Berenberg on Thursday renewed its buy recommendation on Focus Entertainment, with a price target of 65 euros, anticipating both an upward revision of consensus forecasts and the completion of M&A transactions.

The financial intermediary explains that it emerged from a recent meeting with Sean Brennan, the video game group's CEO, and Laure d'Hauteville, its CFO, with reinforced confidence in the company's business and strategy.

As a result, the analyst is raising his sales and earnings forecasts for the fiscal year ending March, counting in particular on better-than-expected sales for the 'Atomic Heart' title.

But Berenberg stresses that the buoyant momentum underpinning the Group's games in the run-up to the new 2023/2024 financial year, as well as its solid pipeline of forthcoming titles, should also support the company's growth in the months ahead and lead to an upward revision of market forecasts.

The professional also believes that it is clear that M&A transactions are now on the agenda.

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