Citigroup said in a report that it maintains its Buy/High Risk rating on OPAP and increases its target-price to EUR16.7 from EUR14.2
Citigroup states that new gaming bill proves to be negative so far “although there are still lots of grey areas and the final Law could be different”.
The provisions on internet gaming (15-50 licences) are at best neutral for OPAP while those on VLTs (4-10 big licenses and up to 5,000 small ones) are a clear negative, according to the report.
If OPAP gets only 10% market share of VLTs and loses 25% in Kino, Citigroup estimates that the net impact on EPS would be close to 10%.
This figure could be higher if OPAP’s agents demand a higher fee to compensate them for their own loss, or the payout to the players is above 80%.
According to Citigroup, the new games could provide more good news with OPAP ready for the full roll-out of the monitor games and self-service terminals by mid February, while remote gaming is at an advanced preparation stage.
Citigroup states that new gaming bill proves to be negative so far “although there are still lots of grey areas and the final Law could be different”.
The provisions on internet gaming (15-50 licences) are at best neutral for OPAP while those on VLTs (4-10 big licenses and up to 5,000 small ones) are a clear negative, according to the report.
If OPAP gets only 10% market share of VLTs and loses 25% in Kino, Citigroup estimates that the net impact on EPS would be close to 10%.
This figure could be higher if OPAP’s agents demand a higher fee to compensate them for their own loss, or the payout to the players is above 80%.
According to Citigroup, the new games could provide more good news with OPAP ready for the full roll-out of the monitor games and self-service terminals by mid February, while remote gaming is at an advanced preparation stage.
