Flutter stock extends gains as U.S. expansion and FanDuel growth support valuation

Flutter stock trades actively on the NYSE as the gambling group leans on FanDuel growth and recent U.S. listing momentum, with 2023 revenue up and profitability improving year over year.

Flutter Entertainment plc (ISIN IE00BWT6H894) has seen Flutter stock draw continued investor interest on the New York Stock Exchange after its U.S. listing in early 2024, supported by double digit revenue growth and improving profitability in 2023.

Revenue up over twenty percent in 2023

According to the companys latest annual report for 2023, Flutter generated total group revenue of about GBP 9.51 billion in 2023, an increase of roughly twenty seven percent from around GBP 7.51 billion in 2022, reflecting strong growth across its online sports betting and gaming operations.

The same filing shows that the group reported adjusted EBITDA of approximately GBP 1.44 billion for 2023, up from about GBP 1.05 billion in 2022, implying EBITDA growth in the region of thirty seven percent year over year and signaling improved operating leverage as the business scales.

Group adjusted profit metrics also improved, with management highlighting higher contributions from the U.S. division, where the FanDuel brand has been gaining share in regulated sports betting markets, and ongoing resilience in key international and UK and Ireland segments during 2023.

U.S. segment and FanDuel underpin growth

Flutter reports its U.S. operations, which include FanDuel, as a separate segment, and this business has become a central driver of the groups medium term growth narrative, with the company emphasizing that U.S. revenue and active customers increased strongly in 2023 as more states regulated online sports betting and iGaming.

In the 2023 reporting period, management indicated that U.S. segment revenue rose significantly year over year, with FanDuel benefiting from both new customer acquisition in recently launched states and higher engagement in more mature markets, while the overall group customer base also expanded.

The company has also stressed that disciplined marketing and product investment in the U.S. are aimed at converting early scale advantages into sustainable profitability over time, and the improvement in overall group EBITDA between 2022 and 2023 suggests that these investments are beginning to be absorbed more efficiently as the business grows.

FanDuel drives sports betting presence

FanDuel has become one of the most recognized online sports betting brands in the U.S. market, and Flutter has repeatedly underlined the strategic role of FanDuel in its communications with investors, as the brand allows the group to tap into the rapid expansion of regulated online sports betting across multiple American states.

In addition to sports betting, FanDuel also offers online casino products and daily fantasy sports, which helps diversify revenue streams in jurisdictions where such products are allowed, and this broader product mix supports higher customer lifetime value compared with a pure sportsbook offering.

Flutter has also invested in technology, risk management, and responsible gambling tools across FanDuel and its other brands, aiming to support sustainable growth as regulation tightens and competition remains intense from other large operators active in the U.S. and international markets.

Flutter stock and market valuation

Flutter stock is traded on the New York Stock Exchange under the symbol FLUT, providing access in U.S. dollars for international investors, alongside its listing on the London Stock Exchange, and the group is also a component of major equity indices that track large listed companies in its home market.

Market data providers report that Flutter carried a multi billion pound equity valuation in 2023, reflecting investor expectations for continued revenue and profit growth, particularly from the U.S. business, while also pricing in regulatory, competitive, and execution risks typical for the online gambling sector.

For many investors, the key variables over the next reporting periods are likely to include the pace of U.S. revenue growth relative to marketing spend, the trajectory of group EBITDA margins from the 2023 level of around GBP 1.44 billion in adjusted EBITDA on GBP 9.51 billion of revenue, and the companys ability to sustain growth in more mature markets such as the UK, Ireland, and parts of Europe.

Flutter Entertainment at a glance

• Company: Flutter Entertainment plc
• ISIN: IE00BWT6H894
• Ticker: NYSE: FLUT
• Trading venue: New York Stock Exchange and London Stock Exchange
• Sector / Industry: Consumer discretionary / Online gambling and gaming
• Index membership: Major UK large cap equity index