AGEM Index declines nearly 5% to start 2022
The AGEM Index declined by 45.71 points to 925.87 in January 2022, marking a 4.7 per cent decrease from December 2021.
Compared to one year ago, the index increased by 229.80 points for an annual growth rate of 33.0 per cent.
In the latest period, nine of the AGEM Index companies reported stock price decreases amid a broad market decline. As a result, three companies posted positive contributions to the index, while the other nine posted negative contributions.
The top contributor to the monthly index was Konami, whose 11.1 per cent increase in stock price led to a 16.69-point gain for the index. The largest negative contributor to the index was Aristocrat, whose 7.4 per cent drop in overall stock price resulted in a 35.24-point decrease in the AGEM Index.
Meanwhile, a double-digit drop in the stock price for Scientific Games was also a driving factor in the monthly drop in the index. The company reported a 13.7 per cent decline in stock price, which led to a 15.63-point decline to the index.
January’s decline is only the second that the index has experienced since July 2021 and comes after 2021 ended with an improvement of 11.39 points to 971.59 in December, a 1.2 per cent increase on November.
The latest drop came in the context of the fact that the three major U.S. stock indices decreased over the latest period. The Dow Jones Industrial Average declined 3.3 per cent, while the S&P 500 fell by 5.3 per cent. Meanwhile, the NASDAQ experienced a 9.1 per cent fall.
The Association of Gaming Equipment Manufacturers (AGEM) produces the monthly AGEM Index that comprises 12 global gaming suppliers throughout the world. The index is computed based on the month-end stock price (adjusted for dividends and splits) of each company and weighted based on an approximation of market capitalization.