Berenberg has (politely) called out the doubters of Team17 Group PLC (LON:TM17), the indie games developer of Worms Rumble and King of the Seas.
“Occasionally investors and analysts just get it wrong,” the London arm of the German investment bank said. “This appears to be the case with some of the market commentary we have noted for Team17 in the past week.
“At its core appears to be a concern that Team17’s revenue per new title has begun to decline since its IPO in 2018.”
This is simply not the case, Berenberg said, restating its ‘buy’ advice and 850p a share price target.
Its note details all 33 titles released in the past three financial years and reveals what the revenue per new title would look like if the games had been measured on a like-for-like basis.
“In short, it shows a very positive trend,” said Berenberg.