Harvard University Portfolio Has This Sports Betting Stock With Growth Catalysts

Harvard’s Stake: $8,190,765

Flutter Entertainment (NYSE:FLUT) is the world’s largest online sports betting and iGaming company. Its astir invaluable plus is FanDuel, the ascendant sports betting level successful the United States. The banal is down implicit 55% this year, wounded by 2 main fears. The archetypal is the emergence of prediction markets similar Polymarket and Kalshi, which are pulling users distant from accepted sportsbooks. An wide downturn successful the sportsbook manufacture is besides impacting the stock.

However, immoderate judge the banal is undervalued and tin rebound. Based connected management’s full-year 2026 EBITDA guidance of $2.86 billion, the banal present trades astatine conscionable 10.5x EV/EBITDA with a escaped currency travel output supra 10%,  good beneath its humanities average.

The FIFA World Cup could beryllium a catalyst. Some indicators amusement that implicit 60% of American shot fans program to stake connected the tournament, and 29% of Americans program to spot their first-ever sports stake during the event.

iGaming — online casino games similar slots and poker played implicit the net — is different underappreciated maturation driver. Unlike sportsbook betting, which is seasonal, iGaming generates gross each twelvemonth round. It is presently lone ineligible successful 7 US states, meaning enlargement into caller states is simply a important untapped opportunity. Flutter Entertainment’s (NYSE:FLUT) iGaming conception already grew 28% twelvemonth implicit twelvemonth successful Q1 2026.

Flutter Entertainment (NYSE:FLUT) is not ignoring the prediction marketplace threat. The institution announced it volition motorboat FanDuel Predicts, its ain prediction marketplace product, backed by an archetypal $40 cardinal investment.

While we admit the imaginable of FLUT arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

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