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Can Flutter Entertainment (FLUT) Still Be Worth More On Sales?

Simply Wall St · 1d ago

Flutter Entertainment has seen its stock slide sharply over the past year, and that slump now puts a spotlight on a simple question. Is the current share price in any way justified by the sales the business is generating?

  • Over the past 12 months, Flutter Entertainment shares have fallen 64.3%. This puts recent market confidence in the business under scrutiny when you compare it with what the company is actually selling.
  • Fresh headlines around potential regulatory clarity for sports prediction markets in the US may support expectations for how quickly Flutter can grow its betting turnover and convert that into future revenue.
  • Your read on Flutter Entertainment is one view; the desks covering it have another. See what analysts think Flutter Entertainment's shares could be worth.

The issue now is whether Flutter Entertainment's recent share price reflects a sensible multiple of its sales.

If you are questioning whether Flutter Entertainment's current price lines up with its sales, it can help to compare it with a wider group screened for 34 high quality undervalued stocks.

Does Flutter Entertainment Look Undervalued on Sales?

The P/S ratio suits Flutter Entertainment because investors often focus on revenue-based gauges for online betting platforms where bottom line earnings can be volatile. On this yardstick, the stock trades on a P/S of 1.0x, which is lower than the broader hospitality sector average of 1.7x and also below peers at 1.4x. That puts the share price at a lower revenue multiple than both the sector and a group of similar businesses.

Fresh headlines around the potential for clearer US sports prediction market rules have lifted interest in Flutter Entertainment, yet the current P/S still screens below the level implied by a more tailored fair-value multiple that blends the company’s own risks, margins and growth profile. For a reader weighing the recent share price slide against this revenue-based metric, the gap to that benchmark suggests the stock trades at a discount on sales. Explore the numbers behind Flutter Entertainment's P/S valuation.

NYSE:FLUT P/S Ratio as at Sep 2026
NYSE:FLUT P/S Ratio as at Sep 2026

The Flutter Entertainment Narrative: What Would Justify Today's Price?

Simply Wall St Narratives take the valuation puzzle around Flutter Entertainment and spell out the specific future paths for growth, margins and earnings that would need to play out for the stock to look meaningfully higher or lower than today’s price on the Community page. Each scenario connects its implied number to a clear view on where Flutter Entertainment's growth, profitability and risk profile could head next, giving you a reference point you can revisit as fresh information comes through.

The Flutter Entertainment community splits between one group that sees upside from prediction markets and iGaming, and another that worries those same themes cap returns.

Bull case: 28% undervalued

"Product innovation, particularly in live betting and personalized betting features (e.g., "Your Way Parlay," Same Game Parlay Live, and platform migrations across Snai and FanDuel), positions Flutter to capture greater user engagement and wallet share, supporting both revenue growth and long-term margin expansion..."

Discover why this Narrative puts Flutter Entertainment at 28% undervalued.

Bear case: 25% overvalued

"Despite FanDuel’s scale leadership in U.S. Sportsbook and an improving product mix in NBA and parlays, persistently elevated promotional intensity and competitors’ willingness to spend uneconomically could structurally compress unit economics, limiting contribution margin and slowing the pace of earnings growth..."

Explore why this Narrative puts Flutter Entertainment at 25% overvalued.

One more check on Flutter Entertainment that sits beyond the price tag

Before you move on from Flutter Entertainment, it is worth knowing that analyst projections for revenue and earnings a few years out provide a separate reference point to compare with today’s multiples. Explore where analysts expect Flutter Entertainment to be in a few years.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.