You cannot directly purchase FanDuel stock, as the company is a subsidiary of Flutter Entertainment. The good news for those who want to invest in FanDuel is that Flutter is a public company and trades on the New York Stock Exchange (NYSE) under the ticker symbol FLUT.
Flutter Entertainment was listed on the NYSE in January of 2024, giving American investors easy access to investing in the company. Before the NYSE listing, U.S. investors had to use the OTC market to purchase Flutter shares.
Following Flutter’s listing on the NYSE, the company’s secondary stock listing is on the LSE (London Stock Exchange).
Key highlights:
- FanDuel is a subsidiary of Flutter Entertainment (FLUT), which trades on the NYSE
- FanDuel has an estimated 35% share of the online gambling market in the United States
- The valuation of FanDuel could be as high as $35 billion
Who owns FanDuel?
FanDuel is owned by Ireland-based sports betting and gambling company Flutter, although Fox Corporation has an option to acquire an 18.6% stake in FanDuel. However, the price at which Fox will be able to acquire the stake in FanDuel was the subject of a legal battle between Fox and Flutter.
The reason why Fox has an option to acquire a stake in FanDuel is Flutter’s purchase of The Stars Group in 2020. Fox had a purchase option for a stake in The Stars Group, which translated to an option to purchase a stake in FanDuel.
In September 2024, Fox CEO Lachlan Murdoch stated that the company intends to activate the option to purchase an 18.6% stake in FanDuel, with the deal potentially being closed at $2.2 billion below the open market value of the stake (assuming that FanDuel is valued at $35 billion).
While FanDuel is Flutter’s primary brand in the United States market, the company also owns several other brands operating in the sports betting and gambling sector:
- Betfair
- PokerStars
- Paddy Power
- Sky Betting & Gaming
- Sportsbet
About FanDuel
FanDuel is a United States-based gambling company founded in 2009 that provides sports betting, daily fantasy sports and online casino services.
In 2016, FanDuel announced that they were planning a merger with DraftKings, another major company in the gambling sector. However, the merger was ultimately blocked by the FTC (Federal Trade Commission) to prevent the new company establishing a monopoly position in the daily fantasy sports market.
In 2018, FanDuel was acquired by Paddy Power Betfair, which is now known as Flutter Entertainment.
Flutter reported $11.7 billion in revenue in the fiscal year 2023, although we have to keep in mind that the figure also includes revenue includes the company’s other subsidiaries and not just FanDuel.
According to Flutter’s report for the fiscal year 2024, FanDuel added 3.7 million new players, representing 19% year-over-year growth. The FanDuel Casino had a market share of roughly 25.7% in the iGaming sector in the United States. When it comes to the U.S. online gambling sector as a whole, FanDuel is estimated to have a market share of around 35%.
As far as the valuation of FanDuel is concerned, Fox Corporation CEO Lachlan Murdoch made comments in September 2024 indicating that Goldman Sachs analysts valued FanDuel at $35 billion.
FAQs
How to invest in FanDuel stock?
The best way to invest in FanDuel is to purchase stock in Flutter Entertainment (FLUT), which is FanDuel’s parent company.
Is FanDuel publicly traded?
No, FanDuel is not publicly traded. However, its parent company Flutter Entertainment is publicly traded. Flutter Entertainment is listed on the NYSE and trades under the ticker FLUT.
What’s the FanDuel IPO date?
FanDuel is a subsidiary of Flutter Entertainment, and there’s currently no indication that it will have its own IPO. Flutter Entertainment trades under the ticker FLUT on the NYSE.
The bottom line
Although you can’t directly purchase shares in FanDuel, you can gain exposure to the business by investing in its parent company Flutter Entertainment, which also owns several other gambling brands such as Betfair, PokerStars and Paddy Power.
If you’re also interested in investing in FanDuel’s competitors, its main competitor DraftKings is publicly traded on the NASDAQ under the ticker DKNG. Check out our article to learn why DKNG is one of the best stocks under $50.
Source: https://coincodex.com/article/53232/fanduel-stock/