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Investing.com - Macquarie raised its price target on Flutter Entertainment (NYSE:FLUT) to $340.00 from $320.00 on Friday, while maintaining an Outperform rating on the stock. According to InvestingPro data, the stock currently trades at $281.76, with analysts’ targets ranging from $259 to $393, suggesting potential upside. The company maintains a "GOOD" overall financial health score.
The price target increase follows Flutter’s second-quarter results, which showed revenue and EBITDA growth of 16% and 25% year-over-year to $4.19 billion and $919 million, respectively. These figures beat consensus estimates by 1% and 14%, demonstrating strong operating leverage with a quarterly EBITDA margin of 22%. InvestingPro analysis reveals the company’s impressive 38% revenue CAGR over the past five years, with 5 analysts recently revising their earnings estimates upward. Want deeper insights? InvestingPro offers 12 additional exclusive tips for Flutter Entertainment.
Flutter’s U.S. segment was the primary driver of outperformance, with revenue and EBITDA increasing 17% and 54% year-over-year to $1.79 billion and $400 million. This growth was supported by 11% growth in sportsbook and 42% growth in iGaming, compared to the North American online GGR market growth of 29% year-over-year.
The company’s international revenue and EBITDA grew 15% and 13% year-over-year, with acquisitions of Snai and NSX contributing 11 percentage points of growth. Organic growth was driven by iGaming in Turkey, SisaI’s Italian online business, and operations in India.
Following these results, Flutter management increased its 2025 revenue and EBITDA guidance at the midpoint to $17.3 billion and $3.3 billion, up from previous guidance of $17.1 billion and $3.2 billion, despite negative financial impacts from recently increased tax legislation in New Jersey, Louisiana, and Illinois. With a strong Piotroski score of 8 and Altman Z-Score of 7.99, InvestingPro data indicates solid financial stability. Access Flutter’s comprehensive Pro Research Report, part of InvestingPro’s coverage of 1,400+ US stocks, for detailed analysis and actionable insights.
In other recent news, Flutter Entertainment reported strong financial results for the second quarter of 2025, with revenue reaching $4.19 billion, surpassing consensus estimates of $4.08 billion. The company’s adjusted EBITDA was $919 million, which exceeded expectations and marked a 25% increase from the previous year. Earnings per share (EPS) also impressed, coming in at $2.95, significantly above the projected $2.11. Analysts responded positively to these results, with Benchmark raising its price target to $365 while maintaining a Buy rating. UBS also raised its price target to $360, citing strong U.S. results. Stifel increased its target to $356, noting an 18% beat on adjusted EBITDA due to favorable U.S. sports outcomes. Bernstein SocGen Group adjusted its price target to $340, highlighting FanDuel as a key growth driver. These developments underscore the positive reception of Flutter’s performance among analysts.
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