Betsson (OM:BETS B): Valuation Check After Major Buyback, New Bond Issue and Early Redemption Move
Betsson (OM:BETS B) is making two clear capital allocation calls at once, stepping up its share buybacks while also refinancing debt and triggering early redemption of its 2023 and 2026 bonds.
See our latest analysis for Betsson.
Those buybacks and bond moves land after a choppy spell, with the share price at SEK 145.6 and a modestly positive year to date share price return. The three year total shareholder return of 103.35 percent suggests underlying momentum is still intact even if shorter term trading has cooled.
If Betsson’s capital returns have caught your eye, it could be a good moment to widen the lens and explore fast growing stocks with high insider ownership for other high conviction ideas.
With buybacks accelerating, bonds being refinanced and the share price still trading at a sizeable discount to analyst targets, is Betsson quietly offering a mispriced entry point, or are markets already baking in the next leg of growth?
Most Popular Narrative Narrative: 24.4% Undervalued
With Betsson last closing at SEK 145.6 against a narrative fair value of SEK 192.5, the storyline leans toward a meaningful upside anchored in measured growth and rising margins.
Significant ongoing investments in proprietary technology (Techsson platform and native apps) enhance product innovation, operational flexibility, and customer experience, likely to improve net margins through efficiency and stronger customer retention over time.
Want to see what powers that upside case? The narrative quietly stacks revenue growth, margin expansion and a lower future earnings multiple into one cohesive valuation puzzle.
Result: Fair Value of $192.5 (UNDERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, rising local gaming taxes and slower growth in key regions could quickly squeeze margins and undermine the current undervaluation narrative.
Find out about the key risks to this Betsson narrative.
Build Your Own Betsson Narrative
If the story so far does not quite align with your own view, you can dive into the numbers, shape your thesis, and Do it your way in just a few minutes.
A great starting point for your Betsson research is our analysis highlighting 4 key rewards and 1 important warning sign that could impact your investment decision.
Looking for more high conviction ideas?
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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