In October 2021, the AGEM Index improved by 31.17 points to a new high of 1,077.92, marking a 3.0 percent increase from the prior month. Compared to one year ago, the index has more than doubled from 495.31 for an annual growth rate of 117.6 percent. In the latest period, a majority of AGEM Index companies reported increases in stock price, with seven posting positive contributions, three recording negative contributions and one seeing no change from prior period.
The largest impact to the index was attributed to Aristocrat Leisure Limited (ASX: ALL). While its stock reported a 0.6 percent decline, Aristocrat added 15.06 points to the index due to an increase in outstanding shares that were used for equity raising to fund a new acquisition coupled with an improvement in exchange rate between the Australian dollar and the U.S. dollar. International Game Technology PLC (NYSE: IGT) was also a significant contributor to the monthly growth in the index, adding 13.82 points as the result of a 12.0 percent rise in stock price. The largest negative contributor to the index was Scientific Games Corporation (Nasdaq: SGMS), whose 3.6 percent drop in stock price led to a 5.32-point decrease in the AGEM Index.
All three major U.S. stock indices increased over the month, with the NASDAQ and the S&P 500 growing by 7.5 percent and 6.9 percent, respectively. Meanwhile, Dow Jones Industrial Average experienced a 5.9 percent increase.
The AGEM Index
The Association of Gaming Equipment Manufacturers (AGEM) produces the monthly AGEM Index that comprises 12 global gaming suppliers throughout the world. A total of nine suppliers are based in the United States and are listed on the NYSE, Nasdaq or OTC market, while two trade on the Australian exchange and one on the Tokyo exchange. The index is computed based on the month-end stock price (adjusted for dividends and splits) of each company and weighted based on approximation of market capitalization. Market capitalizations for manufacturers trading on foreign exchanges have been converted to US dollar-equivalents as of month-end for comparability purposes. The AGEM Index is
based on a 100-point value as of January 2005. Company stock prices and AGEM Index contributions may be revised as necessary due to stock splits, reverse stock splits, mergers, acquisitions, and other business activities.
About AGEM
AGEM is an international trade association representing manufacturers of electronic gaming devices, systems, lotteries, and components for the gaming industry. The Association works to further the interests of gaming equipment manufacturers throughout the world. Through political action, tradeshow partnerships, information dissemination and good corporate citizenship, the members of AGEM work together to create benefits for every company within the organization. Together, AGEM and its member organizations have assisted regulatory commissions and participated in the legislative process to solve problems and create a positive business environment.
