Entain is in dire need of a reset. Investors are demanding far more favourable odds to take a punt on the giant gambling group delivering on its growth ambitions.
The owner of Ladbrokes and Coral is coming to the end of a torrid year that has seen its share price contract by a quarter. That translates to an enterprise value of just ten times adjusted earnings before interest, taxes and other items, less than half the 2021 peak and lower than 13 in January.
The list of banana skins is long. A post-pandemic comedown in online gambling coincided with a cost of living crisis and new affordability measures being put in place in Britain. The group was also wrongfooted by the outcome of sports matches
