Fitch highlights Light & Wonder\u2019s potential to generate robust levels of free cash flow (FCF) — an enviable trait when investors prioritize companies with such capabilities.<\/p>\n
Strong FCF Generation: Fitch expects the company’s FCF generation and margin will reach $500 million and 15%, respectively, by 2023 thanks to fully recovered EBITDA, reduced interest expense, and reduced capital intensity following lottery’s divestiture, concludes the research firm. \u201cFCF is strong relative to the broader gaming industry and in line with other ‘BB’ and ‘BBB’ category suppliers.\u201d<\/p><\/blockquote>\n
If Light & Wonder can sustain leverage below 3x, show stability in digital gaming market share, and hold or expand upon current slot share, it could be positioned for a credit upgrade.<\/p>\n","protected":false},"excerpt":{"rendered":"
Light & Wonder (NASDAQ:SGMS), the company formerly known as Scientific Games, earned a \u201cBB\u201d credit mark in its first grade from Fitch Ratings, putting the slot machine manufacturer in non-investment grade territory. The company reported a debt of $8.8 billion as of September 30, 2021. That\u2019s well in excess of its market capitalization of $5.68 […]<\/p>\n","protected":false},"author":46,"featured_media":207820,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[10,69293],"tags":[],"acf":[],"yoast_head":"\n
Light & Wonder Tagged With Junk Rating In First Grade From Fitch<\/title>\n\n\n\n\n\n\n\n\n\n\n\n\n\t\n\t\n\t\n\n\n\n\n\n\t\n\t\n\t\n