Benchmark Co. analyst Mike Hickey reiterated a Buy rating on Super Group (SGHC) (SGHC – Research Report) today and set a price target of $12.00.
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Mike Hickey’s rating is based on several positive indicators for Super Group (SGHC). The company has shown strong momentum in the first quarter, with early signs suggesting that consensus estimates may be conservative. This is supported by high retention rates, steady new customer acquisition, and effective marketing strategies that enhance revenue and margin performance. Additionally, Super Group’s continued product enhancements in casino and sports betting, along with its refined marketing strategies, position it well for sustained growth.
Furthermore, the company ended 2024 with record revenue outside the US, driven by strong performances in regions like Africa, Canada, and Europe. The strategic focus on high-potential markets and the disciplined exit from less profitable areas have bolstered its financial outlook. Despite challenges in the US market, the company is on a path to profitability with a focused iGaming strategy. The valuation reflects confidence in the company’s ability to achieve its financial targets, supporting the Buy rating.