Brightstar Lottery (NYSE:BRSL) Hits New 12-Month Low - Time to Sell?

Key Points

• Brightstar Lottery shares fell 4.6% to a new 52-week low of $9.81, trading below both their 50-day and 200-day moving averages.
• Analyst sentiment is mixed but leans cautious: the stock has a consensus “Hold” rating and a $15.10 average price target, while several firms recently downgraded it or issued sell ratings.
• Despite the share-price weakness, Brightstar beat quarterly EPS expectations and pays a quarterly dividend of $0.23, equivalent to a high 9.4% annualized yield; institutional investors own 44.33% of the stock.

Brightstar Lottery (NYSE:BRSL - Get Free Report) shares reached a new 52-week low during trading on Thursday . The stock traded as low as $9.81 and last traded at $9.8450, with a volume of 602100 shares changing hands. The stock had previously closed at $10.26.

Analyst Upgrades and Downgrades

BRSL has been the topic of several research reports. Argus downgraded Brightstar Lottery from a "buy" rating to a "hold" rating in a report on Monday, June 29th. Weiss Ratings reissued a "sell (d+)" rating on shares of Brightstar Lottery in a research note on Friday, July 10th. Truist Financial cut their price target on Brightstar Lottery from $14.00 to $13.00 and set a "hold" rating on the stock in a research note on Monday, July 20th. Wall Street Zen cut Brightstar Lottery from a "hold" rating to a "sell" rating in a report on Saturday, August 15th. Finally, Deutsche Bank Aktiengesellschaft began coverage on Brightstar Lottery in a research report on Wednesday, July 1st. They issued a "buy" rating and a $15.00 price objective for the company. Four equities research analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock has a consensus rating of "Hold" and an average price target of $15.10.

Brightstar Lottery Trading Down 4.6%

The business's 50 day simple moving average is $10.96 and its 200-day simple moving average is $11.60. The company has a debt-to-equity ratio of 2.16, a current ratio of 1.10 and a quick ratio of 1.00. The stock has a market capitalization of $1.83 billion, a P/E ratio of 7.53, a PEG ratio of 4.25 and a beta of 1.03.

Brightstar Lottery (NYSE:BRSL - Get Free Report) last issued its earnings results on Tuesday, August 4th. The company reported $0.11 EPS for the quarter, beating the consensus estimate of ($0.01) by $0.12. Brightstar Lottery had a net margin of 10.05% and a return on equity of 10.47%. The company had revenue of $584.00 million during the quarter. As a group, analysts forecast that Brightstar Lottery will post 0.35 EPS for the current year.

Brightstar Lottery Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, September 1st. Shareholders of record on Tuesday, August 18th were paid a $0.23 dividend. The ex-dividend date of this dividend was Tuesday, August 18th. This represents a $0.92 annualized dividend and a yield of 9.4%. Brightstar Lottery's dividend payout ratio is presently 70.77%.

Hedge Funds Weigh In On Brightstar Lottery

Several institutional investors have recently modified their holdings of BRSL. BlackRock Inc. raised its position in shares of Brightstar Lottery by 16.5% in the 2nd quarter. BlackRock Inc. now owns 6,785,934 shares of the company's stock valued at $72,745,000 after acquiring an additional 961,306 shares during the period. Bank of America Corp DE grew its holdings in Brightstar Lottery by 17.3% during the first quarter. Bank of America Corp DE now owns 1,031,022 shares of the company's stock valued at $13,135,000 after purchasing an additional 151,839 shares during the period. Readystate Asset Management LP bought a new stake in Brightstar Lottery in the second quarter valued at approximately $957,000. Sei Investments Co. increased its stake in Brightstar Lottery by 101.8% in the first quarter. Sei Investments Co. now owns 322,220 shares of the company's stock valued at $4,105,000 after purchasing an additional 162,541 shares in the last quarter. Finally, Brown Advisory Inc. acquired a new stake in Brightstar Lottery in the fourth quarter worth $44,820,000. 44.33% of the stock is currently owned by institutional investors and hedge funds.

About Brightstar Lottery

Brightstar Lottery plc NYSE: BRSL is a global lottery technology and services company. The company provides solutions for government-sponsored and regulated lotteries, including lottery systems, retail terminals, draw-based games, instant-ticket products and digital lottery platforms.

Its services support the operation and management of lottery programs across retail and online channels. Brightstar Lottery also provides related technology, transaction processing, content, player engagement and lottery-management services designed to help customers operate secure and efficient gaming programs.

The company was formed from the lottery business formerly operated by International Game Technology (IGT) and serves lottery operators in multiple international markets, including North America, Europe and other regions.

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