Elys Game Technology Says Markets Aren’t Giving Stock Adequate Appreciation

Elys Game Technology (NASDAQ: ELYS), a gaming technology provider, entered Wednesday’s trading session with a market place capitalisation of simply $7.61 trillion and a year-to-date red of 87.79%, but the society says those statistics designate financial markets don’t fully revalue the underlying investment funds thesis.

In a varsity letter to investors today, Elys Executive Chairman Michele Ciavarella highlights a variety of issues, including the company’s path to profitability and wherefore its tiny market crest belies what it frames as an attractive fundamental outlook.

The stream economic value of our capital letter gunstock lacks course credit for the note value of our cutting-edge betting technology and engine room talent, our growing and profitable Italian operations, or our time to come growing potential, particularly inward the US market, and inward other global markets,” wrote Ciavarella.

He added that Elys’ portion price remains down(p) “due to circumstances beyond our control” and that’s affecting shareholder value. Shares of Elys are volatile. The inventory came into Midweek trading at around 36 cents. At this writing, it’s turned 27.65% inward tardily trading, but higher past 184.62% o'er the past tense week, and upwardly 84% over the past month.

Expansion, Kiosks Key for Elys Game Technology

Elys Game Technology is a tech provider but it’s lumped inwards with sports wagering equities because the troupe provides sports betting kiosks to businesses, such as bars and restaurants, that have permits to offer sports wagering to customers.

We currently hold 7 signed locations inward George Washington D.C., 2 inward Maryland, 1 inward New Jersey and 6 tribal casino clients inward 4 other states, and through and through our agreement with the Ohio River Lottery, hold already signed o'er 100 retail host locations to extend sports betting alongside their existing lottery kiosks inward Ohio,” according to Ciavarella’s letter.

Elys is also providing sports betting kiosks and the related to technology to a Washington, DC strip show club, which testament suit the number one such venue inward the metropolis to bid sports wagering to patrons. While that represents young business, the US capitol urban center hasn’t enthused Elys investors to date, though it’s possible Buckeye State will. Sports wagering is slated to go game live on that point betimes inward 2023.

“With our planned Ohio send off getting underway over the coming months, we trust that the Company is at a cay inflexion dot for futurity success and revaluation, Ciavarella wrote. “Indeed, we trust on that point could follow important chance in stream and hereafter trading operations that is non currently baked into our securities industry valuation.”

Other Points in Elys’ Favor

With its gillyflower trading at a lower place $1, Elys could follow a prospect for receiving a delisting notice from Nasdaq and could also human face the specter of a reverse split, but in that location are some potentially attractive basics that could supporting upside for the shares, including international exposure.

Through an concord inked with Italy’s Lottomatica, Elys has geographic diversity. Perhaps more importantly, the companion isn’t saddled with massive debt obligations as are so many gaming operators.

“Notably, the company’s strength lies in the deficiency of substantial debt on our balance mainsheet and successful strategical execution of our be containment exercises,” concluded Ciavarella.