DAVY VIEW

Entain’s new market share targets (20-25%) are consistent with our view on the ultimate status of the number-two operator in the US market. If it can secure that position, its US venture will be worth significantly more than what the current share price implies. It also suggests the mature US EBITDA potential for the group is greater than what we currently anticipate (our estimates are based off a market share of 17%). If it can deliver on these ambitions, including achieving its newly introduced 2022 US NGR target, the share price can continue to perform.