Core Insights - The article emphasizes the importance of confirming sound fundamentals and positive earnings estimates to sustain stock momentum, particularly for short-term trading strategies [1] Company Overview - Gambling.com Group Limited (GAMB) has shown a significant price increase of 44.9% over a 12-week period, indicating strong investor interest and potential upside [2] - GAMB is currently trading at 81.3% of its 52-week high-low range, suggesting it may be on the verge of a breakout [5] - The stock has maintained a price increase of 11.1% over the past four weeks, confirming that the upward trend is still intact [9] Investment Ratings - GAMB holds a Zacks Rank of 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises, which are critical for near-term price movements [14] - The average broker recommendation for GAMB is 1 (Strong Buy), reflecting high optimism from the brokerage community regarding its near-term price performance [10] Investment Strategies - The "Recent Price Strength" screen is highlighted as a useful tool for identifying stocks with sufficient fundamental strength to maintain their uptrend, particularly those trading in the upper portion of their 52-week range [8] - The Zacks Rank stock-rating system has a proven track record, with Zacks Rank 1 stocks generating an average annual return of +25% since 1988, indicating a reliable method for stock selection [3]

Industry Overview - The Zacks Advertising and Marketing industry is expected to return to pre-pandemic levels due to increased service activities and a rise in digital marketing [1][3] - Key players in the industry include Interpublic and Omnicom, with a focus on adapting to post-pandemic demands [3] Economic Factors - The industry benefits from economic recovery, with GDP growth of 2.8% in Q3 2024, following a 3% increase in Q2 2024 [4] - The Services PMI has remained above 50% for 51 of the last 54 months, indicating strong economic activity in the non-manufacturing sector [4] Demand and Revenue Trends - The industry is mature, with stable demand for services, and revenues are expected to reach pre-pandemic levels, allowing for stable dividends [5] - Digital media consumption is increasing, positioning agencies that offer digital marketing services for growth [6] Industry Performance - The Zacks Advertising and Marketing industry has underperformed the S&P 500, with a growth of 5.8% compared to the S&P 500's 30.4% and the broader sector's 24.8% over the past year [9] Valuation Metrics - The industry is currently trading at a forward P/E ratio of 10.37X, significantly lower than the S&P 500's 22.66X and the sector's 25.7X [11] Stock Recommendations - **Gambling.com Group Limited (GAMB)**: Expected to benefit from digitization trends, with a 76% year-over-year earnings increase anticipated for 2024 and shares gaining 99.5% in the past six months [13][14] - **Integral Ad Science Holding Corp. (IAS)**: Anticipated to see over 100% earnings growth year-over-year in 2024, with shares up 10.1% in the past six months [16][18] - **Stagwell Inc. (STGW)**: Projected earnings growth of 41.5% year-over-year in 2024, with shares gaining 11.1% in the past six months [19][20]

Core Viewpoint - Gambling.com Group Limited (GAMB) shows potential as a strong investment opportunity due to significant upward revisions in earnings estimates, indicating a positive earnings outlook and potential for continued stock price appreciation [1][2]. Current-Quarter Estimate Revisions - The company is projected to earn $0.25 per share for the current quarter, reflecting a year-over-year increase of +38.89% - The Zacks Consensus Estimate for Gambling.com has risen by 5.38% in the last 30 days, with two estimates increasing and one decreasing [4]. Current-Year Estimate Revisions - For the full year, Gambling.com is expected to earn $0.88 per share, representing a +76% change from the previous year - Over the past month, three estimates have been revised upward with no negative revisions, leading to a 10.97% increase in the consensus estimate [5]. Favorable Zacks Rank - The positive revisions in earnings estimates have resulted in Gambling.com achieving a Zacks Rank 2 (Buy), indicating strong potential for outperformance - Research indicates that stocks with Zacks Rank 1 (Strong Buy) and 2 (Buy) tend to significantly outperform the S&P 500 [6]. Bottom Line - Gambling.com shares have increased by 31.7% over the past four weeks, suggesting investor confidence in the company's earnings growth prospects, making it a candidate for portfolio inclusion [7].

Core Viewpoint - The article emphasizes the importance of timing and sustainability in stock trends for successful short-term investing, highlighting the need for strong fundamentals to maintain momentum [1][2]. Group 1: Stock Performance - Gambling.com Group Limited (GAMB) has shown a solid price increase of 34.6% over the past 12 weeks, indicating investor confidence in its potential upside [4]. - Over the last four weeks, GAMB's price has increased by 36.1%, suggesting that the upward trend is still intact [5]. - GAMB is currently trading at 96.6% of its 52-week high-low range, indicating a potential breakout [5]. Group 2: Fundamental Strength - GAMB holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises [6]. - The stock has an Average Broker Recommendation of 1 (Strong Buy), reflecting high optimism from the brokerage community regarding its near-term price performance [7]. Group 3: Investment Strategy - The "Recent Price Strength" screen is a useful tool for identifying stocks like GAMB that are on an uptrend supported by strong fundamentals [3]. - The article suggests that investors should consider other stocks that meet similar criteria for potential investment opportunities [8].

Company Overview - Gambling.com Group Limited (GAMB) currently holds a Momentum Style Score of B, indicating a positive momentum characteristic [2] - The company has a Zacks Rank of 2 (Buy), suggesting strong potential for outperformance in the market [3] Price Performance - GAMB shares have increased by 1.69% over the past week, outperforming the Zacks Advertising and Marketing industry, which rose by 0.9% [6] - Over the past month, GAMB's price change is 40.93%, significantly higher than the industry's 1.83% [6] - In the last quarter, GAMB shares have risen by 32.02%, and over the past year, they have gained 36.33%, while the S&P 500 has moved 7.45% and 33.18%, respectively [7] Trading Volume - The average 20-day trading volume for GAMB is 297,233 shares, which serves as a bullish indicator when combined with rising stock prices [8] Earnings Estimates - In the past two months, three earnings estimates for GAMB have been revised upwards, increasing the consensus estimate from $0.79 to $0.87 [10] - For the next fiscal year, three estimates have moved up while one has been revised down [10] Conclusion - Given the positive momentum indicators and earnings outlook, GAMB is positioned as a promising investment opportunity with a Momentum Score of B [11]

Michael Wiggins De Oliveira is an inflection investor. This means buying into cheap companies at the moment when their narrative is changing and the business is on a path toward becoming significantly more profitable over the next year.With a focus on tech and “the Great Energy Transition (including uranium)”, Michael runs a concentrated portfolio with approximately 15 to 20 stocks and an average holding period of 18 months. Through his 10+ years analyzing countless companies, Michael has accumulated outsta ...

Gambling.com Group Limited (GAMB) closed the last trading session at $11.96, gaining 22.4% over the past four weeks, but there could be plenty of upside left in the stock if short-term price targets set by Wall Street analysts are any guide. The mean price target of $15.14 indicates a 26.6% upside potential.The average comprises seven short-term price targets ranging from a low of $13 to a high of $18, with a standard deviation of $1.68. While the lowest estimate indicates an increase of 8.7% from the curre ...

Gambling.com Group Limited (GAMB) came out with quarterly earnings of $0.25 per share, beating the Zacks Consensus Estimate of $0.18 per share. This compares to earnings of $0.14 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 38.89%. A quarter ago, it was expected that this company would post earnings of $0.13 per share when it actually produced earnings of $0.20, delivering a surprise of 53.85%.Over the last four quarters, t ...

FINANCIAL INFORMATION [FINANCIAL INFORMATION](index=4&type=section&id=FINANCIAL%20INFORMATION) This section presents Gambling.com Group Limited's comprehensive financial data, statements, notes, and operational review [Financial Statements](index=4&type=section&id=Financial%20Statements) Unaudited interim consolidated financial statements for Gambling.com Group Limited as of September 30, 2024, are presented [Interim Condensed Consolidated Statements of Comprehensive Income (Unaudited)](index=4&type=section&id=Interim%20Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income%20(Unaudited)) Q3 & Nine Months 2024 vs 2023 Performance (USD in thousands) | Metric | Q3 2024 | Q3 2023 | YoY Change | Nine Months 2024 | Nine Months 2023 | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | **Revenue** | $32,118 | $23,458 | +36.9% | $91,874 | $76,122 | +20.7% | | **Operating Profit** | $9,603 | $4,715 | +103.7% | $25,815 | $13,608 | +89.7% | | **Net Income** | $8,509 | $5,013 | +69.7% | $22,746 | $11,886 | +91.4% | | **Diluted EPS** | $0.24 | $0.13 | +84.6% | $0.62 | $0.31 | +100.0% | [Interim Condensed Consolidated Statements of Financial Position (Unaudited)](index=5&type=section&id=Interim%20Condensed%20Consolidated%20Statements%20of%20Financial%20Position%20(Unaudited)) Statement of Financial Position Highlights (USD in thousands) | Account | Sep 30, 2024 (Unaudited) | Dec 31, 2023 | | :--- | :--- | :--- | | **Total Assets** | **$188,535** | **$154,869** | | Intangible assets | $138,398 | $98,000 | | Cash and cash equivalents | $15,723 | $25,429 | | **Total Liabilities** | **$63,201** | **$35,945** | | Borrowings | $24,446 | $0 | | Deferred consideration | $17,451 | $18,811 | | **Total Equity** | **$125,334** | **$118,924** | - The significant increase in intangible assets is primarily due to the acquisition of Freebets.com and related assets. The company also took on new borrowings of **$24.4 million** during the period[14](index=14&type=chunk)[33](index=33&type=chunk) [Interim Condensed Consolidated Statements of Changes in Equity (Unaudited)](index=6&type=section&id=Interim%20Condensed%20Consolidated%20Statements%20of%20Changes%20in%20Equity%20(Unaudited)) - Total equity increased from **$118.9 million** at the start of 2024 to **$125.3 million** as of September 30, 2024. The increase was driven by net income of **$22.7 million**, partially offset by the acquisition of treasury shares for **$22.1 million** under the share repurchase program[19](index=19&type=chunk) [Interim Condensed Consolidated Statements of Cash Flows (Unaudited)](index=7&type=section&id=Interim%20Condensed%20Consolidated%20Statements%20of%20Cash%20Flows%20(Unaudited)) Cash Flow Summary - Nine Months Ended Sep 30 (USD in thousands) | Cash Flow Activity | 2024 | 2023 | | :--- | :--- | :--- | | **Operating Activities** | **$23,936** | **$10,950** | | **Investing Activities** | **($33,675)** | **($12,483)** | | *Acquisition of intangible assets* | *($21,074)* | *($388)* | | *Payment of deferred consideration* | *($10,044)* | *($4,933)* | | **Financing Activities** | **$630** | **($1,194)** | | *Proceeds from borrowings* | *$45,560* | *$0* | | *Treasury shares acquired* | *($22,195)* | *($759)* | | **Net Change in Cash** | **($9,109)** | **($2,727)** | - Cash used in investing activities increased significantly due to the acquisition of intangible assets (Freebets.com). Financing activities show new proceeds from borrowings of **$45.6 million**, which were largely used for acquisitions and share repurchases of **$22.2 million**[23](index=23&type=chunk) [Notes to the Interim Condensed Consolidated Financial Statements (Unaudited)](index=8&type=section&id=Notes%20to%20the%20Interim%20Condensed%20Consolidated%20Financial%20Statements%20(Unaudited)) - On April 1, 2024, the company acquired Freebets.com and related assets from XL Media PLC. The acquisition was accounted for as an asset acquisition, not a business combination[33](index=33&type=chunk) - The company entered into a new credit agreement with Wells Fargo on March 19, 2024, providing a **$25 million** term loan and a **$25 million** revolving credit facility. As of September 30, 2024, the full term loan was drawn[96](index=96&type=chunk)[97](index=97&type=chunk) - During the nine months ended September 30, 2024, the company repurchased **2,480,235 shares** for a total of **$22.1 million** under its authorized share repurchase program[76](index=76&type=chunk) - For the nine months ended September 30, 2024, revenue from North America was **$39.9 million**, UK & Ireland was **$28.6 million**, and Other Europe was **$16.6 million**. Casino products generated **$66.7 million** in revenue, while Sports generated **$24.2 million**[121](index=121&type=chunk)[122](index=122&type=chunk) [Operating and Financial Review and Prospects](index=32&type=section&id=Operating%20and%20Financial%20Review%20and%20Prospects) Management reviews the company's financial condition and results, analyzing revenue, expenses, non-IFRS metrics, and key performance indicators Revenue by Geography - Nine Months Ended Sep 30 (USD in thousands) | Region | 2024 | 2023 | YoY Change | | :--- | :--- | :--- | :--- | | North America | $39,877 | $40,407 | -1% | | UK and Ireland | $28,631 | $23,749 | +21% | | Other Europe | $16,557 | $7,902 | +110% | | Rest of the world | $6,809 | $4,064 | +68% | | **Total** | **$91,874** | **$76,122** | **+21%** | Revenue by Product - Nine Months Ended Sep 30 (USD in thousands) | Product | 2024 | 2023 | YoY Change | | :--- | :--- | :--- | :--- | | Casino | $66,707 | $49,803 | +34% | | Sports | $24,156 | $25,518 | -5% | | Other | $1,011 | $801 | +26% | | **Total** | **$91,874** | **$76,122** | **+21%** | - Revenue growth was driven by the Casino segment and strong performance in European markets, benefiting from both organic growth and the acquisition of Freebets.com. This offset a slight decline in North America and the Sports segment[173](index=173&type=chunk)[179](index=179&type=chunk)[187](index=187&type=chunk) Non-IFRS Performance Metrics - Nine Months Ended Sep 30 | Metric | 2024 | 2023 | YoY Change | | :--- | :--- | :--- | :--- | | Adjusted EBITDA | $33,955 | $26,146 | +30% | | Adjusted EBITDA Margin | 37% | 34% | +3 p.p. | | Free Cash Flow | $28,417 | $16,694 | +70% | - The company's Key Performance Indicator, **New Depositing Customers (NDCs)**, increased by **25%** to **332,000** for the nine months ended September 30, 2024, compared to the same period in 2023, demonstrating business growth primarily in casino products[237](index=237&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=52&type=section&id=Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company details its exposure to market, interest rate, credit, and liquidity risks, including currency sensitivity and liability maturity - The company is exposed to foreign currency risk as sales and expenses are denominated in EUR, USD, and GBP. A **10%** strengthening of the USD against the EUR would increase net income before tax by approximately **$1.5 million**[263](index=263&type=chunk)[266](index=266&type=chunk) - The company now has exposure to interest rate risk due to its new variable-rate borrowings under the Wells Fargo Credit Facility[266](index=266&type=chunk)[268](index=268&type=chunk) Maturity Profile of Financial Liabilities as of Sep 30, 2024 (USD in thousands) | Liability | Less Than 1 Year | 1-2 Years | More Than 2 Years | Total | | :--- | :--- | :--- | :--- | :--- | | Deferred consideration | $17,800 | $0 | $0 | $17,800 | | Contingent consideration | $2,723 | $0 | $0 | $2,723 | | Borrowings and interest | $4,620 | $5,203 | $19,024 | $28,847 | | Lease liability | $1,246 | $1,278 | $3,912 | $6,436 | | Trade and other payables | $4,016 | $0 | $0 | $4,016 | | **Total** | **$30,405** | **$6,481** | **$22,936** | **$59,822** | [Purchases of Equity Securities by the Issuer and Affiliated Purchases](index=54&type=section&id=Purchases%20of%20Equity%20Securities%20by%20the%20Issuer%20and%20Affiliated%20Purchases) Details of the company's share repurchase program are provided, including authorized amounts and Q3 2024 monthly repurchase data - The company's board has authorized a total of **$40.0 million** for share repurchases since the program began. The authorization is set to expire on May 18, 2027[276](index=276&type=chunk) Share Repurchases for Q3 2024 | Period | Number of Shares Repurchased | Average Price Paid ($) | | :--- | :--- | :--- | | July 2024 | 597,412 | $8.82 | | August 2024 | 398,281 | $9.55 | | September 2024 | 321,282 | $10.10 | Signatures [Signatures](index=55&type=section&id=Signatures) The report was signed on November 14, 2024, by Elias Mark, Chief Financial Officer of Gambling.com Group Limited - The report was duly signed on November 14, 2024, by Elias Mark, the Chief Financial Officer of Gambling.com Group Limited[282](index=282&type=chunk)

Release Date: August 15, 2024 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Positive Points Gambling.com Group Ltd (GAMB, Financial) reported a record Q2 revenue of $30.5 million, marking an 18% year-over-year increase. Adjusted EBITDA grew by 19% to $11.2 million, demonstrating strong financial performance. The company raised its full-year revenue guidance, reflecting confidence in continued growth. GAMB successfully navigated changes in Google's polic ...