OPAP
Note: This is a daily stock update and the information stands true as of 04/09/24, 09:00 CEST.
Company Update:
Q2 revenue rose 7% yoy to €532.4m, a 1.7% beat v/s consensus. Growth was driven by a 19.7% rise in betting revenue and 19.9% uptick in online casino revenue, which made up for the weakness in other segments.
Recurring EBITDA rose 3% to €184.6m (+1.5% vs consensus). As expected, the operating margin contracted by 130bps (to 34.4%), due to the steep increase in marketing activities (+41.8%) to support the high promotional intensity around major sporting events (Euro's mainly).
FY24 outlook reiterated with revenue/GGR of €2.15-2.2bn and EBITDA of €750-770m.
Expert Opinion:
Stock had a strong run, but Gambling offers a defensive profile when economic prospects are uncertain. With a PE of 13.5x in 2024, and a dividend yield of 10%, OPAP remains an attractive stock in my opinion.
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Company Update:
Q2 revenue rose 7% yoy to €532.4m, a 1.7% beat v/s consensus. Growth was driven by a 19.7% rise in betting revenue and 19.9% uptick in online casino revenue, which made up for the weakness in other segments.
Recurring EBITDA rose 3% to €184.6m (+1.5% vs consensus). As expected, the operating margin contracted by 130bps (to 34.4%), due to the steep increase in marketing activities (+41.8%) to support the high promotional intensity around major sporting events (Euro's mainly).
FY24 outlook reiterated with revenue/GGR of €2.15-2.2bn and EBITDA of €750-770m.
Expert Opinion:
Stock had a strong run, but Gambling offers a defensive profile when economic prospects are uncertain. With a PE of 13.5x in 2024, and a dividend yield of 10%, OPAP remains an attractive stock in my opinion.
For daily updates, subscribe to our newsletter and for detailed daily updates, reach our to us at sales@alphavalue.eu
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Alphavalue Morning Market Tip
Strong beat in Q1 operationally partially offset by weaker net investment income.