888 Stock Surges 25% in 2 Weeks
888 Holdings, the company behind 888.com and 777 casino, held their 2015 earnings conference call on March 22nd. In the past 2 weeks, company’s stock surged 25%, from 173p to 215p. What stands behind this run and how high it can go?
In 2015, 888 revenues went up by 12%, while record breaking 4th quarter revenues were 20% higher than the year before. The main increase came from the casino vertical, where the revenues grew by 18%. It’s not a big surprise considering the improvements in their overall casino package, for example an addition of 40 new casino games; and the success of the new 777 casino:
” In the second half of the year, we were also pleased to introduce a new brand to our Casino offer with the launch of the retro themed 777.com. 777.com has a unique theme based on the swing, sophistication and nostalgia of 1950s Americana and we are confident this new brand will support our offer by helping to appealing to new customer demographics.”
What’s most surprising in 888 growth is that it came despite increasing taxation in regulated markets.
What’s Next for 888?
We are not stock experts and please do not consider this post as an advice to buy 888 stock. We do expect that with further expansion in USA and 777 market penetration, 888 will have a successful 2016. From 6 equity analysts that cover the stock 5 gave it a Buy rating vs. 1 hold. The consensus target price stands on 282p.