Flutter Entertainment Surges 200% in 2024 Amid Strong Earnings Report

Flutter Entertainment's Q3 earnings of $3.25 billion, up 27% YoY, beat analysts' estimates, with AMP rising 16% to 12.9 million. The company raised its full-year guidance, citing strong demand for NFL betting, and launched its $350 million share buyback program. Analysts have raised their price targets, with Craig Hallum boosting it from $275 to $350. The company's growth is expected to continue in the US market and internationally.

Flutter Entertainment (FLUT), the global leader in sports betting and gaming with a diverse portfolio of brands such as FanDuel, Paddy Power, and Betfair, reported impressive Q3 2024 results that surpassed analyst estimates [1]. The company's revenue soared to $3.25 billion, marking a 27% year-over-year (YoY) increase, while adjusted earnings per share (EPS) jumped to $0.43 from a loss of $0.10 per share in Q3 2023 [1].

Flutter Entertainment's strong Q3 performance can be attributed to its strategic market expansions and product innovations in the U.S. and international markets. In the U.S., the company experienced significant gains, with revenue increasing by 51% YoY, driven by a 62% rise in sportsbook operations and a 46% surge in iGaming operations [1]. Internationally, Flutter managed 15% YoY revenue growth, boosted by the Italian market and its competitive advantage, "The Flutter Edge" [1].

As a result of the robust Q3 performance, Flutter Entertainment raised its full-year guidance and announced a $350 million share buyback program. Analysts have responded positively to the news, raising their price targets on the stock [1]. Craig Hallum, an analyst firm, boosted its price target from $275 to $350 [1].

The company's growth is expected to continue in the U.S. market and internationally, driven by ongoing legalization and strategic development [2]. Flutter Entertainment's U.S. presence is expanding through its leading brand, FanDuel, which accounted for 38% of the company's revenue in 2023 [2].

Despite the challenges related to cash flow, Flutter Entertainment's strong Q3 performance and strategic initiatives position the company well for future growth.

References:

[1] "Flutter Entertainment's Q3 2024 Results Top Analyst Estimates, Fueled by U.S. Market Growth and Strategic Expansion," Fool.com, November 13, 2024, https://www.fool.com/data-news/2024/11/13/flutter-earnings-up-us-growth-strong/.

[2] "Overview of Flutter Entertainment," Flutter Entertainment, https://www.flutterentertainment.com/.

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