NEW YORK (TheStreet) -- Shares of King Digital Entertainment PLC (KING) are higher by 3.42% to $15.41 at the start of trading on Monday morning, after JPMorgan raised its rating on the company to "overweight" from "neutral."

The firm said it upped its rating on the mobile game maker based on a valuation call and its belief the company will continue to grow and be able to distance itself from its smaller rivals.

"We believe the current risk/reward profile is compelling," JPMorgan said in an analyst note.

"As King continues to grow its network, it is gaining significant scale benefits around marketing, cross-selling, and data that further distance[s] the company from smaller competitors," JPMorgan added.

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