Betsson AB (BETS.B) AI Stock Analysis

• Market Cap: kr26.71B
• Dividend Yield: 1.12%
• Average Volume (3M): 238.27K
• Price to Earnings (P/E): 12.4
• Beta (1Y): 0.46
• Revenue Growth: 17.47%
• EPS Growth: 18.78%
• Country: SE
• Employees: 2,769
• Sector: Technology
• Sector Strength: 79
• Industry: Gambling, Resorts & Casinos
• EPS (TTM): 3.81
• Shares Outstanding: 123,448,400
• 10 Day Avg. Volume: 166,365
• 30 Day Avg. Volume: 238,274
• PEG Ratio: 0.69
• Price to Book (P/B): 1.47
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 6.69
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 77 Outperform
• Price Target: kr215.00 ▲(11.80%Upside)

Betsson AB's strong financial performance and solid technical momentum significantly contribute to its overall score. The stock's valuation suggests it may be undervalued, offering potential upside. However, technical indicators signal caution due to overbought conditions.

Betsson AB Business Overview & Revenue Model

Company Description

Betsson AB (BETS.B) is a leading Swedish company in the online gaming industry, offering a wide array of products and services including online casino, sportsbook, and poker. With a strong presence in several regulated markets, Betsson operates through various brands to cater to a diverse customer base. The company is known for its commitment to responsible gaming and innovation, continually enhancing its platform to provide a top-tier entertainment experience.

How the Company Makes Money

Betsson AB primarily generates revenue through its online gaming operations, which encompass three main segments: casino, sportsbook, and poker. The casino segment includes revenue from online slots, table games, and live casino games. The sportsbook segment earns money by accepting bets on a variety of sports events, offering odds and taking a margin on the bets placed by customers. The poker segment generates revenue through rake and tournament fees. Betsson's earnings are bolstered by its diverse brand portfolio and strategic partnerships, which expand its market reach and customer base. Additionally, the company's focus on regulated markets ensures compliance and stability in its revenue streams.

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
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
1.15B	1.11B	948.20M	777.20M	657.70M	633.30M
	Gross Profit
797.20M	719.75M	756.33M	504.36M	450.44M	430.78M
	EBIT
262.80M	256.70M	210.50M	131.20M	117.60M	111.52M
	EBITDA
327.17M	316.00M	259.79M	173.08M	152.49M	145.99M
	Net Income Common Stockholders
188.20M	181.30M	177.30M	119.60M	106.40M	99.76M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
367.70M	308.50M	237.10M	168.30M	95.60M	85.55M
	Total Assets
1.43B	1.37B	1.20B	1.02B	897.20M	819.14M
	Total Debt
185.80M	186.20M	184.20M	115.00M	117.10M	124.07M
	Net Debt
-181.90M	-122.30M	-52.90M	-53.30M	21.50M	38.52M
	Total Liabilities
529.70M	509.50M	440.90M	370.90M	328.40M	317.33M
	Stockholders Equity
915.70M	869.10M	770.00M	654.20M	571.80M	499.29M
Cash Flow		Free Cash Flow
260.20M	222.90M	189.00M	143.20M	111.50M	100.94M
	Operating Cash Flow
309.30M	272.90M	230.40M	178.70M	143.60M	137.19M
	Investing Cash Flow
-84.60M	-93.30M	-159.00M	-51.20M	-71.60M	―
	Financing Cash Flow
-94.80M	-107.00M	300.00K	-54.70M	-62.20M	―

Betsson AB Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 192.30
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SE:BETS.B, the sentiment is Positive. The current price of 192.3 is above the 20-day moving average (MA) of 186.49, above the 50-day MA of 169.22, and above the 200-day MA of 146.40, indicating a bullish trend. The MACD of 5.77 indicates Positive momentum. The RSI at 72.22 is Negative, neither overbought nor oversold. The STOCH value of 94.16 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SE:BETS.B.

Betsson AB Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
KAMBI	78 Outperform	$3.64B	20.65	9.13%	―	-4.66%	-32.21%
BETS.B	77 Outperform	kr26.71B	12.40	22.34%	1.12%	17.47%	18.78%
EVO	75 Outperform	kr138.01B	9.99		4.54%	10.67%	14.97%
Sector *	62 Neutral	$11.97B	10.08	-7.46%	2.96%	7.37%	-8.22%
CTM	38 Underperform	$140.13M	―	-42.17%	―	-31.61%	26.26%

Betsson AB Corporate Events

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.