London, Feb 27, 2026, 23:56 GMT — Market’s final bell has sounded.
- Flutter shares dropped 15% at the close in London. U.S.-listed stock lost close to 14% during regular hours.
- The company’s profit forecast for 2026 landed well short of what analysts had been looking for, with attention fixed on U.S. betting activity.
- Investors are eyeing specifics on new promotions, the upcoming loyalty initiative, and how much will go into prediction-markets spending.
Flutter Entertainment plc slid 15% in London on Friday to finish at 7,712 pence. The FanDuel parent put out a reserved 2026 forecast, unsettling investors wary of the current pace in U.S. sports betting. In New York, shares lost 13.8% to close at $106.14, then dipped further after the bell. 1
Flutter’s results carry weight—it’s a bellwether for online sports betting and iGaming, with its U.S. segment driving most earnings. Now, with the NFL season in the rearview, a softer outlook arrives just as operators ramp up competition for bettors, putting pressure on margins.
The focus is also shifting to whether the recent string of “bookmaker-friendly” outcomes—where bettors keep coming up short—might be driving down demand, instead of just fattening the house’s latest results. That’s a more complicated story for a stock built on consistent U.S. growth and tight cost controls.
Flutter is projecting 2026 core profit growth at just 4%, reaching $2.97 billion—a far cry from the $3.5 billion analysts surveyed by LSEG SmartEstimate had penciled in. The company cited lackluster U.S. engagement and underperforming promotions as reasons for the miss. “We just didn’t execute our generosity strategy as well as we should have done in the face of those results,” CEO Peter Jackson told Reuters, referencing the bonuses and offers aimed at retaining bettors. 2
The company reported a 25% jump in fourth-quarter revenue to $4.74 billion, with adjusted EBITDA up 27% at $832 million. But U.S. “handle” growth—the sum wagered—came in at just 3%, lagging forecasts, and that slower pace has persisted into early 2026, according to the update. 3
Brokers didn’t waste time. Bank of America lowered its price target on Flutter to $140, down from $170, sticking with its Neutral stance. In a note, the bank flagged that Flutter’s 2026 U.S. revenue and EBITDA guidance trails both their own models and what the street was expecting, then posed the question: “is it conservative enough?” 4
Benchmark’s Mike Hickey didn’t mince words on the company’s missteps. “This is not simply a sports results issue; it reflects a breakdown in customer lifecycle management,” he wrote, pointing to margin optimisation that, in his view, ran so far it damaged customer engagement. 5
The guidance shortfall is stirring up a broader conversation around competition from prediction markets—those sites where users put money on event outcomes—which have started gaining traction in the U.S. Flutter insists the risk is overblown, but the market is eyeing the potential for higher marketing bills and limits on sportsbook pricing muscle. 6
The risk side isn’t hard to spot. Should engagement remain sluggish as spring rolls in, the company could be forced to ramp up promotions—potentially squeezing 2026 margins even more. Then there’s the regulatory threat hanging over prediction markets. A crackdown might hamper the new segment Flutter is pouring money into, though it could also take some heat off if competitors get reined in.
London trading remains on pause until Monday, leaving investors keen for deeper insight into U.S. activity and spending pace—particularly on the loyalty rollout and expansion into prediction markets. The next key update: CEO Peter Jackson and CFO Rob Coldrake are set for a fireside chat at Morgan Stanley’s Technology, Media & Telecom Conference March 4. 7
