Investment analysts at Deutsche Bank have issued a positive recommendation of stock for gaming manufacturer IGT.
Last week, Deutsche Bank Securities Inc. issued a note saying that before the recent Global Gaming Expo, its researchers met representatives of casino operators and discussed IGT slot machines.
“The feedback on IGT’s for-sale product was very favorable,” the memo said. “Operators noted… specifically the product coming from the legacy GTECH studios has played very well, which has helped IGT drive increasing ship share in casino-operator-purchased video product in 2018,” stated analysts Carlo Santarelli and Danny Valoy.
Deutsche Bank’s memo quoted the current IGT entity as saying it was using feedback from its strict testing regime for core products to help improve the development of premium games.
The brokerage noted IGT management also said it had received favorable feedback from customers about its systems technology add-ons.
“IGT believes its ability to provide scalable solutions for smaller-to-medium-size casino operators represents an incremental opportunity to address a previously underserved customer base,” the note says.
Deutsche Bank cited IGT executives as indicating they expected to sell 6,000 slot machines in Sweden, that the company results for the fourth quarter of this year may reflect the sale of 4,000 of those machines. The group’s results for the succeeding quarter would reflect the sale of the rest.
Deutsche Bank has a “buy” recommendation for New York-listed IGT stock and a target price of US$35 a share.
