Investors investigating Playtika in wake of worsening financial results

Playtika is being investigated by the Law Offices of Howard G. Smith on behalf of the gaming company’s investors. They are concerned about possible violations of federal securities law, as the company’s financial results once again missed consensus estimates.

Law Offices of Howard G. Smith, a firm that focuses on helping injured investors, announced the investigation of Playtika on November 9.

The subject of the investigation is Playtika’s stock price, which dropped 23% (or $6.8) on November 3. The decline was caused by the company’s latest financial report for the third quarter of 2021.

Playtika reported revenue of $635.9 million, missing previous estimates by $26.07 million. Its earnings per share also didn’t meet expectations. According to the law firm, these results harmed the company’s investors.

Back in May, Playtika’s stock price also dropped 3.47% (or $0.93) after it missed consensus estimates for its GAAP earnings per share in the second quarter.

Playtika went public in January, raising $1.88 billion through IPO. It managed to sell around 18.5 million shares at a price of $27 per share. Its financial results, however, haven’t satisfied investors ever since.