Berenberg raises Frontier Developments stock price target to GBP4.50

Published 11/09/2025, 10:10
Berenberg raises Frontier Developments stock price target to GBP4.50

Investing.com - Berenberg has raised its price target on Frontier Developments PLC (LON:FDEV) to GBP4.50 from GBP3.30 while maintaining a Buy rating on the stock.

The price target increase follows Frontier’s FY25 results released on September 10, which contained few surprises given what had already been reported in the company’s June trading update.

Berenberg notes that market attention continues to focus on the upcoming release of Jurassic World Evolution 3 (JWE3) in October, with early indications showing positive community feedback and pre-order data.

The research firm highlighted that Frontier has incorporated lessons from previous game releases to ensure JWE3 should be well-received at launch, which could present upside risk to forecasts given the increased likelihood of platform deals and a drop-through rate of approximately 65%.

Berenberg’s increased price target reflects better revenue performance in core franchises, alongside a roll-forward in its DCF model, with the shares currently trading on an FY27E EV/EBIT of 12.6x compared to everplay at 10.7x.

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