Light & Wonder, Inc. (NASDAQ:LNW) Receives Consensus Rating of "Moderate Buy" from Brokerages

Key Points

• Light & Wonder, Inc. has received a consensus rating of "Moderate Buy" from thirteen brokerages, with an average price target of $104.11.
• Insider trading activity indicated significant purchases, with Director Hamish Mclennan acquiring 1,380 shares and Director Timothy Throsby buying 20,000 shares, reflecting increased confidence in the company.
• In its latest earnings report, Light & Wonder posted $1.58 EPS, surpassing estimates, but reported a revenue decline of 1.1% year-over-year.

Shares of Light & Wonder, Inc. (NASDAQ:LNW - Get Free Report) have been given a consensus recommendation of "Moderate Buy" by the thirteen ratings firms that are covering the company, MarketBeat Ratings reports. One research analyst has rated the stock with a sell rating, four have assigned a hold rating, six have issued a buy rating and two have assigned a strong buy rating to the company. The average 12 month price objective among brokerages that have covered the stock in the last year is $104.1111.

Several equities research analysts recently issued reports on the company. Macquarie dropped their price objective on Light & Wonder from $122.00 to $117.00 and set an "outperform" rating for the company in a research note on Thursday, August 7th. Truist Financial lifted their price target on Light & Wonder from $110.00 to $130.00 and gave the company a "buy" rating in a research report on Wednesday, July 16th. Zacks Research lowered Light & Wonder from a "strong-buy" rating to a "hold" rating in a report on Tuesday, August 19th. Wall Street Zen downgraded shares of Light & Wonder from a "buy" rating to a "hold" rating in a research note on Sunday, July 13th. Finally, Benchmark cut their price target on shares of Light & Wonder from $100.00 to $90.00 and set a "buy" rating for the company in a research note on Friday, August 8th.

Insider Activity at Light & Wonder

In other news, Director Hamish Mclennan purchased 1,380 shares of the stock in a transaction on Tuesday, August 12th. The shares were acquired at an average price of $87.61 per share, for a total transaction of $120,901.80. Following the completion of the transaction, the director directly owned 6,380 shares of the company's stock, valued at approximately $558,951.80. This trade represents a 27.60% increase in their position. The acquisition was disclosed in a filing with the SEC, which is available through this link. Also, Director Timothy Throsby acquired 20,000 shares of the business's stock in a transaction dated Thursday, August 14th. The stock was purchased at an average price of $89.37 per share, with a total value of $1,787,400.00. Following the completion of the acquisition, the director directly owned 42,082 shares in the company, valued at approximately $3,760,868.34. This represents a 90.57% increase in their position. The disclosure for this purchase can be found here. Over the last quarter, insiders purchased 37,756 shares of company stock valued at $3,209,088. 2.20% of the stock is currently owned by insiders.

Institutional Trading of Light & Wonder

Several hedge funds have recently added to or reduced their stakes in the business. Ethic Inc. grew its stake in shares of Light & Wonder by 10.2% during the fourth quarter. Ethic Inc. now owns 3,767 shares of the company's stock valued at $325,000 after buying an additional 349 shares during the last quarter. Graham Capital Management L.P. purchased a new stake in Light & Wonder during the 4th quarter valued at about $334,000. Nuveen Asset Management LLC grew its position in Light & Wonder by 19.6% during the 4th quarter. Nuveen Asset Management LLC now owns 204,498 shares of the company's stock worth $17,665,000 after acquiring an additional 33,525 shares during the last quarter. Nomura Holdings Inc. increased its stake in Light & Wonder by 16.5% in the 4th quarter. Nomura Holdings Inc. now owns 31,022 shares of the company's stock worth $2,680,000 after purchasing an additional 4,391 shares during the period. Finally, ProShare Advisors LLC increased its stake in Light & Wonder by 6.8% in the 4th quarter. ProShare Advisors LLC now owns 4,131 shares of the company's stock worth $357,000 after purchasing an additional 263 shares during the period. 88.08% of the stock is owned by institutional investors.

Light & Wonder Stock Performance

Light & Wonder stock opened at $89.07 on Friday. Light & Wonder has a 1-year low of $69.56 and a 1-year high of $115.00. The company has a current ratio of 1.77, a quick ratio of 1.51 and a debt-to-equity ratio of 6.86. The firm has a market capitalization of $7.48 billion, a PE ratio of 22.49, a price-to-earnings-growth ratio of 0.53 and a beta of 1.18. The firm's 50 day simple moving average is $92.64 and its 200 day simple moving average is $91.21.

Light & Wonder (NASDAQ:LNW - Get Free Report) last announced its quarterly earnings results on Wednesday, August 6th. The company reported $1.58 EPS for the quarter, beating the consensus estimate of $1.44 by $0.14. The firm had revenue of $809.00 million during the quarter, compared to the consensus estimate of $851.29 million. Light & Wonder had a net margin of 10.89% and a return on equity of 71.17%. The business's quarterly revenue was down 1.1% compared to the same quarter last year. During the same period last year, the firm earned $0.90 EPS. As a group, analysts expect that Light & Wonder will post 4.3 earnings per share for the current fiscal year.

About Light & Wonder

Light & Wonder, Inc is a cross-platform global games company, which engages in the development of content and digital markets. It operates through the following segments: Gaming, SciPlay, and iGaming. The Gaming segment includes the design, manufacture, marketing, and distribution of portfolio of gaming products and services.

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