Flutter Entertainment price target raised to $350 from $310 at MoffettNathanson

Investing.com - MoffettNathanson raised its price target on Flutter Entertainment (NYSE:FLUT) to $350 from $310 on Friday, while maintaining a Buy rating on the stock. The online gaming sector continues to show strong momentum, with key competitor DraftKings (NASDAQ:DKNG) trading near its 52-week high of $53.61 and showing impressive revenue growth of 25.8% over the last twelve months, according to InvestingPro data.

The research firm cited potential upside to its 2030 U.S. EBITDA estimate as the primary driver for the $40 increase in the price target. MoffettNathanson continues to value Flutter’s U.S. operations at 12x 2030 GAAP EBITDA but now discounts that back to 2027 rather than 2026. For deeper insights into the online gaming sector’s valuations and growth metrics, including exclusive Fair Value models and comprehensive financial health scores, explore the full research report available on InvestingPro.

The firm also adjusted its valuation for Flutter’s non-U.S. business, now valuing it at 9x its 2027 GAAP EBITDA estimate versus the previous 2026 estimate. These changes result in an enterprise value of $73 billion and an equity value of $62 billion for the company.

MoffettNathanson believes FanDuel, Flutter’s U.S. subsidiary, is uniquely positioned to capture a growing share of the U.S. online gaming market as the leading online sports betting platform and a major player in iGaming.

The firm maintained its EBITDA multiples despite rolling its valuation forward one year, citing confidence in the current strength of Flutter’s underlying business and its clear growth trajectory.

In other recent news, DraftKings Inc. reported impressive second-quarter 2025 earnings, with an earnings per share (EPS) of $0.38, significantly surpassing the forecasted $0.13. Revenue for the quarter reached $1.51 billion, exceeding the anticipated $1.4 billion. These strong results have led several analyst firms to adjust their price targets and maintain positive ratings on the company. Goldman Sachs raised its price target for DraftKings to $61, noting that the company’s revenue and adjusted EBITDA exceeded both their estimates and company guidance. Jefferies also increased its price target to $54, citing stronger-than-expected quarterly results and maintaining a Buy rating. Needham reiterated its Buy rating with a $60 price target, while Stifel maintained a Buy rating and a $51 price target despite tax and regulatory challenges. DraftKings continues to face headwinds from higher taxes and costs associated with its launch in Missouri. Despite these challenges, the company has maintained its fiscal year 2025 guidance.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.