I’m holding 68% of my portefolio in Hacksaw AB at the moment.
They specialize in online slots, working as a supplier of games to casinos. They are partnering up with new casinos each Month.
They develop software in house, and once a machine is brought to life it creates revenue. It’s a one time cost.
They also acquired openRPG a few months back.
So now they also develop slots for other igaming companies, creating a new revenue stream.
they mainly earn money each time their machines are utillized on a online casino.
They did an ipo less than a year ago.
10% buyback coming up, 82% ebitda, dividend was 0,4 euro pr. Stock 2 weeks ago, pe is 14.37 whereas the Industry average is around 17-ish.
They are expected to grow their revenue by 30% this year, their main market Europe is getting a bit more regulated and the market fell 5,4% overall yoy.
The American market on the other hand is still opening up and is growing 37% yoy atm.
Just to give an example
What was put into accounts last week:
Stake= 402m$
Roobet= 95,9m$
Rainbet= 62,3m$
Exact Same week, last year.:
Stake= 320,9m$
Roobet= 88,5m$
Rainbet= 0,5m$
I have tried their machines several times myself, and overall they are very entertaining, with huge jackpots. I ended up losing 2 grand on their slots.
Then I thought to myself;
if you can’t beat Them, join Them.
My average is @58,79.
Whatever metric you’re finding, It’s pointing towards Hacksaw being marketleaders in the slots Industry.
They beat guidance for q1, and their biggest franchise is the “le”-machines.
They have 2 new “le” games coming out in q2.
There is “le football fan” coming out in a month coinciting with the World Cup.
They are without a ceo at for 3 weeks now, which I hope won’t continue for too Long. If they find someone soon it can be a positive catalysator.
The Stock has momentum atm and is ath - so it might seem like an exepensive buy at the moment, but I Think it Will continue to soar.
I’m dca’ing each month with all I have.
I know the product, I have faith in the Company, they have low costs and great margins, i like the business model.
Their biggest threat is regulation, but other than that I Can’t see Them loose momentum.
This is not a financial advise!