Deutsche Bank on Tuesday maintained its 'hold' recommendation on Francaise des Jeux shares, while raising its target price from €37 to €38.

In a research note, the intermediary believes that consolidation in the online betting sector took a 'major step forward' yesterday with FDJ's €2.5 billion takeover of Sweden's Kindred.

In his view, this operation illustrates the French group's strategic ambition to build a more diversified model, but also to focus on fully regulated markets.

The analyst adds that the group paid only a 24% premium to Kindred's last share price, showing a valuation of just 7.1 times earnings.

Copyright (c) 2024 CercleFinance.com. All rights reserved.
The information and analyses published by Cercle Finance are intended solely as a decision-making aid for investors. Cercle Finance cannot be held responsible, directly or indirectly, for the use of information and analyses by readers. Uninformed investors are advised to consult a professional advisor before investing. This information does not constitute an invitation to sell or a solicitation to buy.