BofA upgrades Playtika as it sees 48% upside on strong cash flow
Investing.com -- Bank of America upgraded Playtika Holding Corp (NASDAQ:PLTK) to Buy from Underperform and raised its price target to $6.50 from $6.00 on strong free cash flow and potential growth upside. The new target is a 48% upside from current levels.Playtika, a top mobile gaming company, has the highest profitability in the industry with 30% EBITDA margins and owns three of the longest-running game franchises. While mobile gaming is a mature industry, it is still growing by around 4% annually. BofA highlighted that Playtika’s 21% FCF yield and 9% dividend yield reduce the risk of further downside.