Vanguard Bought $3.5 Billion of This Gaming Stock That’s Down 26%. Time to Buy, Too?

Core Insights - Institutional investors, such as Vanguard Group, provide valuable insights through their 13F filings, revealing significant investment moves and strategies [1][2] - Vanguard's recent $4.9 billion investment in Flutter Entertainment indicates a strong belief in the company's potential despite its current stock decline [3][4] Company Overview - Flutter Entertainment is a leader in online sports betting and iGaming, with a diverse portfolio including brands like FanDuel, Paddy Power, and PokerStars [4][5] - The company holds a 43% market share in the U.S. gross gaming revenue, significantly outperforming competitors like DraftKings [4] - Flutter operates in 22 U.S. states for sportsbooks and has a strong presence in the U.K., Ireland, Australia, and Italy, generating over $14.8 billion in annual revenues [5] Market Position and Growth Potential - The ongoing regulation of online gambling in various regions, including Brazil and potential U.S. expansions, positions Flutter favorably for future growth [6] - The company's scale and ability to cross-sell across its brands enhance its competitive edge in the market [6] Stock Performance and Challenges - Despite its market leadership, Flutter's stock has declined significantly, down 26% from its 52-week high, attributed to broader economic pressures affecting consumer spending [4][7] - The decline in stock price raises questions about whether this presents a buying opportunity or indicates deeper issues within the company [4]