Flutter Entertainment operates as a global sports betting and gaming company, offering diverse products including online betting, fantasy sports, and casino games across multiple regions [1]. The company, formerly known as Paddy Power Betfair, changed its name to Flutter Entertainment in 2019 and operates through four segments: UK & Ireland, Australia, International, and US [3]. At the core of Flutter's business model is a finely-tuned balance of risk management and strategic marketing, with a focus on providing a seamless betting and gaming experience across multiple platforms [1][2].

• Q4 2024 earnings per share of $2.94, significantly beating estimates of $1.73, demonstrating strong profitability [2][3]
• Revenue of $3.79 billion in Q4 2024, slightly lower than the $3.82 billion Wall Street expected [2]
• Average monthly players increased to 14.6 million, representing 7% year-over-year growth [2]
• Full-year 2025 guidance was in line with analyst expectations, suggesting management confidence in continued performance [2]

• Annual revenue reached $14.05 billion in 2024, with the company demonstrating consistent growth [5]
• Flutter's average Revenue per Share Growth Rate was 16.40% per year over the past 5 years, indicating strong and sustained expansion [3]
• The most recent quarter showed 14.46% revenue growth compared to the same period last year, reflecting continued momentum [1]
• The company's total operating revenue growth rate is in the middle to upper range among peers, demonstrating relative competitiveness in the market [1]
• Flutter has introduced 2025 revenue guidance of $15.5-16.4 billion, above the consensus estimate of $13.5 billion, suggesting confidence in continued growth [5]

• Total debt reduced by $320 million to $6.74 billion at the end of 2024 from $7.06 billion at the end of 2023, showing improved debt management [3]
• Net debt decreased to $5.16 billion at December 31, 2024 from $5.80 billion a year earlier, a reduction of $635 million [3]
• The company's leverage ratio was 2.2x based on the last 12 months' Adjusted EBITDA, a significant reduction from 3.1x at December 31, 2023 [3]
• Flutter's debt-to-equity ratio stands at 59.9%, with total debt of $6.8 billion and equity of $11.3 billion, which is considered satisfactory [1]
• The company has $1.53 billion in cash and cash equivalents, providing adequate liquidity for operations and strategic initiatives [3]

CEO Jeremy Jackson has led the company for over 7 years, with a compensation package of $5.78 million, while newer additions to the executive team include CFO Rob Coldrake and COO Phil Bishop [1]. The leadership team is responsible for executing Flutter's strategy, driving robust financial performance, and ensuring a supportive business culture focused on sustainability objectives and safer gambling practices [2].

Based on discounted cash flow (DCF) analysis, Flutter Entertainment's intrinsic value is calculated at $64.44 as of April 2025, suggesting potential undervaluation at current prices [3]. The company trades at a forward P/E ratio of 22.03, which is reasonable given its growth prospects [5]. Analysts are in good agreement that the stock price will rise by approximately 54.4%, indicating positive market sentiment despite the current valuation showing the stock trading at 41.4% below estimated fair value [3].

Flutter faces intensified industry competition, particularly from DraftKings and MGM Resorts, with both Flutter's FanDuel and DraftKings controlling a combined 74% market share that has attracted regulatory scrutiny [4]. Economic volatility presents another significant risk, as uncertainty in the global economy may affect the company's performance [1]. Additionally, regulatory changes in various markets could impact operations, as evidenced by two US senators accusing Flutter and competitors of anti-competitive behavior in December [4].

Flutter Entertainment presents a compelling investment opportunity given its strong revenue growth, improving financial health, and apparent undervaluation according to DCF analysis. With management's confident outlook for 2025 and analysts' positive price targets, I recommend a BUY position for long-term investors, though they should remain mindful of competitive and regulatory risks that could impact performance.