FLUT Stock Forecast & Price Target

Flutter Entertainment's financial performance indicates a strong growth trajectory, with EBITDA surpassing expectations by 23% and experiencing a year-over-year increase of 10%, supported by revenues of $2,426 million. The company's user acquisition strategy is evidenced by a 30% year-over-year increase in average monthly users, demonstrating significant market penetration potential, particularly in the expanding U.S. market. Furthermore, the anticipated launch of a predictive sports betting platform in late 2025, combined with a diverse portfolio of strong brands across multiple regions, positions Flutter for continued competitive advantages and revenue growth.

Flutter Entertainment's sportsbook net revenue margin decreased by 30 basis points year-over-year to 12.4%, significantly impacted by a lower structural revenue margin and unfavorable sports outcomes, which resulted in a substantial EBITDA miss for the period. The company's guidance for adjusted EBITDA was lowered by 14% at the midpoint, reflecting pressures from increased competitor promotions and anticipated investments for their upcoming predictive sports betting platform. Additionally, while there was growth in certain regions, Flutter faces significant challenges from aggressive competition and changing market dynamics, which contributed to a downward revision in revenue expectations for fiscal year 2025 and beyond.