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Investing.com -- Equity research firms BTIG, Jefferies, UBS, and Barclays have all initiated coverage of Cirsa Enterprises SA (BME:CIRSA), the casino and gambling‑machine operator active in Spain, Italy, and across Central and Latin America.
Barclays initiated with an “overweight” rating and a €20 price target, underscoring Cirsa’s long record of organic growth, M&A execution, and an expanding online business.
Jefferies, also with a “buy” and €20 target, emphasized the company’s "enviable track record" of 67 consecutive quarters of EBITDA growth, excluding the COVID-19 disruption.
UBS rated the company “buy,” pointing to Cirsa’s "dependable, diversified delivery" in a volatile sector.
The brokerage flagged Cirsa’s capacity to compound earnings and free cash flow, enabling potential shareholder returns, faster deleveraging, and reinvestment through M&A.
BTIG likewise initiated at “buy,” with a €19 target, citing "a high likelihood of positive revisions, multiple expansion, and share price upside" if growth plans are executed successfully.
Currently, around 80% of Cirsa’s revenues come from offline operations, with its online segment described by BTIG as "nascent, but fast-growing."
Analysts expect Cirsa to leverage its dominant land-based footprint to boost margins, consolidate fragmented markets, and reprice assets, while using its venues as a marketing channel for online growth.
Both UBS and Barclays flagged this omnichannel strategy as a key growth driver.
For fiscal 2024, Cirsa reported €2.15 billion in revenue and €699 million in EBITDA, with a 33% margin, according to Jefferies.
Barclays forecasts revenue growth of 7.1%, EBITDA growth of 9.4%, and net income growth of 25% for the period 2025-2027.
BTIG also sees sustained mid-to-high single-digit growth across revenue and EBITDA. Despite these outlooks, the brokerage noted Cirsa trades at a discount to its growth profile, calling the valuation "punitive."