Galaxy Gaming (GLXZ) Was Sold To Evolution Gaming

River Oaks Capital, an investment management company, released its second-quarter investor letter.  A copy of the letter can be downloaded here. Year to date, the fund returned 5.1% compared to the Russell 2000 TR’s 1.7% return and the Russell Microcap TR’s -0.8% return. River Oaks Capital concentrates on investing with a business owner, and long-term mindset in a select number of underfollowed publicly traded micro-caps and small caps. In addition, please check the fund’s top five holdings to know its best picks in 2024.

River Oaks Capital highlighted stocks like Galaxy Gaming, Inc. (OTC:GLXZ) in the second quarter 2024 investor letter. Galaxy Gaming, Inc. (OTC:GLXZ) is a gaming company headquartered in Las Vegas, Nevada. The one-month return of Galaxy Gaming, Inc. (OTC:GLXZ) was 0.72%, and its shares lost 7.00% of their value over the last 52 weeks. On September 3, 2024, Galaxy Gaming, Inc. (OTC:GLXZ) stock closed at $2.79 per share with a market capitalization of $70.63 million. The acquisition of Galaxy Gaming, Inc. (OTC:GLXZ) by Evolution AB is expected to close by next year.

River Oaks Capital stated the following regarding Galaxy Gaming, Inc. (OTC:GLXZ) in its Q2 2024 investor letter:

“Galaxy Gaming, Inc. (OTC:GLXZ) licenses proprietary tables games to casinos – most notably ‘21+3.’ It was our eighth largest position in the fund and had a market cap of $45m. If you recall, at the end of last year there was an unexpected, frustrating development at Galaxy Gaming as the board decided to abruptly fire the CEO – Todd Cravens.

As mentioned in the previous letter, I was going to take the first half of the year to assess the situation at Galaxy as it owns wonderful assets that have been unproperly managed by the board. To try to better grasp of what was going on I flew out to Las Vegas in May and spent time with the new CEO – Matt Reback…” (Click here to read the full text)

A casino floor with multiple gaming tables and slot machines illuminated by neon lights.

Galaxy Gaming, Inc. (OTC:GLXZ) is not on our list of 31 Most Popular Stocks Among Hedge Funds. While we acknowledge the potential of Galaxy Gaming, Inc. (OTC:GLXZ) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

In addition, please check out our hedge fund investor letters Q2 2024 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.