Flutter Entertainment (NYSE:FLUT) Upgraded by Wedbush to "Strong-Buy" Rating

Key Points

• Wedbush upgraded Flutter Entertainment to “Strong-Buy,” while the broader analyst view remains positive overall with an average “Moderate Buy” rating and a $187.42 price target.
• The company recently beat earnings expectations, reporting $1.22 EPS versus $1.09 expected and revenue of $4.30 billion, up 17.4% year over year.
• Flutter also authorized a $250 million share repurchase program, signaling management may view the stock as undervalued, even as insider trading was mixed with the CEO selling shares and the COO buying shares.

Flutter Entertainment (NYSE:FLUT - Get Free Report) was upgraded by Wedbush to a "strong-buy" rating in a report released on Monday,Zacks.com reports.

Several other analysts have also recently commented on FLUT. Canaccord Genuity Group dropped their target price on shares of Flutter Entertainment from $270.00 to $220.00 and set a "buy" rating for the company in a research report on Monday, March 2nd. Susquehanna reduced their price target on Flutter Entertainment from $160.00 to $143.00 and set a "positive" rating on the stock in a research report on Tuesday, March 31st. Truist Financial decreased their price objective on Flutter Entertainment from $140.00 to $130.00 and set a "buy" rating for the company in a research note on Thursday, May 7th. UBS Group dropped their price objective on Flutter Entertainment from $300.00 to $160.00 and set a "buy" rating for the company in a report on Wednesday, March 25th. Finally, Kepler Capital Markets lowered Flutter Entertainment from a "strong-buy" rating to a "hold" rating in a research note on Monday, March 16th. Three equities research analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, seven have given a Hold rating and four have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, Flutter Entertainment currently has an average rating of "Moderate Buy" and an average price target of $187.42.

Flutter Entertainment Stock Down 0.1%

Shares of NYSE:FLUT opened at $108.92 on Monday. The company has a debt-to-equity ratio of 1.27, a current ratio of 0.90 and a quick ratio of 0.90. The stock has a market cap of $18.95 billion, a price-to-earnings ratio of -50.90, a P/E/G ratio of 1.41 and a beta of 1.40. The company has a 50 day moving average of $103.35 and a 200-day moving average of $142.26. Flutter Entertainment has a one year low of $91.52 and a one year high of $313.68.

Flutter Entertainment (NYSE:FLUT - Get Free Report) last announced its quarterly earnings data on Wednesday, May 6th. The company reported $1.22 earnings per share for the quarter, beating the consensus estimate of $1.09 by $0.13. Flutter Entertainment had a negative net margin of 2.20% and a positive return on equity of 11.60%. The business had revenue of $4.30 billion for the quarter, compared to analyst estimates of $4.24 billion. During the same period in the prior year, the business posted $1.59 earnings per share. Flutter Entertainment's revenue was up 17.4% compared to the same quarter last year. On average, sell-side analysts forecast that Flutter Entertainment will post 5 earnings per share for the current year.

Flutter Entertainment declared that its Board of Directors has authorized a share repurchase program on Wednesday, March 11th that permits the company to buyback $250.00 million in outstanding shares. This buyback authorization permits the company to repurchase up to 1.3% of its shares through open market purchases. Shares buyback programs are usually an indication that the company's leadership believes its stock is undervalued.

Insider Buying and Selling

In related news, CEO Jeremy Peter Jackson sold 3,084 shares of the company's stock in a transaction on Monday, May 11th. The shares were sold at an average price of $98.13, for a total value of $302,632.92. Following the completion of the sale, the chief executive officer owned 74,326 shares in the company, valued at $7,293,610.38. This represents a 3.98% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, COO James Philip Bishop acquired 1,000 shares of the company's stock in a transaction that occurred on Monday, May 11th. The shares were acquired at an average cost of $99.75 per share, for a total transaction of $99,750.00. Following the purchase, the chief operating officer directly owned 17,605 shares in the company, valued at $1,756,098.75. This trade represents a 6.02% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Over the last ninety days, insiders have acquired 10,453 shares of company stock worth $1,045,526 and have sold 5,994 shares worth $577,293. Corporate insiders own 0.13% of the company's stock.

Institutional Investors Weigh In On Flutter Entertainment

Hedge funds have recently modified their holdings of the business. MML Investors Services LLC grew its position in shares of Flutter Entertainment by 0.6% in the 2nd quarter. MML Investors Services LLC now owns 7,081 shares of the company's stock valued at $2,024,000 after purchasing an additional 45 shares during the period. OneDigital Investment Advisors LLC raised its holdings in Flutter Entertainment by 1.2% during the 3rd quarter. OneDigital Investment Advisors LLC now owns 4,057 shares of the company's stock worth $1,030,000 after buying an additional 49 shares during the period. Stratos Wealth Partners LTD. raised its holdings in Flutter Entertainment by 5.7% during the 3rd quarter. Stratos Wealth Partners LTD. now owns 1,074 shares of the company's stock worth $273,000 after buying an additional 58 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its stake in Flutter Entertainment by 5.6% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 1,311 shares of the company's stock valued at $290,000 after buying an additional 69 shares in the last quarter. Finally, Truist Financial Corp lifted its stake in Flutter Entertainment by 2.8% in the fourth quarter. Truist Financial Corp now owns 2,602 shares of the company's stock valued at $560,000 after buying an additional 72 shares in the last quarter.

About Flutter Entertainment

Flutter Entertainment plc is a global sports betting and gaming company that operates a portfolio of consumer-facing brands and digital platforms. The company's primary activities include online sports betting, casino gaming, poker, and daily fantasy sports, delivered through web and mobile applications as well as retail betting locations in select markets. Flutter focuses on product development, customer acquisition and engagement, and compliance with local gambling regulations across the jurisdictions where it operates.

Flutter's brand portfolio includes well-known names in different regional markets, such as FanDuel in the United States, PokerStars, Betfair, Paddy Power and Sky Betting & Gaming in Europe and elsewhere.

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