Media and Games Invest SE Rated Buy with Increased Target Price by First Berlin Equity Research

First Berlin Equity Research has recently updated its analysis on Media and Games Invest SE (MGI), reiterating its Buy recommendation and raising the target price from €3.20 to €3.60. According to the report by analyst Ellis Acklin, MGI demonstrated a remarkable performance in the fourth quarter of the year, driven by several key factors.

The report highlights a 16% year-over-year organic growth for the period from October to December. This growth can be attributed to the successful scaling of new software clients acquired throughout 2023, accelerated traction with contextual tools such as ATOM, moments.AI, and machine learning optimization for SKAN, and early indicators of an advertising market rebound. MGI's revenue for the quarter stood at €322 million, surpassing both the company's own forecast of €303 million and First Berlin's estimate of €304 million.

Additionally, MGI's management has expressed optimism regarding the prospects for 2024, anticipating double-digit growth. This positive outlook has led First Berlin Equity Research to adjust its forecasts and target price accordingly, suggesting that the robust quarter-four report could alleviate investor skepticism following last year's advertising market slump. The analysis underlines MGI's strong performance and potential for continued success in the market.