) stock is a Buy with a £11850.00 price target. To see the full list of analyst forecasts on Games Workshop stock, see the GB:GAW Stock Forecast page.

Games Workshop Leadership Increases Shareholdings

Games Workshop announced that its CEO, Kevin Rountree, has acquired 122 ordinary shares under the company’s dividend reinvestment plan, bringing his total beneficial interest to 19,620 shares. Additionally, Mark Lam, the Non-Executive Chair, acquired 1 share, increasing his holding to 201 shares. These transactions highlight the leadership’s continued investment in the company, potentially signaling confidence in its future performance and stability.

Games Workshop Announces Total Voting Rights Update

Games Workshop Group PLC announced that as of May 1, 2025, it has 32,971,713 issued ordinary shares, each carrying one vote at general meetings. This information is crucial for shareholders and others with notification obligations under the Disclosure and Transparency Rules, as it helps them determine their interest in the company.

Games Workshop Seeks Shareholder Approval for New Policies

Games Workshop has announced a General Meeting to seek shareholder approval for a revised directors’ remuneration policy and a new share awards plan. This move indicates the company’s efforts to align its executive compensation and incentive structures with its strategic goals, potentially impacting its governance and shareholder relations.

Games Workshop Announces Total Voting Rights Update

Games Workshop Group PLC announced that as of April 1, 2025, it has 32,971,583 issued ordinary shares, each carrying one vote at general meetings. This information is crucial for shareholders and those with notification obligations to determine their interest in the company under the Disclosure and Transparency Rules.

Games Workshop Leaders Reinforce Commitment with Share Reinvestment

Games Workshop announced that both its CEO, Kevin Rountree, and Non-Executive Chair, Mark Lam, have committed to reinvesting all dividends they receive into purchasing company shares under a dividend reinvestment plan. This move signifies strong confidence in the company’s future prospects and aligns the interests of its leadership with those of its shareholders, potentially impacting stakeholder perception positively.

Games Workshop Announces Increased Dividend for 2024/25

Games Workshop Group PLC has announced a dividend of £1.00 per share, bringing the total dividends declared for the 2024/25 period to £5.20 per share, compared to £4.20 per share in the previous year. This move aligns with the company’s policy to distribute surplus cash and reflects its strong financial performance, potentially enhancing shareholder value and market confidence.