First Berlin Equity Research has published a research update on Media and Games Invest SE (ISIN: SE0018538068). Analyst Ellis Acklin reiterated his BUY rating and decreased the price target from EUR 4.40 to EUR 4.00.

Abstract
Despite the bumpy economic environment, MGI ended 2022 on a solid note with Q4 turnover up 16% Y/Y and AEBITDA 35% higher, thanks to 13% organic growth for the October-to-December quarter. The company’s evolution towards an ad-software platform continues to pay off, and MGI’s software client base now totals 551 after acquiring 133 new customers last year (+32%). This growth helped offset CPM (cost per thousands) pricing pressure. Headline figures reached the upper end of 2022 guidance and topped our forecasts, and we continue to expect further topline and earnings growth in 2023. Our target price moves to €4.0 (old: €4.4) on the dilution from warrants issued in Q4, and we remain Buy-rated on MGI.