Buy Rating on Flutter Entertainment: Long-Term Upside from FanDuel Predicts Launch Despite Near-Term EBITDA Headwinds

Flutter Entertainment PLC, the Consumer Cyclical sector company, was revisited by a Wall Street analyst yesterday. Analyst Jason Tilchen from Canaccord Genuity maintained a Buy rating on the stock and has a $300.00 price target.

Jason Tilchen has given his Buy rating due to a combination of factors tied to Flutter Entertainment’s strategic launch of the FanDuel Predicts app and the company’s proven execution track record. He views the phased national rollout with CME Group as a meaningful long-term growth initiative that leverages Flutter’s existing strengths in exchange-style products and digital gaming operations. Although the company expects a sizable near-term EBITDA headwind from disciplined investment in this new product, Tilchen interprets this spend as rational in light of lower customer lifetime values and current regulatory ambiguity, rather than as a sign of structural weakness. He also highlights management’s expectation that FanDuel will quickly evolve from a competitive offering at launch to an industry-leading product by mid-2026, underpinned by robust compliance and responsible gaming features.
Tilchen further supports his Buy recommendation with a valuation framework that suggests material upside from current levels. His $300 price target is grounded in a sum-of-the-parts analysis that assigns differentiated multiples to Flutter’s US, international, and corporate segments, reflecting their respective growth and profitability profiles. This SOTP view is reinforced by a DCF analysis, which together indicate that the market is undervaluing Flutter’s long-term earnings power, particularly in the US. As a result, he sees any share price softness stemming from prediction market–related investments as an opportunity for investors to accumulate the stock.

In another report released today, Needham also maintained a Buy rating on the stock with a $300.00 price target.