(STAR-A) Starbreeze (publ) - Ratings and Ratios

Starbreeze AB (publ) is a Swedish video game developer and publisher specializing in PC and console games, with operations primarily in Europe and North America. The company organizes its business across four segments: Game Sales, 3rd Party Publishing, Licenses, and Other. Its flagship franchise, PAYDAY, has been a key contributor to its revenue. Established in 1998, Starbreeze AB (publ) is headquartered in Stockholm, Sweden. Web URL: https://www.starbreeze.com

The company trades under the ticker symbol STAR-A on the Stockholm Stock Exchange (ST), classified as a common stock within the Interactive Home Entertainment sub-industry. Its market capitalization stands at 297.34M SEK, with a price-to-book ratio of 0.47, indicating potential undervaluation relative to its book value.

From a technical perspective, STAR-A has shown a sideways trading pattern, with the 20-day average volume at 88,121 shares. The stock is currently priced at 0.23 SEK, near its SMA 20 and SMA 50 levels of 0.21 SEK, but below its SMA 200 of 0.27 SEK. The Average True Range (ATR) of 0.01 SEK reflects low volatility.

Fundamentally, Starbreeze AB (publ) faces challenges, as evidenced by a return on equity (RoE) of -28.25%, indicating significant losses. The lack of a P/E ratio suggests unprofitability. However, the price-to-sales ratio of 1.60 indicates moderate valuation relative to its revenue.

3-Month Forecast: - Technical Outlook: The stock is likely to remain range-bound between 0.20 SEK and 0.25 SEK, with potential downside pressure due to the bearish crossover of the SMA 20 below the SMA 200. - Fundamental Outlook: Without a significant improvement in profitability, the stock may face continued selling pressure. The low price-to-book ratio could attract value investors, but the negative RoE and lack of earnings growth may deter others. - Expected Movement: Sideways to slightly bearish, with limited upside unless the company demonstrates a turnaround in its financial performance. Investors may remain cautious, awaiting signs of operational improvement or restructuring.