(Sharecast News) - Analysts at Liberum raised their target price on video games developer Team17 from 500.0p to 750.0p on Friday, stating the firm was "moving up".
Liberum said Team17 had, unsurprisingly, enjoyed some "very strong" first-half trading, which drove major upgrades to its earnings forecasts and target price.
"We had already expected a much stronger H2 for Team17 given the release schedule, so in effect, we are upgrading our FY20 revenue forecast (from £68m to £79m) to largely capture the supernormal playing activity and resulting revenues during lockdown," said Liberum.
The investment bank stated that Team17's planned release of eight games in the second half of the year and a record number of games being greenlit so far this year highlighted the group's "firmly underpinned medium-term growth outlook".
"We retain a view that investors should be overweight the gaming subsector and Team17 is a stock to add to on any weakness," said the analysts.
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