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Entain plc (GB:ENT)
LSE:ENT
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Entain plc (ENT) AI Stock Analysis

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GB:ENT

Entain plc

(LSE:ENT)

Rating:61Neutral
Price Target:
944.00p
▲(2.83% Upside)
Entain plc's overall stock score reflects strong corporate events and cash flow management, offset by profitability challenges and bearish technical indicators. The company's strategic initiatives and leadership changes are positive, but financial leverage and valuation concerns remain significant.
Positive Factors
Financial Performance
Entain interims arrived +5% ahead of consensus EBITDA.
Market Position
+56% Online Sports Betting growth, supported by improved product and engagement, indicates strong market position.
Negative Factors
Regulatory Concerns
Renewed concern about possible UK tax increases has recently hit Entain's share price.
Valuation Concerns
Positive BetMGM commentary from yesterday's update is at odds with an Entain's valuation that appears to attach little value to Entain's BetMGM stake.

Entain plc (ENT) vs. iShares MSCI United Kingdom ETF (EWC)

Entain plc Business Overview & Revenue Model

Company DescriptionEntain plc is a leading global sports betting and gaming entertainment provider, operating in various sectors including online betting, gaming, and retail. The company offers a diverse range of products and services, including sports wagering, casino games, poker, and bingo, across multiple brands and platforms. Entain operates both online and in physical retail locations, catering to a wide customer base with its innovative technology and commitment to responsible gaming.
How the Company Makes MoneyEntain plc generates revenue primarily through its online gaming and sports betting operations. The company's revenue model is based on a combination of transaction fees from bets placed by customers, gaming revenues from casino games, and commissions from poker and bingo activities. Key revenue streams include sports betting, which contributes significantly to overall earnings, as well as online casino revenues from slot and table games. The company also benefits from partnerships with various payment processors and technology providers, enhancing its service offerings. Additionally, Entain has entered into strategic partnerships and joint ventures with other gaming and entertainment companies, expanding its market reach and enhancing its product portfolio, which further contributes to its financial performance.

Entain plc Financial Statement Overview

Summary
Entain plc shows robust revenue growth and strong cash flow management, but faces significant profitability and leverage challenges. A negative net profit margin and high debt-to-equity ratio undermine financial health, necessitating improvements in profitability and debt management.
Income Statement
60
Neutral
Entain plc has shown a consistent increase in revenue over the years, with a notable Revenue Growth Rate of 6.70% in 2024. However, the company is currently facing profitability challenges with a negative Net Profit Margin of -8.90% in 2024, largely due to a negative EBIT of -250.1 million, resulting in a negative EBIT Margin of -4.91%. The Gross Profit Margin remains strong at 61.26%, indicating efficient core operations despite the bottom-line struggles.
Balance Sheet
55
Neutral
The balance sheet highlights a high Debt-to-Equity Ratio of 2.56 in 2024, suggesting significant leverage which could pose a risk in a volatile industry. The Return on Equity is negative at -29.29%, reflecting net losses. Despite these challenges, the Equity Ratio is 15.24%, showing that a portion of the assets is financed through equity.
Cash Flow
70
Positive
Entain plc has demonstrated strong cash flow management with a positive Free Cash Flow Growth Rate of 49.87% in 2024. The Operating Cash Flow to Net Income Ratio is healthy at 1.28, indicating good cash generation relative to net losses. The Free Cash Flow to Net Income Ratio of -0.62 highlights the company's ability to maintain liquidity despite negative earnings.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue5.09B4.77B4.30B3.83B3.56B
Gross Profit3.12B2.35B2.36B2.07B1.76B
EBITDA554.70M-1.80M741.00M1.00B857.00M
Net Income-452.70M-928.60M24.20M249.30M57.80M
Balance Sheet
Total Assets10.14B10.85B8.74B7.25B7.27B
Cash, Cash Equivalents and Short-Term Investments390.60M400.60M658.50M487.10M706.70M
Total Debt3.96B3.63B3.39B2.58B2.44B
Total Liabilities8.12B8.06B5.42B4.08B4.19B
Stockholders Equity1.55B2.27B3.13B3.17B3.03B
Cash Flow
Free Cash Flow281.00M187.50M431.80M455.60M546.10M
Operating Cash Flow579.30M448.10M643.80M631.80M710.30M
Investing Cash Flow-316.50M-1.52B-921.50M-849.30M-243.90M
Financing Cash Flow-58.70M829.30M442.30M-30.40M-119.70M

Entain plc Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price918.00
Price Trends
50DMA
906.41
Positive
100DMA
778.69
Positive
200DMA
746.09
Positive
Market Momentum
MACD
12.66
Positive
RSI
38.56
Neutral
STOCH
9.49
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:ENT, the sentiment is Neutral. The current price of 918 is below the 20-day moving average (MA) of 980.95, above the 50-day MA of 906.41, and above the 200-day MA of 746.09, indicating a neutral trend. The MACD of 12.66 indicates Positive momentum. The RSI at 38.56 is Neutral, neither overbought nor oversold. The STOCH value of 9.49 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for GB:ENT.

Entain plc Risk Analysis

Entain plc disclosed 12 risk factors in its most recent earnings report. Entain plc reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Entain plc Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
£1.32B13.666.42%
72
Outperform
£700.77M21.789.21%1.00%9.68%126.73%
66
Neutral
£142.12M16.0730.30%21.54%48.51%
63
Neutral
£1.73B10.394.37%3.49%0.66%-39.52%
61
Neutral
£5.87B-23.74%1.49%5.14%-7.80%
50
Neutral
£279.17M-379.34%2.55%-239.10%
49
Neutral
£11.04M29.63-2.84%7.62%-128.98%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:ENT
Entain plc
895.00
305.08
51.72%
GB:EVOK
888 Holdings
63.50
8.75
15.98%
GB:PTEC
Playtech
433.00
192.42
79.98%
GB:RNK
Rank Group plc
145.80
77.06
112.10%
GB:GMR
Gaming Realms
48.40
8.20
20.40%
GB:CMX
Catalyst Media
52.50
-28.25
-34.98%

Entain plc Corporate Events

Executive/Board ChangesBusiness Operations and StrategyFinancial Disclosures
Entain plc Reports Strong H1 2025 Results, Upgrades FY25 Guidance
Positive
Aug 12, 2025

Entain plc reported strong interim results for the first half of 2025, with total group net gaming revenue up by 7% and a significant contribution from its joint venture, BetMGM, which saw a 35% increase in net revenue. The company’s online segment performed particularly well, with notable growth in the UK and Ireland, while the retail segment remained stable. The positive performance has led to an upgraded full-year guidance, with expectations of continued growth in EBITDA and net gaming revenue. The company also announced new leadership appointments to ensure strategic continuity.

The most recent analyst rating on (GB:ENT) stock is a Buy with a £8.00 price target. To see the full list of analyst forecasts on Entain plc stock, see the GB:ENT Stock Forecast page.

Executive/Board ChangesBusiness Operations and Strategy
Entain Appoints Pierre Bouchut as Permanent Non-Executive Chair
Positive
Aug 12, 2025

Entain plc has appointed Pierre Bouchut as the permanent non-executive Chair, following his interim role since February 2025. Bouchut’s extensive experience and understanding of Entain’s strategic priorities are expected to provide stability and continuity as the company aims to capitalize on growth opportunities. His leadership is anticipated to strengthen Entain’s market position and deliver long-term value to stakeholders.

The most recent analyst rating on (GB:ENT) stock is a Buy with a £8.00 price target. To see the full list of analyst forecasts on Entain plc stock, see the GB:ENT Stock Forecast page.

Regulatory Filings and Compliance
Entain plc Announces Total Voting Rights Update
Neutral
Aug 1, 2025

Entain plc announced that as of 31 July 2025, it had a total of 639,543,937 ordinary shares issued, each carrying one vote. This figure is crucial for shareholders to determine their notification obligations under the Financial Conduct Authority’s Disclosure and Transparency Rules. The announcement underscores Entain’s commitment to transparency and regulatory compliance, which is vital for maintaining its strong market position and stakeholder trust.

The most recent analyst rating on (GB:ENT) stock is a Buy with a £10.50 price target. To see the full list of analyst forecasts on Entain plc stock, see the GB:ENT Stock Forecast page.

Private Placements and Financing
Entain plc Successfully Reprices and Extends Term Loans
Positive
Jul 31, 2025

Entain plc has successfully repriced and extended its Term Loans, which are net debt neutral and reduce annual interest costs by approximately £10 million. The refinancing actions extend the maturity profile of the Group’s debt, enhancing financial flexibility and potentially improving its market position.

The most recent analyst rating on (GB:ENT) stock is a Buy with a £1050.00 price target. To see the full list of analyst forecasts on Entain plc stock, see the GB:ENT Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
Entain’s BetMGM Reports Strong 2025 Performance, Raises Full-Year Guidance
Positive
Jul 29, 2025

Entain plc announced a strong performance for BetMGM in the second quarter and first half of 2025, with significant increases in net revenue and EBITDA, driven by strategic execution and enhanced player engagement. The company has raised its full-year guidance, expecting net revenue of at least $2.7 billion and EBITDA of at least $150 million, reflecting confidence in its growth trajectory and market positioning.

The most recent analyst rating on (GB:ENT) stock is a Buy with a £8.00 price target. To see the full list of analyst forecasts on Entain plc stock, see the GB:ENT Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
Entain’s BetMGM Reports Strong 2025 Performance, Upgrades Guidance
Positive
Jul 29, 2025

Entain plc has reported a strong performance for BetMGM in the second quarter and first half of 2025, with significant increases in net revenue and EBITDA. The company’s strategic execution has led to a 36% year-on-year increase in net revenue for Q2 and a 35% increase for the first half, driven by robust growth in both iGaming and online sports. This success has prompted an upgrade in the full-year 2025 guidance, with expectations of at least $2.7 billion in net revenue and $150 million in EBITDA. The announcement highlights BetMGM’s strengthened market position and confidence in achieving $500 million EBITDA in the coming years, reflecting its effective player engagement strategies and product enhancements.

The most recent analyst rating on (GB:ENT) stock is a Buy with a £8.00 price target. To see the full list of analyst forecasts on Entain plc stock, see the GB:ENT Stock Forecast page.

Business Operations and StrategyRegulatory Filings and Compliance
Entain Announces Portfolio Rebalancing by Eminence Capital
Neutral
Jul 3, 2025

Entain plc announced that Eminence Capital, LP conducted a portfolio rebalancing transaction involving the simultaneous sale and purchase of 1,606,144 ordinary shares of Entain at 917.80 pence per share. This transaction did not alter the aggregate holding of the funds managed by Eminence Capital, LP, indicating a strategic adjustment rather than a change in investment stance. The announcement is part of regulatory compliance and does not impact Entain’s market position or operations.

The most recent analyst rating on (GB:ENT) stock is a Buy with a £8.00 price target. To see the full list of analyst forecasts on Entain plc stock, see the GB:ENT Stock Forecast page.

Regulatory Filings and Compliance
Entain plc Announces Total Voting Rights for June 2025
Neutral
Jul 1, 2025

Entain plc announced its total voting rights as of June 30, 2025, with 639,542,214 ordinary shares issued, each carrying one vote. This figure is crucial for shareholders to determine their voting interests in compliance with the Financial Conduct Authority’s rules. This announcement is significant for stakeholders as it ensures transparency and compliance with regulatory requirements, reinforcing Entain’s commitment to maintaining robust governance practices.

The most recent analyst rating on (GB:ENT) stock is a Buy with a £8.00 price target. To see the full list of analyst forecasts on Entain plc stock, see the GB:ENT Stock Forecast page.

Business Operations and StrategyRegulatory Filings and Compliance
Entain Supports New Zealand’s Legislative Changes in Racing and Sports Betting
Positive
Jun 30, 2025

Entain plc has welcomed the New Zealand Government’s amendments to the Racing Industry Act 2020, which extend TAB New Zealand’s exclusivity to include online gambling, effective from June 28, 2025. This legislative change aims to prevent unlicensed offshore operators from offering wagering services to New Zealanders, ensuring that funds remain onshore to support the financial sustainability of the local racing and sports industry. As part of a 25-year strategic partnership with TAB New Zealand, Entain will make an additional NZ$100 million payment to support the implementation of these changes, further strengthening its commitment to the industry and enhancing the betting experience for New Zealand customers.

The most recent analyst rating on (GB:ENT) stock is a Hold with a £6.80 price target. To see the full list of analyst forecasts on Entain plc stock, see the GB:ENT Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
Entain Upgrades BetMGM’s FY 2025 Financial Guidance Amid Strong Growth
Positive
Jun 16, 2025

Entain plc has upgraded its financial guidance for BetMGM, its joint venture with MGM Resorts, for the fiscal year 2025 due to continued strong momentum and net revenue growth in both iGaming and online sports betting. The revised guidance anticipates at least $2.6 billion in net revenue and a minimum of $100 million in EBITDA, reflecting increased confidence in BetMGM’s performance and future growth prospects, which are expected to contribute significantly to the company’s strategic goals.

The most recent analyst rating on (GB:ENT) stock is a Buy with a £8.00 price target. To see the full list of analyst forecasts on Entain plc stock, see the GB:ENT Stock Forecast page.

Regulatory Filings and Compliance
Entain Announces Share Rebalancing by Eminence Capital
Neutral
Jun 4, 2025

Entain plc announced a portfolio rebalancing transaction involving its ordinary shares by Eminence Capital, LP. The transaction, which involved simultaneous buying and selling of 3,242,667 shares at 750.60p per share, resulted in no change to the aggregate holding of Eminence Capital’s managed funds. This move, conducted as separate cross transactions, aligns with regulatory requirements under the Market Abuse Regulation.

The most recent analyst rating on (GB:ENT) stock is a Buy with a £9.58 price target. To see the full list of analyst forecasts on Entain plc stock, see the GB:ENT Stock Forecast page.

Executive/Board ChangesBusiness Operations and Strategy
Entain Strengthens Board with Strategic Appointments
Positive
May 15, 2025

Entain plc has announced the appointment of Michael Goldberg and Edmond Mesrobian as Independent Non-Executive Directors to its board. Goldberg, with expertise in sports and gaming investment, and Mesrobian, with extensive technology experience, are expected to enhance the board’s strategic capabilities and drive growth and innovation, strengthening Entain’s position in the industry.

The most recent analyst rating on (GB:ENT) stock is a Hold with a £6.80 price target. To see the full list of analyst forecasts on Entain plc stock, see the GB:ENT Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Aug 14, 2025