Shares of the UK-based Entain PLC (GB:ENT) gained over 2% as of writing after the company reaffirmed its guidance for FY24. Entain announced that it expects its group EBITDA (earnings before interest, tax, depreciation, and amortization) for the fiscal year to reach the higher end of its previously projected range of £1.04 billion to £1.09 billion.
Stay Ahead of the Market:
- Discover outperforming stocks and invest smarter with Top Smart Score Stocks
- Filter, analyze, and streamline your search for investment opportunities using Tipranks' Stock Screener
Entain is a gaming and sports betting company with popular titles including Bwin, Ladbrokes, Partypoker, PartyCasino, etc.
Entain Maintains FY24 Outlook
Entain maintained its outlook for FY24, driven by its robust operational execution and impressive results in the final months of the fiscal year.
The company also provided an update on BetMGM, its U.S. partnership with MGM Resorts (MGM). BetMGM acknowledged that U.S. sports results were more favorable to customers, especially in October and December, but its previous EBITDA guidance of a $250 million loss remains unchanged.
Jefferies Remains Bullish on ENT Stock
After the update, James Wheatcroft of Jefferies reaffirmed his Buy rating on the stock, forecasting a 78% increase in its share price.
Wheatcroft views the reaffirmation of full-year guidance for both Entain and its U.S. BetMGM venture as a positive driver for the company. Nonetheless, he added that Entain will require additional time and investment to fully restore its trading performance and profitability growth.
Are Entain Shares a Good Buy?
According to TipRanks consensus, ENT stock has received a Moderate Buy rating, backed by five Buy and three Hold recommendations. The Entain share price prediction is 986.25p, which is 54.8% higher than the current trading levels.
