International Game Technology PLC (IGT) has had its forecast for the third and fourth quarter cut by Union Gaming. Despite the retreat, which is expected due to slow earnings growth in the current half, Union Gaming indicates that the slot machine maker is still a “buy.”

Union Gaming issued its update last Friday. It says that it had cut the third-quarter forecast for IGT’s EBITDA (earnings before interest, tax, depreciation and amortization) from $436.4 million to $406.8 million. In addition, the fourth-quarter performance is expected to drop from $463.7 million to $454.7 million.

The full-year forecast for the company was previously between $1.7-$1.78 billion. With the updated note, Union Gaming expects the annual EBITDA to be around $1.74 billion, so it still falls in line with the previous forecasts.

John DeCree, an analysts with Union Gaming, explained in the note, “Even with lower estimates and less onerous target multiples, we see more than 20 percent upside in the shares. We agree the sector warranted a rerating after sustaining record-high valuations for several months, but we believe the pendulum swung too far in the other direction. Shares of IGT are currently trading at about 6.5 times our 2018 EBITDA estimate of US$1.74 billion.”