Betsson AB (BETS.B) AI Stock Analysis

• Market Cap: kr22.49B
• Dividend Yield: 2.89%
• Average Volume (3M): 452.93K
• Price to Earnings (P/E): 10.4
• Beta (1Y): 0.46
• Revenue Growth: 15.10%
• EPS Growth: 23.19%
• Country: SE
• Employees: 2,769
• Sector: Services
• Sector Strength: N/A
• Industry: Gambling, Resorts & Casinos
• EPS (TTM): 4.01
• Shares Outstanding: 123,448,400
• 10 Day Avg. Volume: 482,731
• 30 Day Avg. Volume: 452,930
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: kr215.00
• Price Target Upside: 31.98% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 69 Neutral
• Price Target: kr183.00 ▲(12.34%Upside)

Betsson AB's strong financial performance is the most significant factor, supported by robust revenue growth and effective cash management. However, technical analysis indicates bearish momentum, affecting the overall score. The fair valuation suggests potential for price appreciation, but market sentiment remains cautious.

Betsson AB Business Overview & Revenue Model

Company Description

Betsson AB is a leading international online gaming company headquartered in Sweden. The company operates within the digital entertainment industry, offering a wide range of online gambling products and services, including casino, sportsbook, and poker. Betsson leverages its proprietary technology to provide a seamless gaming experience across its various platforms, serving customers in multiple jurisdictions worldwide.

How the Company Makes Money

Betsson AB generates revenue primarily through its online gaming operations. The company earns money from its casino segment by offering a variety of games such as slots, table games, and live casino experiences, where customers place bets and the company retains a margin. The sportsbook segment contributes to revenue by allowing customers to place wagers on various sports events, with Betsson earning through the odds margin. Additionally, poker and other gaming products contribute to the overall revenue. The company also benefits from strategic partnerships and acquisitions that expand its market reach and enhance its product offerings, driving further growth in its customer base and earnings.

Betsson AB Financial Statement Overview

Summary

Betsson AB exhibits a robust financial position with strong growth trajectories in both revenue and cash flows. The company maintains healthy profitability margins and a solid capital structure with low leverage. While it is important to monitor the growth in liabilities, the overall financial health is stable, with effective cash management and strong shareholder returns.

Income Statement

Betsson AB has demonstrated strong revenue growth with a consistent increase in total revenue over the years. The gross profit margin is robust at 69.2% for TTM, reflecting efficient cost management. The net profit margin is solid at 16.3%, indicating strong profitability. The EBIT and EBITDA margins are also healthy, showcasing operational efficiency. Overall, the income statement reflects a stable and growing financial performance, with positive growth trends in revenue and profitability.

Balance Sheet

Betsson AB's balance sheet is strong with a low debt-to-equity ratio of 0.20, indicating low leverage and financial stability. The equity ratio is also strong at 63.9%, reflecting a solid capital structure. The return on equity is decent at 20.6%, suggesting effective use of shareholder capital. However, the company should monitor its total liabilities, which have been increasing over the years. Overall, the balance sheet indicates financial stability with low leverage and good shareholder returns.

Cash Flow

Betsson AB's cash flow statement shows strong operating cash flow, which has consistently increased over the years. The free cash flow to net income ratio is healthy, indicating strong cash generation relative to net income. The company has also demonstrated a positive free cash flow growth rate, reflecting effective cash management. However, the company should ensure that capital expenditures are managed to sustain free cash flow growth. Overall, the cash flow statement reflects strong cash generation capabilities and effective cash management.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.11B	948.20M	777.20M	657.70M	633.30M
Gross Profit	719.75M	756.33M	504.36M	450.44M	430.78M
EBITDA	316.00M	259.79M	173.08M	152.49M	145.99M
Net Income	181.30M	177.30M	119.60M	106.40M	99.76M
Balance Sheet
Total Assets	1.37B	1.20B	1.02B	897.20M	819.14M
Cash, Cash Equivalents and Short-Term Investments	308.50M	237.10M	168.30M	95.60M	85.55M
Total Debt	186.20M	184.20M	115.00M	117.10M	124.07M
Total Liabilities	509.50M	440.90M	370.90M	328.40M	317.33M
Stockholders Equity	869.10M	770.00M	654.20M	571.80M	499.29M
Cash Flow
Free Cash Flow	222.90M	189.00M	143.20M	111.50M	100.94M
Operating Cash Flow	272.90M	230.40M	178.70M	143.60M	137.19M
Investing Cash Flow	-93.30M	-159.00M	-51.20M	-71.60M	―
Financing Cash Flow	-107.00M	300.00K	-54.70M	-62.20M	―

Betsson AB Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 162.90
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:BETS.B, the sentiment is Negative. The current price of 162.9 is below the 20-day moving average (MA) of 179.10, below the 50-day MA of 186.77, and above the 200-day MA of 157.54, indicating a neutral trend. The MACD of -7.64 indicates Positive momentum. The RSI at 30.22 is Neutral, neither overbought nor oversold. The STOCH value of 32.30 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SE:BETS.B.

Betsson AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EVO	84 Outperform	kr176.45B	13.03		3.62%	6.27%	11.76%
BETS.B	69 Neutral	kr22.49B	10.38	23.10%	2.89%	15.10%	23.19%
KAMBI	65 Neutral	$4.01B	23.33	9.13%	―	-4.66%	-32.21%
Sector *	56 Neutral	$1.60B	-17.59	8.90%	4.58%	7.41%	-3.99%
CTM	46 Neutral	$134.04M	―	-42.17%	―	-31.61%	26.26%

Betsson AB Corporate Events

Betsson AB Reports Strong Growth and Expands Market Presence in 2025

Betsson AB reported continued profitable growth in the first half of 2025, with a 15% increase in group revenue and an 8% rise in EBITDA. The company achieved significant growth in Latin America, notably in Peru and Argentina, and strengthened its market position through strategic sponsorships and product development. The launch of Betsson’s brand in Georgia and Lithuania, along with enhancements in customer experience and payment solutions, further supports its global expansion strategy.

Betsson AB Subsidiary Ordered to Repay EUR 500,000 by Swedish Supreme Court

The Swedish Supreme Court has ruled that Betsson AB’s subsidiary, BML Group Ltd, must repay approximately EUR 500,000 to a former customer, upholding a previous decision by the Patent and Market Court of Appeal. The case pertains to activities between 2009 and 2014, prior to the implementation of the Swedish Gambling Act in 2019. Betsson’s CEO, Pontus Lindwall, expressed disappointment but noted that the ruling is based on specific circumstances and is not expected to have significant financial repercussions for the company. Betsson emphasizes its commitment to responsible gaming practices.

Betsson AB Withdraws from Dutch Acquisition

Betsson AB has decided to terminate its agreement to acquire Holland Gaming Technology Ltd and Holland Power Gaming B.V. due to the Dutch Gambling Authority not issuing a decision by the agreed deadline. The transaction’s reversal will involve returning the companies to the sellers and refunding Betsson EUR 26.7 million, minus a break fee, without significantly impacting the company’s consolidated income statement.

Betsson AB Annual General Meeting Resolutions and Strategic Plans

Betsson AB held its Annual General Meeting on May 8, 2025, where key resolutions were adopted, including the approval of the 2024 financial statements and a dividend distribution of EUR 0.66 per share, with an additional EUR 0.10 to be paid in two installments. The meeting also saw the re-election of board members and the implementation of a long-term share performance plan aimed at incentivizing management. The plan, which runs from 2025 to 2027, will involve approximately 14 participants and could result in a dilution effect of around 0.5% of the share capital. Additionally, the board was authorized to repurchase and transfer shares and issue new shares or convertibles, potentially diluting the share capital by up to 10%. These decisions are expected to impact the company’s financial strategy and shareholder value.