Canaccord Genuity Reaffirms Buy Rating on Light & Wonder with A$191.00 Price Target

Canaccord Genuity analyst Allan Franklin maintained a Buy rating for Light & Wonder (LNW) with a price target of A$191.00. Franklin has an average return of -2.0% and a 39.63% success rate on recommended stocks. The current analyst consensus on LNW is a Moderate Buy with an average price target of $113.19, implying a 24.49% upside from current levels.

Light & Wonder, Inc. (LNW) has reported robust financial results for Q2 2025, highlighting continued growth and strategic initiatives. The company's CEO, Matthew R. Wilson, noted strong game performance and disciplined investments, contributing to earnings growth. The acquisition of Grover Charitable Gaming was completed in May, with over 600 active units added since the announcement in February. This acquisition has already shown early positive contributions and seamless operational integration [1].

Light & Wonder is preparing for market entry into Indiana, with expectations to deploy its first units this fall. A major strategic shift was announced: the company's decision to transition to a sole ASX listing by the end of November 2025. This move is expected to consolidate liquidity and deliver long-term shareholder value. The new Raleigh, North Carolina, office will serve as a main hub for future growth, and production capabilities in Mexico have been expanded to meet demand for key cabinets in Canada and Mexico [1].

In gaming operations, the North America installed base grew by 845 units sequentially, maintaining a 52% premium units. The company achieved 20 consecutive quarters of North American premium installed base growth, with several proprietary titles ranking atop industry charts. iGaming revenue reached record levels, with third-party network expansion and four sequential quarters of GGR uplift on first- and third-party content. SciPlay reported a 12% market share, with Quick Hit Slots and 88 Fortunes delivering record revenues, and the direct-to-consumer (DTC) platform reaching 18% of segment revenue [1].

CFO Oliver Chow reported revenue for the quarter was $809 million, inclusive of a partial quarter's contribution from Grover and record revenue at iGaming, offset by modest declines at Gaming and SciPlay. Net income was $95 million, a 16% increase, and diluted EPS of $1.11, a 23% increase from the prior year. Consolidated AEBITDA was $352 million, up 7% year over year, with a 44% margin [1].

The company provided fiscal year 2025 consolidated AEBITDA guidance of $1.43 billion to $1.47 billion, including approximately $65 million from Grover, and adjusted NPATA guidance of $550 million to $575 million. Management expects the third quarter year-over-year consolidated AEBITDA growth to be in the low double digits with momentum building into the fourth quarter. The company reiterated its commitment to the previously issued 2028 target of $2 billion in AEBITDA [1].

Canaccord Genuity analyst Allan Franklin maintained a Buy rating for Light & Wonder (LNW) with a price target of A$191.00. The current analyst consensus on LNW is a Moderate Buy with an average price target of $113.19, implying a 24.49% upside from current levels [2].

References:
[1] https://seekingalpha.com/news/4480827-light-and-wonder-outlines-1_43b-1_47b-aebitda-guidance-and-sole-asx-listing-transition-amid
[2] https://www.marketbeat.com/instant-alerts/filing-ing-groep-nv-raises-stock-holdings-in-light-wonder-inc-nasdaqlnw-2025-08-04/