AGS tanked

AGS (PlayAGS.com)

Reports Q2 (Jun) loss of $0.21 per share, $0.35 worse than the S&P Capital IQ Consensus of $0.14; revenues rose 2.3% year/year to $74.51 mln vs the $83 mln S&P Capital IQ Consensus.Second Quarter Adjusted EBITDA (non-GAAP) of $35.7 Million Decreased 2% Year-Over-Year" We now expect to generate total adjusted EBITDA of $145 - $150 million in 2019, representing growth of approximately 6% - 10% compared to the prior year period. The change is due to several factors, including: (1) decreased gaming operations revenue in our EGM segment, largely due to product underperformance in Oklahoma, (2) decreased gaming operations revenue in our Interactive segment caused by delayed entry into New Jersey, as well as select markets in Europe and Latin America, and (3) decreased sales revenue from our EGM segment due to anticipated softness from certain corporate customers. We continue to expect 2019 capital expenditures to be in the range of $65 - $69 million, compared to $66.2 million in 2018, reflecting an expectation for an increase in our EGM installed base in existing markets."

Time to buy?

Their table games business is hemorrhaging money too. I don't see that mentioned there.

I wouldn't want any part of AGS. Not their stock. Not their employment. Not their slot or table game products.


ZCore13

I don't see AGS continuing for long. I think their catalog is sparse and I'm not fond of some of their business practices. So, personally, I don't think it's time to buy.

Quote: Zcore13

I wouldn't want any part of AGS. Not their stock. Not their employment. Not their slot or table game products.


ZCore13

They have some interesting Table Games products. I have some at my casino.

Quote: FCBLComish

They have some interesting Table Games products. I have some at my casino.

Probably not something you want to admit publicly.

Quote: SM777

Probably not something you want to admit publicly.

Why not? They, like all the other vendors, have good and bad product.

Quote: FCBLComish

Why not? They, like all the other vendors, have good and bad product.

Buster Blackjack is decent. Push your luck is good but I removed it 7 years ago for having too low of a house edge. In my opinion, everything else they have is sub-par to Shuffle and Galaxy.

They are also not a very trustworthy group in my opinion. See the High Card Flush lawsuit and I know they've had a few other issues. They had a ton of cash when they opened their Table Games division. I met with them very early on. Even before it was officially announced I think. I know they had to buy up some games because they had none and nobody there knew how to develop them, but just because you have lots of cash doesn't mean you know the market and business.


ZCore13

What are your thoughts on the Stax progressive system?

Quote: FCBLComish

What are your thoughts on the Stax progressive system?

I would say that is their best product. I don't know what they charge as a percentage of each wager, but if it's a fair amount and could be tracked/verified in house, I would call it a winner.


ZCore13

Quote: FCBLComish

What are your thoughts on the Stax progressive system?

What is the definition/meaning of Stax?

Quote: UCivan

What is the definition/meaning of Stax?

Here's the actual AGS page for STAX.

Quote: UCivan

What is the definition/meaning of Stax?

JFGI

Quote: FCBLComish

Why not? They, like all the other vendors, have good and bad product.

Because it means there's an incredibly high chance you're not maximizing the profitability of your table games operation.

AGS back to $11.56. bot at $8.31,,,