Flutter Q2 Likely to Show Some Top-Line Noise, Wedbush Says

MT Newswires Live
07/31

Flutter Entertainment (FLUT) is expected to show favorable underlying trends amid some top-line noise in Q2, Wedbush said in a Thursday preview note. The results are due Aug. 5.

The report said the company is likely to deliver above-consensus handle, but slightly below-consensus revenue and EBITDA.

While sports results are likely a bigger revenue drag than expected, US handle is expected to return to Q2 growth and online sports betting share trends will likely show modest sequential improvement, and into the start of Q3, the note said.

"Despite our reduced estimates, we do not see risk the FLUT will

lower its already conservative guidance," the report said.

The report said positive detail and incremental disclosure on FanDuel Predicts and its market-making initiatives during the World Cup could help investors gain some confidence.

Wedbush kept its outperform rating with a $138 price target.

Price: 102.16, Change: -5.62, Percent Change: -5.22

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