Super Group’s Strong Q1 2025 Performance and Strategic Global Expansion Justify Buy Rating

Super Group (SGHC) (SGHC – Research Report), the Consumer Cyclical sector company, was revisited by a Wall Street analyst yesterday. Analyst Mike Hickey from Benchmark Co. reiterated a Buy rating on the stock and has a $12.00 price target.

Mike Hickey’s rating is based on Super Group’s robust performance in Q1 2025, where the company surpassed expectations in both revenue and AEBITDA, showcasing improved efficiency and solid execution across its international portfolio. The company’s ex-U.S. operations remain a key driver of profitability, with notable improvements in the U.S. iGaming sector following the Spin Palace rebranding. Additionally, Super Group is experiencing high-margin growth in Africa, expanding market share in the U.K. and Canada, and gaining early traction in new markets like Botswana.
Super Group’s investment thesis is strengthened by its global scale and cash-generative nature, operating under well-known brands such as Betway and Jackpot City. The company’s dual-brand strategy allows for targeted execution in sports and casino sectors, while geographic diversification reduces regulatory and economic risks. Key growth drivers for 2025 include product expansions, increased customer monetization, and potential mergers and acquisitions. With a strong balance sheet, active capital returns, and strategic market positioning, Super Group is well-positioned for future growth, justifying the Buy rating and a price target of $12.

In another report released on May 9, Needham also maintained a Buy rating on the stock with a $10.00 price target.

SGHC’s price has also changed dramatically for the past six months – from $5.340 to $8.580, which is a 60.67% increase.