Super Group (SGHC) (SGHC) AI Stock Analysis

• Market Cap: $6.50B
• Dividend Yield: 2.07%
• Average Volume (3M): 3.36M
• Price to Earnings (P/E): 49.7
• Beta (1Y): 1.57
• Revenue Growth: 26.85%
• EPS Growth: 1963.28%
• Country: US
• Employees: 3,589
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Gambling, Resorts & Casinos
• EPS (TTM): >-0.01
• Shares Outstanding: 501,431,430
• 10 Day Avg. Volume: 4,900,674
• 30 Day Avg. Volume: 3,362,086
• PEG Ratio: -0.02
• Price to Book (P/B): 5.41
• Price to Sales (P/S): 1.78
• P/FCF Ratio: 15.12
• Enterprise Value/Market Cap: 0.80
• Enterprise Value/Revenue: 2.62
• Enterprise Value/Gross Profit: 5.28
• Enterprise Value/Ebitda: 16.13
• 1Y Price Target: $16.89
• Price Target Upside: 30.22% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 9

• Rating: 71 Outperform
• Price Target: $13.00 ▲(0.23% Upside)

Super Group's strong financial performance and positive earnings call are the most significant factors contributing to the overall score. The company's strategic focus on profitable markets and robust regional growth are positives. However, the high P/E ratio and moderate technical indicators suggest caution. The exit from the U.S. market, while strategic, incurs costs that slightly temper the outlook.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and successful product offerings, enhancing long-term business sustainability.

Regional Performance

Strong regional performance, particularly in Europe, underscores the company's ability to capture market share and drive growth in key areas.

Cash Flow Management

Effective cash flow management supports operational stability and provides flexibility for strategic investments and shareholder returns.

Negative Factors

Exit from U.S. Market

Exiting the U.S. market may limit growth opportunities in a significant market, potentially affecting long-term revenue diversification.

Rising Liabilities

Increasing liabilities could strain financial resources, affecting the company's ability to invest in growth and manage economic downturns.

APAC Revenue Decline

Declining revenue in the APAC region suggests potential market challenges, which could hinder overall growth and profitability.

Super Group (SGHC) Business Overview & Revenue Model

Company Description

Super Group (SGHC) is a global digital gaming company that operates in the online sports betting and gaming entertainment sectors. The company offers a wide range of products and services, including online casino games, sports betting, and other interactive gaming experiences. Super Group serves customers in various international markets, leveraging its technology platform to deliver engaging and secure gaming solutions.

How the Company Makes Money

Super Group (SGHC) generates revenue primarily through its online sports betting and gaming entertainment operations. The company earns money by offering a variety of betting options and casino games to its customers, who place wagers on these platforms. Revenue is generated from the margins on bets, as well as from fees and commissions associated with gaming activities. Additionally, Super Group may form strategic partnerships or licensing agreements that contribute to its earnings by expanding its market reach and enhancing its service offerings.

Super Group (SGHC) Financial Statement Overview

Summary

Super Group (SGHC) demonstrates strong financial health with consistent revenue growth and solid cash flow generation. The company maintains a balanced capital structure with low leverage and increasing equity. Despite some fluctuations in net profit margins and rising liabilities, the overall financial position remains stable, supported by effective operational performance and robust cash flow management.

Income Statement

The company's revenue has shown consistent growth over the years, with a strong increase in 2024 compared to 2023. The gross profit margin has remained healthy, indicating effective cost management. However, the net profit margin fluctuated, with a significant improvement in 2024 after a negative margin in 2023. The EBIT margin was zero in 2024, while the EBITDA margin improved, reflecting stronger operational performance before depreciation and amortization.

Balance Sheet

The balance sheet shows a strong equity position with an increasing stockholders' equity over the years. The company has maintained a low debt-to-equity ratio, indicating conservative leverage. The equity ratio has improved, showing a solid capital structure. However, the total liabilities have increased, which could pose a potential risk if not managed properly.

Cash Flow

The company's cash flow statements reflect robust operating cash flow growth, with free cash flow also showing a healthy upward trend. The operating cash flow to net income ratio is strong, indicating efficient cash generation from operations. The free cash flow to net income ratio is solid, highlighting effective cash management strategies.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.97B	1.70B	1.44B	1.29B	1.32B	908.02M
Gross Profit	979.18M	841.42M	666.28M	848.66M	424.16M	610.09M
EBITDA	320.70M	241.49M	101.69M	189.09M	315.84M	178.78M
Net Income	127.81M	113.10M	-10.55M	181.44M	235.88M	149.22M
Balance Sheet
Total Assets	1.12B	1.05B	960.87M	877.00M	844.07M	551.15M
Cash, Cash Equivalents and Short-Term Investments	409.00M	386.06M	241.92M	254.78M	293.80M	138.54M
Total Debt	76.00M	70.40M	29.23M	18.46M	20.02M	219.79M
Total Liabilities	454.00M	517.21M	422.08M	342.35M	330.02M	480.28M
Stockholders Equity	665.00M	557.53M	520.32M	518.08M	514.05M	70.87M
Cash Flow
Free Cash Flow	0.00	199.62M	79.30M	139.30M	183.10M	139.21M
Operating Cash Flow	0.00	295.09M	132.85M	166.84M	209.85M	151.32M
Investing Cash Flow	0.00	-110.08M	-5.01M	-96.52M	-18.16M	-5.84M
Financing Cash Flow	0.00	-56.35M	-131.16M	-103.18M	-39.76M	-81.09M

Super Group (SGHC) Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 12.97
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SGHC, the sentiment is Positive. The current price of 12.97 is above the 20-day moving average (MA) of 12.43, above the 50-day MA of 11.70, and above the 200-day MA of 8.83, indicating a bullish trend. The MACD of 0.34 indicates Negative momentum. The RSI at 58.73 is Neutral, neither overbought nor oversold. The STOCH value of 71.47 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SGHC.

Super Group (SGHC) Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RSI	75 Outperform	4.93B	107.19	3.04%	―	26.99%	―
SGHC	71 Outperform	$6.50B	49.68	21.44%	2.07%	26.85%	1963.28%
GAMB	66 Neutral	296.22M	19.82	10.21%	―	27.57%	-40.98%
PENN	61 Neutral	2.87B	-34.63	-10.88%	―	7.34%	93.83%
CDRO	55 Neutral	313.10M	519.71	16.24%	―	―	―
DKNG	52 Neutral	38.20B	-65.77	-30.16%	―	25.80%	27.64%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%

Super Group (SGHC) Corporate Events

Super Group Raises 2025 Revenue and EBITDA Guidance After Strong Q3 Performance

On September 17, 2025, Super Group (SGHC) Limited announced an increase in its full-year 2025 Group Revenue and Adjusted EBITDA guidance, following a strong third-quarter performance that exceeded expectations. The company anticipates revenues between $2.125 billion and $2.200 billion, and Adjusted EBITDA between $550 million and $560 million, highlighting the scalability of its business model and the strength of its brand. Despite a planned exit from the U.S. market, the company remains confident in its ability to deliver for shareholders, driven by strong performance in sports betting and casino operations.

Super Group (SGHC) Hosts Investor Day in London

Super Group (SGHC) Limited announced an investor presentation to be held on September 18, 2025, in London, which will include management presentations and a Q&A session. This event is part of the company’s efforts to engage with investors and provide insights into its strategic plans, market opportunities, and financial projections. The presentation is expected to impact stakeholders by offering a clearer understanding of the company’s future direction and potential growth within the competitive online gaming industry.

Super Group Declares Q3 2025 Dividend Amid Strong Performance

On September 8, 2025, Super Group’s Board of Directors declared a regular cash dividend of 4¢ per share, payable on September 26, 2025, to shareholders of record as of September 18, 2025. This decision, following dividends paid earlier in the year, reflects the company’s strong performance and commitment to rewarding shareholders, supported by a solid balance sheet and momentum in core markets.

Super Group (SGHC) Reports Strong Financial Growth for H1 2025

On September 4, 2025, Super Group (SGHC) Limited released its unaudited condensed consolidated financial statements for the six months ending June 30, 2025. The report highlighted a notable increase in revenue to $1,096 million compared to $858 million in the previous year, despite facing higher direct and marketing expenses. The company achieved a profit before taxation of $128 million, up from $75 million in the same period last year, indicating a strong financial performance. This financial update underscores Super Group’s robust growth trajectory and its ability to navigate market challenges effectively.

Super Group Reports Record Q2 2025 Financial Results

On August 6, 2025, Super Group (SGHC) Limited announced its financial results for the second quarter of 2025, reporting a record revenue of $579.4 million and a profit before tax of $38.8 million. The company achieved its highest quarterly Adjusted EBITDA of $156.7 million, driven by strong market performance and strategic decisions, including exiting the U.S. market to focus on capital efficiency and long-term profitability. The results reflect a 30% year-over-year revenue increase and a 78% rise in Adjusted EBITDA, highlighting the company’s scalable and cost-efficient operating model. Super Group also raised its full-year Adjusted EBITDA guidance, demonstrating confidence in sustained growth and shareholder value.

Super Group Raises 2025 Guidance, Plans U.S. iGaming Exit

On July 8, 2025, Super Group (SGHC) Limited announced an increase in its full-year revenue and EBITDA guidance following a record second quarter, driven by strong sports results and operational improvements. The company expects its ex-U.S. revenue to exceed $2 billion and adjusted EBITDA to surpass $480 million. Additionally, Super Group plans to exit the U.S. iGaming market due to recent regulatory changes affecting profitability, with a one-time restructuring cost estimated between $30 million to $40 million. This strategic move aims to focus resources on more profitable markets and enhance long-term shareholder value.