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Analysts at Sterne Agee initiated coverage on shares of King Digital Entertainment PLC (NASDAQ:KING) in a research report issued to clients and investors on Friday, reports. The firm set a “neutral” rating and a $24.00 price target on the stock. Sterne Agee’s price target would suggest a potential upside of 34.45% from the company’s current price.

The analysts wrote, “already tracking 20% below peak-booking levels reached in July 2013.” King Digital has 180 games, but revenue is “concentrated among 3 games, with represent 95% of bookings in 4Q’13,” said Bhatia. Bhatia is projecting “y/y bookings growth of 32% and 4% in 2014/2015, respectively and adjusted EBITDA growth of 24% and 2% in 2014/2015 respectively.”

King Digital Entertainment PLC (NASDAQ:KING) traded up 5.12% during mid-day trading on Friday, hitting $17.85. The stock had a trading volume of 3,481,742 shares. King Digital Entertainment PLC has a 52 week low of $15.26 and a 52 week high of $21.39. The stock has a 50-day moving average of $16.7 and a 200-day moving average of $17.39. The company has a market cap of $5.671 billion and a P/E ratio of 8.47. King Digital Entertainment PLC also was the target of unusually large options trading activity on Friday. Stock traders acquired 11,964 call options on the company. This is an increase of approximately 1,291% compared to the typical daily volume of 860 call options.

King Digital Entertainment PLC (NASDAQ:KING) last issued its quarterly earnings data on Wednesday, May 7th. The company reported $0.41 earnings per share for the quarter, missing the analysts’ consensus estimate of $0.57 by $0.16. The company had revenue of $606.70 million for the quarter, compared to the consensus estimate of $205.90 million. King Digital Entertainment PLC’s revenue was up 194.7% compared to the same quarter last year.

King Digital Entertainment plc is an interactive entertainment company. The Company’s games include Candy Crush Saga, Pet Rescue Saga, Farm Heroes Saga, Papa Pear Saga and Bubble Witch Saga.

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