FDJ United Shares Decline by 0.77% in Monday's Session
FDJ United's stock ended Monday's session at €23.12, down 0.77% from Friday's close of €23.30. The trading volume was limited, with only 0.26% of the capital exchanged, indicating moderate liquidity at the start of the year. Over the week, the stock has seen a slight decline of 1.45%, continuing the downward trend observed for several months. The quarterly report shows a correction of 19.33% over three months, while the annual slide reaches 37.24%, placing FDJ United among the worst performances in the European gambling sector. This underperformance sharply contrasts with the Paris indices, as the stock now trades at historically low levels since its merger with Kindred at the end of 2024.
Market Context and Recent Performance
This session follows a challenging end to the year 2025 for the group, marked by a sudden downgrade by JP Morgan in early December. The American bank had lowered its rating from overweight to underweight while nearly halving its price target from €42 to €22.50. This drastic revision reflected concerns about the group's ability to absorb regulatory shocks affecting its key markets, with a 13% drop in online betting and gaming revenues over the first nine months of 2025, and collapses of 46% in the Netherlands and 23% in the UK due to stricter regulations. The complex integration of Kindred, acquired for €2.45 billion, continues to weigh on the valuation in a toughened fiscal environment in France, the Netherlands, and Romania.
Upcoming Financial Results and Expectations
FDJ United has scheduled the publication of its 2025 annual results for Thursday, February 19, before market opening. Investors are eagerly awaiting clarifications on the group's trajectory after a challenging 2025. Management revised down its revenue targets for the year in October, setting them above €3.7 billion compared to the €3.8 billion expected in comparable data, while maintaining an EBITDA margin target above 24%. The fourth quarter was expected to slightly decline compared to Q4 2024 and to be stable with constant taxation. However, the group has confirmed the continuation of its cost reduction plan for the 2025-2028 period and maintained its attractive dividend policy with a distribution of at least 75% of adjusted net income, a factor that continues to attract certain investors seeking yield. As of November 21, 2025, the consensus among analysts anticipated a net earnings per share of €2.36 and a dividend of €2.06 for fiscal 2025, representing an estimated yield of around 8% at current prices. The P/E ratio then stood at 10, below the sector average, suggesting a depressed valuation that could attract value investors if results do not disappoint further.
Technical Analysis and Market Position
Technically, FDJ United's stock shows mixed signals reflecting a challenging market situation. The RSI is at 63, a neutral level after recovering from high tension zones observed at the end of the year, indicating that immediate selling pressure has somewhat eased without clearly signaling a reversal. The MACD indicator shows a positive histogram at 0.07, with a MACD line at minus 0.09 and a signal line at minus 0.16, suggesting a slight improvement in momentum but without confirming a sustainable trend reversal. These signals remain fragile in a context where the stock still trades significantly below its main moving averages. The current price of €23.12 is indeed below the 50-day moving average at €24.07 and far from the 200-day moving average at €28.54, confirming a resolutely bearish trend over several months. Bollinger Bands frame the stock between €22.65 in support and €23.74 in resistance, placing the price in the middle part of this narrow corridor. The key support threshold is at €22.74, very close to current levels and corresponding to the price target of €22.50 mentioned by JP Morgan. A break below this level could trigger a new wave of selling. Conversely, the resistance threshold at €24.44 now represents a major obstacle that the stock must overcome to hope for a sustainable technical rebound, in a context where the Chaikin Money Flow at minus 0.07 indicates slight selling pressure and the On Balance Volume at minus 257,010 confirms a net capital outflow over the recent period.
