Facts You Need to Understand Motorsport Games (MSGM) Stock

Now trading at a price of $23.95, Motorsport Games has moved 4.3% so far today. In contrast, the S&P 500 index moved -0.2%. Read below for a basic value analysis of Motorsport Games.

Motorsport Games shares moved -34.8% over the last 52 weeks, with a high of $49.5 and a low of $2.01. During this time, the stock lagged the S&P 500 index by -27.6%. As of January 2022, the company's 50-day average price is $5.59. Motorsport Games Inc. develops and publishes multi-platform racing video games in the United States. The small-cap Communication Services company has 145 full time employees and is based in Miami, FL. Motorsport Games has not offered any dividends in the last year.

The Company Has Negative Margins on Average:

2019-12-31 2020-12-31 2021-12-31
Revenue (k) $11,851 $19,046 $15,076
Revenue Growth n/a 60.71% -20.84%
Gross Margins 58.8% 65.4% 50.1%
Gross Margins Growth n/a 11.22% -23.39%
Operating Margins -38.8% 0.0% -226.9%
Operating Margins Growth n/a 100.0% n/a
Earnings Per Share -$2.1 -$1.76 -$29.1
EPS Growth n/a 16.19% -1553.41%
Free Cash Flow (k) -$4,533 $3,817 -$21,924
FCF Growth n/a 184.19% -674.44%
Capital Expenditures (k) -$108 -$237 -$982

Motorsport Games has negative earnings for the current period, so its trailing twelve month P/E ratio is not meaningful. Its forward P/E isn't meaningful either because its guidance EPS is -5.18.

Motorsport Games's P/B ratio is 4.2 compared to its sector average of 2.62. The company is likely overvalued in terms of its book value.

Most of the Market Indicators on Motorsport Games Are Negative:

2 analysts are following Motorsport Games and have set target prices ranging from $5 to $9.5 per share. On average, they have given the company a rating of hold. At the current price of $23.95, MSGM is trading 230.34% away from its average analyst target price of $7.25 per share, implying an analyst belief that shares are overpriced for the stock.

The company has an above average percentage of its shares sold short since 12.1% of the company's shares are tied to short positions. Institutions own 2.9% of Motorsport Games's shares, while the insider ownership rate stands at 60.53%. The biggest shareholder is EMC Capital Management with a 5% stake in the company worth approximately $1,351,570.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.