Entain (LSE:ENT) shares rose 4.5% to 454.5p on Wednesday, following recent financial updates from the gambling group and its BetMGM joint venture, alongside analyst assessments of the company’s outlook.
BetMGM, the 50-50 joint venture between Entain and MGM Resorts International, reported third-quarter 2026 net revenue of $710 million, representing a 7% increase compared with the same period last year.
Adjusted EBITDA rose 112% to $86 million, while the joint venture distributed $68 million in cash to its two parent companies during the quarter.
The results followed Entain’s third-quarter trading update on 15 October, which showed growth in its UK and Ireland online operations.
Online net gaming revenue (NGR) in the region increased 14%, exceeding market expectations. Within this segment, gaming revenue rose 17%, while online volumes increased 15%.
Entain also reported double-digit growth in New Zealand, Spain and Canada, although its Brazilian operations continued to face difficulties associated with the country’s nationwide restrictions on online gambling.
The company maintained its financial guidance for the full year 2026, forecasting online net gaming revenue growth of between 4% and 6% at constant exchange rates.
Entain also reiterated its expectation that underlying EBITDA would be at the lower end of its previously announced range of £910 million to £960 million.
The group’s latest trading figures and the performance of BetMGM have been accompanied by updated analyst recommendations.
Goldman Sachs maintained its Buy rating on Entain but reduced its price target to £8.00 from £10.40.
Morgan Stanley also retained its Overweight recommendation while lowering its target price to £10.00 from £10.50.
Both investment banks therefore maintained their existing ratings despite revising their valuations of the company’s shares.
The broader UK equity market was also supported by developments in US corporate earnings and bond yields, although investors remained focused on forthcoming UK inflation and government borrowing figures.
During Wednesday’s session, Entain shares traded close to an intraday high of 458.3p.
At 454.5p, the stock remained below its 52-week high of 826.6p.
The share price increase followed the publication of BetMGM’s quarterly results, which showed higher revenue, adjusted EBITDA and cash distributions, together with Entain’s previously reported growth in its UK and Ireland online business.
The company continues to target full-year online revenue growth while maintaining its existing underlying EBITDA guidance. The relative contribution of these developments to Wednesday’s share price movement cannot be determined from the available information.
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