DoubleDown Interactive (NASDAQ:DDI) Stock Rating Cut to “Neutral” at Roth Capital

DoubleDown Interactive (NASDAQ:DDI) was downgraded by equities research analysts at Roth Capital from a “buy” rating to a “neutral” rating in a research report issued on Thursday, FinViz reports. They presently have a $16.25 price target on the stock. Roth Capital‘s price target points to a potential upside of 3.37% from the company’s previous close.

Several other research analysts also recently issued reports on the company. Canadian Imperial Bank of Commerce set a $16.25 price target on DoubleDown Interactive in a research note on Thursday. Weiss Ratings reissued a “hold (c)” rating on shares of DoubleDown Interactive in a research note on Wednesday, November 4th. Finally, B. Riley Financial cut shares of DoubleDown Interactive from a “buy” rating to a “neutral” rating in a research note on Monday. One equities research analyst has rated the stock with a Buy rating and four have issued a Hold rating to the company. According to MarketBeat, the company presently has a consensus rating of “Hold” and a consensus target price of $17.88.

DoubleDown Interactive Stock Performance

Shares of DDI stock opened at $15.72 on Thursday. The stock has a fifty day moving average price of $13.42 and a 200 day moving average price of $11.22. The stock has a market cap of $778.97 million, a PE ratio of 6.24 and a beta of 1.11. DoubleDown Interactive has a 1 year low of $8.10 and a 1 year high of $15.78. The company has a debt-to-equity ratio of 0.03, a quick ratio of 18.67 and a current ratio of 18.67.

DoubleDown Interactive (NASDAQ:DDI) last posted its earnings results on Wednesday, November 11th. The company reported $0.37 EPS for the quarter, missing analysts’ consensus estimates of $0.60 by ($0.23). The firm had revenue of $94.27 million for the quarter, compared to analysts’ expectations of $92.64 million. DoubleDown Interactive had a return on equity of 12.93% and a net margin of 32.91%. Sell-side analysts forecast that DoubleDown Interactive will post 2.58 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in the business. Boston Partners boosted its holdings in shares of DoubleDown Interactive by 58.6% during the third quarter. Boston Partners now owns 261,806 shares of the company’s stock worth $3,479,000 after purchasing an additional 96,755 shares during the last quarter. Eurizon Capital SGR S.p.A. purchased a new stake in shares of DoubleDown Interactive in the third quarter valued at $282,000. R Squared Ltd purchased a new stake in shares of DoubleDown Interactive in the third quarter valued at $145,000. GAMMA Investing LLC increased its stake in DoubleDown Interactive by 11.3% in the third quarter. GAMMA Investing LLC now owns 15,064 shares of the company’s stock valued at $200,000 after purchasing an additional 1,532 shares during the last quarter. Finally, Renaissance Technologies LLC increased its stake in DoubleDown Interactive by 35.7% in the first quarter. Renaissance Technologies LLC now owns 73,256 shares of the company’s stock valued at $619,000 after purchasing an additional 19,256 shares during the last quarter.

Top DoubleDown Interactive Stories

These are some of the DDI stories that stood out recently:

• Positive Sentiment: Majority owner DoubleU Games commenced an all-cash tender offer for DDI’s remaining ADSs at $16.25 per ADS. DoubleDown’s independent special committee and board recommended that unaffiliated shareholders accept. The offer price is above the $15.72 price cited in the background, potentially providing upside if the transaction closes; completion remains subject to the offer’s terms. Tender offer announcement
• Neutral Sentiment: Brodski & Smith announced an investor investigation involving DoubleDown. The notice provides no specific findings or allegations, so its potential impact is uncertain. Investor investigation notice
• Negative Sentiment: Third-quarter EPS was $0.37, below the $0.60 consensus estimate, despite revenue of $94.27 million topping expectations of $92.64 million. The earnings miss may weigh on sentiment. Quarterly earnings report

About DoubleDown Interactive

DoubleDown Interactive is a digital gaming company focused on developing and publishing social casino games for mobile devices and online platforms. Its flagship title, DoubleDown Casino, offers virtual slot machines and other casino-style games for entertainment, using virtual currency rather than real-money wagering. The company’s portfolio also includes other free-to-play casino games, which combine casino-style play with features such as in-game rewards and social interaction. Its games are distributed through app stores and web platforms and reach players in North America and other international markets.