Peel Hunt says 'highly likely' Games Workshop will beat its new full-year estimates
Analysts at Peel Hunt sounded a positive note on the valuation and business outlook for Games Workshop after the firm upgraded its forecast for profits for the second time in just over a month.
Describing the company's latest upgrade as "positive", they bumped-up their full-year estimate for the battle-games outfit's profits before tax and earnings per share by 5% to £140m and 336.0p, respectively.
They also highlighted the company's "strong" cash generation and 60.0p dividend per share, with the latter resulting in a year-to-date DPS of 140.0p, which was up from 95.0p for the year earlier period.
"The strong performance is showing no signs of slowing, and our new numbers are highly likely to be beaten."
Peel Hunt kept its recommendation for the stock at 'buy' and its target price at 12,500p.