The firm has spent an estimated 233 million on acquiring 37 companies since 2014 to the end of October.Among the companies using its services are eBay, VistaPrint and the European Commission.The London-based company, which was founded in 2009, provides creative and marketing services to video game publishers, the sports sector and the entertainment industry.The acquisition is costing Keywords up to 475,000 Canadian dollars (324 million), with 350,000 (238,000) in cash and 150,000 (102,000) on completion of certain targets.
The company generates more than 700,000 (477,000) in revenue each year and has five staff. I am also aware of some customer challenges from friends working there but doubt they are impacting the share price. Keywords Studios Plc has a 4 week average price of 1,811p and a 12 week average price of 1,600p. The 1 year high share price is 2,242p while the 1 year low share price is currently 1,069p. There are currently 73,337,424 shares in issue and the average daily traded volume is 462,695 shares. The market capitalisation of Keywords Studios Plc is 1,611,956,579.52. Keywords Studios News Full Thread ReplyRead Full Thread Reply. Keywords Studios News Drivers Of OurThe event will provide an overview of the structural growth drivers of our market and opportunities for each of our service lines, including a number of case studies which illustrate the strength of our offering across two of our newer service lines, Game Development and Marketing Services. Berenberg is much more keen on Keywords Studios, the for-hire video games studio rollup. While this put pressure on margins and earnings delivery in the near term (the reason for our downgrade to Hold in June 2019), we have always argued that Keywords is a multi-year winner. With a very strong growth outlook, margin expectations sufficiently rebased and MA likely to increase in the coming months, Keywords outlook is robust. Keywords Studios News Upgrade Keywords ToWith its valuation materially below historical levels and attractive versus its growth profile, we upgrade Keywords to Buy and increase our price target to 1,700p. I will spare the full thesis rehash since I discussed it in the last letter, but the stock declined because of Q3 results, which were deemed disappointing by the market. The company grew revenue 17 organically, but margins declined as the company had to invest heavily in temporary space, pay overtime for employees, and boost recruiting efforts to keep pace with demand. The disappointing margins increased conviction for bears who believe that this company is no more than an outsourced labor company. I too was surprised by the magnitude of the margin decline, but believe the share price has overreacted. While the company does have elements of an outsourced IT player, they also have very valuable relationships with 23 of the top 25 gaming companies in the world and serve an important and growing function for them. KWS also has a history of value creation by rolling up smaller independent studios that benefit from KWS centralized sales and support functions. We remain long as I think the company is well positioned for secular video game growth, has a long history of creating value through both organic and inorganic growth, and is selling close to a 3-year trough multiple on forward earnings. If this was any company other than exciting tech gaming its share price would be half of this. Broker name View Closing price Old price target New price target Broker change. Bulletin boards are a forum to share all thoughts on a share. Im not positive on kws, as you would guess, others are positive and thats thier opinion. These boards have little impact on share price but do, as has happened to me, get people enthused about a share, then lose their money. I try to balance some of the everything is wonderful with a touch more realism. I would expect KWS revenues and margins to be higher this half as they maximise assets working double shifts. Acquisitions have been small this year compared to previous years, with a bigger starting revenue growth will drop markedly this year.
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