Roth Capital Cuts Playtika Target 25% to $3; DTC Sales at 36.8%
Roth Capital cut Playtika’s price target to $3 and kept a Hold rating, citing flat 2026 growth despite 4.44% Q4 revenue growth to $678.8M. Shares trade at 3.6× EV/EBITDA as direct-to-consumer revenue reaches 36.8%, while management forecasts $2.75B revenue and $730–770M adjusted EBITDA for 2026.
1. Analyst Price Target Revision
Playtika’s price target was cut from $4 to $3 by Roth Capital, which maintained a Hold rating. The revision reflects expectations of flat growth in 2026 despite positive margin expansion from the SuperPlay acquisition and rising direct-to-consumer revenues.
2. Q4 Financial Results
Fiscal Q4 revenue rose 4.44% year-over-year to $678.8 million, beating estimates by $16.9 million driven by strong SuperPlay performance and record DTC contribution from the casual games portfolio.
3. 2026 Outlook and Valuation
Management forecasts 2026 revenue of $2.75 billion and adjusted EBITDA of $730–770 million. The stock trades at roughly 3.6 times EV/EBITDA and 1.8 times cash flow, with DTC revenues at 36.8% and a 40% target over two years.