Sports betting stock Flutter Entertainment PLC (NYSE:FLUT) is falling sharply today, last seen down 8.8% at $213.87, after mixed third-quarter results. Adjusted third-quarter earnings of $1.64 per share handily beat analysts' anticipated 13 cents per share, though revenue of $3.79 billion missed estimates. What's really weighing on the stock, however, is the FanDuel parent's lowered full-year guidance, which it attributed to "unusually customer-friendly sports outcomes," as well as tax adjustments in Illinois, regulatory changes in India, and more.
No fewer than eight analysts slashed their price targets after the event, including Bernstein to $271 from $321, while two analysts threw in modest price-target hikes. Sentiment is still broadly bullish, however, as the 12-month consensus price target of $317.32 sits at a roughly 48% premium to current levels, while 22 of the 27 analysts in coverage carry a "buy" or better rating.
Today's drop has Flutter stock snapping a five-day win streak, entirely erasing the last week of gains. The $212 region, which the stock bounced off earlier this month, looks like it's providing support for today's pullback as well. Year to date, the equity is down 16.8%.
Over in the options pits, FLUT is seeing double the options volume it typically sees at this point in the day. The November 200 put is the most popular, followed by the November 230 call, with new positions opening at the latter.
