Roth Capital Maintains Buy Rating On MultiMedia Games (MGAM)
Shares of Multimedia Games (NASDAQ: MGAM) have climbed 3.54% today to $4.07 in the wake of a bullish research report released by Roth Capital. The investment firm wrote that MGAM is a cheap stock with catalysts. "We believe the recent sell off in MGAM shares has created an attractive entry point for investors on a fundamental basis with the possible sale of the company serving as a potential near term catalyst. As such, we reiterate our Buy rating and $6 price target on MGAM shares."
According to the report, over the last two months the stock has lost 38% primarily due to multiple Alabama charity bingo hall closures and the recent departure of the company's CEO. "We believe the stock has over-reacted to both issues and we look for improved results in the March quarter."
According to Google Finance, "Multimedia Games, Inc. designs, manufactures and supplies standalone and networked gaming systems. The Company’s standalone player terminals, server-based systems, video lottery terminals, electronic scratch ticket systems, electronic instant lottery systems, back-office systems and bingo systems are used by Native American and commercial casino operators, as well as state lottery operators in North America, and the Company’s electronic bingo and lottery systems are deployed in certain international markets."
