Analyzing Skillz (NYSE:SKLZ) & Flutter Entertainment (NYSE:FLUT)

Flutter Entertainment (NYSE:FLUTGet Free Report) and Skillz (NYSE:SKLZGet Free Report) are both consumer discretionary companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, analyst recommendations, risk, earnings, valuation, institutional ownership and dividends.

Valuation and Earnings

This table compares Flutter Entertainment and Skillz”s revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Flutter Entertainment $16.38 billion 1.14 -$310.00 million ($1.80) -59.15
Skillz $104.50 million 0.37 -$46.79 million ($3.71) -0.69

Skillz has lower revenue, but higher earnings than Flutter Entertainment. Flutter Entertainment is trading at a lower price-to-earnings ratio than Skillz, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Flutter Entertainment has a beta of 1.93, suggesting that its share price is 93% more volatile than the S&P 500. Comparatively, Skillz has a beta of 3.08, suggesting that its share price is 208% more volatile than the S&P 500.

Insider and Institutional Ownership

19.4% of Skillz shares are owned by institutional investors. 0.1% of Flutter Entertainment shares are owned by insiders. Comparatively, 38.3% of Skillz shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Flutter Entertainment and Skillz’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Flutter Entertainment -1.89% 12.12% 4.19%
Skillz -69.44% -50.96% -22.19%

Analyst Recommendations

This is a summary of current recommendations and price targets for Flutter Entertainment and Skillz, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Flutter Entertainment 2 6 15 2 2.68
Skillz 1 0 1 0 2.00

Flutter Entertainment currently has a consensus price target of $223.25, indicating a potential upside of 109.69%. Skillz has a consensus price target of $15.00, indicating a potential upside of 487.54%. Given Skillz’s higher possible upside, analysts clearly believe Skillz is more favorable than Flutter Entertainment.

Summary

Flutter Entertainment beats Skillz on 9 of the 15 factors compared between the two stocks.

About Flutter Entertainment

(Get Free Report)

Flutter Entertainment plc operates as a sports betting and gaming company in the United Kingdom, Ireland, Australia, the United States, Italy, and internationally. The company operates through four segments: UK & Ireland, Australia, International, and US. It offers sports betting, iGaming, daily fantasy sports, online racing wagering, and TV broadcasting products; sportsbooks and exchange sports betting products, and gaming products; and online sports betting. In addition, it provides online poker, casino, and rummy. Further, it provides sports betting and gaming services through paddypower.com, betfair.com, sportsbet.com.au, tvg.com, us.betfair.com, fanduel.com, adjarabet.com, pokerstars.com, Skybet.com, tombola.com, sisal.com, and maxbet.rs websites under the FanDuel, Sky Betting & Gaming, Sportsbet, PokerStars, Paddy Power, Sisal, tombola, Betfair, MaxBet, TVG, Stardust, Junglee Games, and Adjarabet brands, as well as live poker tours and events. The company was formerly known as Paddy Power Betfair plc and changed its name to Flutter Entertainment plc in 2019. Flutter Entertainment plc was incorporated in 1958 and is headquartered in Dublin, Ireland.

About Skillz

(Get Free Report)

Skillz Inc. operates a mobile game platform in the United States and internationally. The company primarily develops and supports a proprietary online-hosted technology platform that enables independent game developers to host tournaments and provide competitive gaming activity to end-users. The company distributes games through direct app download from its website, as well as through third-party platforms. Skillz Inc. was founded in 2012 and is based in San Francisco, California.

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