Might've been a consensus "miss", but given the gloomy outlook...

Might've been a consensus "miss", but given the gloomy outlook for a global recession, they've guided on NPAT growth. Sure, the market dislikes the 'lack' of guidance. But they're still guiding growth. I don't see the digital covid demand as being a massive issue. ALL are diversifying their future revenue streams. Land based, digital and RMG. Speaking of RMG, how much of that growth potential is being overlooked by the market? Sure, they're later to the party than what they'd like to be, but based on their track record and their investment in D&D, they may well surprise to the upside.

I found it interesting to note that in the AGM presentation, ALL hadn't released a single new digital game for FY22. And yet, they still managed a 27% jump in profit for FY22. As for the dividend not being increased...well that's not why you own Aristocrat Leisure.

The share price today in my opinion was a direct reflection of the fact that the market sees value in this company going forward. There was no sell off today and I expected as much. Personally, with a forward PE of about 18-19x ALL still looks reasonable cheap for such a high quality growth stock.

Or, you could just buy Woolworths and get the 2.9% divvie at 25x.