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Lottomatica Group S.p.A. (LTMC) Fair Value & Analysis

Consumer Cyclical · IT · Market cap €5.7B · ISIN IT0005541336

What is Lottomatica Group S.p.A. really worth?

LG Lottomatica Group S.p.A. LTMC · MI
Price€24.27
Fair Value€16.45
Upside−32.2%
Quality64/100

A solid business, but trading 48% above our fair value of €16.45.

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Strengths

Healthy Growth (revenue 5y +42.7 %/yr)

Risks

!Thin margins · 9.6% net margin
!High debt · generates free cash flow
!Mixed vs. peers (6/14)
!Moderate moat 64/100
!Weak on future: 22 out of 100

For context

·1.81% dividend yield
Evidence: High Range €12.34 – €32.04

Fair value as of: Aug 30, 2026

From 26 valuation models · updated 6 days ago

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • Solid but not exceptional quality (64/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range (€12.34 to €32.04) leaves room in how you read the outcome.

Price vs Fair Value (3 years)

€27.53 €7.04 Fair Value €16.45 May 2023 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 30, 2026.

How to read this chart

40‑month range €7.04 – €27.53 · fair‑value band €12.34 – €32.04 · the €24.27 price screens above the €16.45 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 30, 2026.

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Analysis

Lottomatica Group S.p.A. (LTMC) currently trades at €24.27, while our model-based Fair Value estimate is €16.45, implying the stock looks roughly 47.5% overvalued today. The Quality Score stands at 64/100 (solid quality), in the Consumer Cyclical sector. Bull case: the DCF Models group reads highest at a median of €26.34 per share, and 11 of the 26 models we run sit above the €24.27 price. Bear case: the Dividend Discount group reads lowest at €5.07, and 15 of the 26 models stay below the price. Evidence for this calculation is high.

Over the trailing twelve months, Lottomatica Group S.p.A. generated revenue of €2.3B at a net margin of 8.4%. Revenue grew 2.6% year over year. It earns a return on equity of 39.0%. Net debt stands at €1.8B. Fundamentals as of Aug 30, 2026

Our scenario range runs from €12.34 (bear case) to €32.04 (bull case); at €24.27, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 14% below its 52-week high and 32% above its 52-week low, currently above its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at −10% fair-value upside, at −32%, LTMC screens richer than that median.

Fair Value models

This estimate rests on fiscal year 2025 figures, and about 8 months have passed since. In that time the company retained roughly €0.2310 per share, which is 1.4 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
FCF DCF €19.83 €34.78 €81.40 74
Growth DCF €18.14 €38.90 €79.52 73
EPV €6.48 €8.75 €10.70 71
All 26 models by family
DCF Models
FCF DCF €19.83 €34.78 €81.40 74
Owner Earnings €5.28 €21.29 €53.66 67
5Y Revenue Exit €6.45 €14.40 €30.83 67
5Y EBITDA Exit €20.78 €43.36 €87.67 70
5Y P/E Exit €9.15 €26.34 €49.11 66
10Y Revenue Exit €10.35 €26.25 €34.54 66
10Y EBITDA Exit €20.92 €56.40 €118.30 63
10Y P/E Exit €12.63 €31.94 €62.16 59
Earnings-Based
Graham-Dodd €5.08 €35.46 €49.76 63
Lynch FV €13.23 €18.90 €24.56 61
PEG = 1.0 €13.23 €18.90 €24.56 57
EPV €6.48 €8.75 €10.70 71
Dividend Discount
Gordon GGM €2.95 €5.87 €8.89 67
DDM Multi-Stage €2.95 €5.07 €6.19 67
Multiples
P/E Multiple €12.34 €16.45 €20.56 63
P/S Multiple €8.68 €11.57 €14.46 58
P/B Multiple €4.18 €5.58 €6.97 55
EV/EBIT €19.11 €28.11 €37.10 65
EV/EBITDA €20.20 €29.56 €38.92 67
EV/Revenue €0.2200 €3.69 €7.16 46
Asset-Based
NCAV (Graham) €0.7000 €0.9300 €1.39 54
Growth DCF
Growth DCF €18.14 €38.90 €79.52 73
Rev-Margin DCF €6.49 €17.64 €38.46 66
Economic Profit
Residual Income €5.79 €8.50 €116.00 64
ROIC Compounder €10.35 €19.22 €24.94 70
Growth Earnings
Growth-Adj P/E €17.25 €24.64 €32.04 67

Widest divergence: DCF Models (€26.34) versus Asset-Based (€0.9300). Highest evidence: FCF DCF (74).

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Key figures & financial health

P/E ratio 26.8 as of Aug 13, 2026
P/S ratio 2.08 P/E × margin
EPS (TTM) €0.9100 price ÷ EPS = P/E 26.8
Dividend yield 1.8% payout 48.4%
Net margin 7.8% FY2025
Return on equity 54.6% TTM
More key figures
Profitability
Return on assets (EBIT) 9.3% avg 5y
Operating margin 21.3% TTM
Growth
Revenue (TTM) €2.3B TTM
Revenue growth (YoY) +4.3% 3y avg +17.2%
EPS growth (YoY) +228%
Balance sheet & cash flow
Free cash flow €406M FY2025
Net debt €1.8B FY2025 · ≈ 4.5 yrs of FCF

Figures from reported company fundamentals · as of Aug 30, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 64/100

Of which business quality 62 · Market factors (momentum, volatility) 55

Profitability 55
Margins and returns on capital today
Quality Growth 70
Are margins and returns improving?
Cashflow 80
Earnings quality: real cash, not paper profit
Fin. Strength 33
Balance sheet, leverage, solvency risk
Investment 38
Disciplined investing over empire-building
Low Volatility 79
Calm price path (market factor)
Momentum 41
Price trend over the last 3–12 months (market factor)
52W Momentum 53
Distance to the 52-week high (market factor)
Net Issuance 98
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

Lottomatica Group S.p.A., together with its subsidiaries, operates in the gaming market in Italy. The company operates through Online, Sports Franchise, and Gaming Franchise segments.

Full company description

Lottomatica Group S.p.A., together with its subsidiaries, operates in the gaming market in Italy. The company operates through Online, Sports Franchise, and Gaming Franchise segments. The Online segment provides a range of online games, such as sports betting, virtual betting, horse betting, online casino games, bingo, poker, betting exchange, and skill games through the GoldBet.it, Better.it, Lottomatica.it, Betflag.it, Totosì.it, and Planetwin365.it websites. The Sports Franchise segment offers various retail offerings, such as sports betting, virtual betting, and horserace betting under the GoldBet, Intralot, Better, and Planetwin365 brands. The Gaming Franchise segment engages in the management of gaming halls and concession activities for video lottery terminals and amusement with prize machines. Lottomatica Group S.p.A. was incorporated in 2019 and is based in Rome, Italy.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Lottomatica Group S.p.A. reported revenue of €2.2B in FY2025 versus €808M in FY2021, a compound +29.1%/yr. Reported net income was €174M in FY2025.

Growth Quality 95/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
€2.2B
Latest YoY
+12.1%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+17.2%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+42.7%
Value creation/yr (3Y) Earnings growth per share (CAGR 3 years) plus dividend yield: value created per share and year.
+39.4% (37.6 + 1.8)
Revenue +29.1%/yr
FY21 €808M
FY22 €1.4B
FY23 €1.6B
FY24 €2.0B
FY25 €2.2B
Net income
FY21 −€57.6M
FY22 €72.1M
FY23 €67.9M
FY24 €98.6M
FY25 €174M

LTMC screens 48% overvalued. Compare with Flutter Entertainment plc →

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Cite: Fair Value Calculator (2026). "Lottomatica Group S.p.A. Fair Value". https://www.fairvalue-calculator.com/stock/LTMC

Recent news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

Peer Group

Gambling · 54 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 64 · Above median
Fair Value upside −32% · Below median
Return on equity (TTM) 55% · Top 25%
Return on assets 8% · Top 25%
Net margin (TTM) 10% · Top 25%
Operating margin (TTM) 21% · Top 25%
Revenue growth 4% · Above median
Dividend yield (TTM) 1.8% · Below median
Debt / equity 6.09× · Higher than 75% of peers

Valuation Multiples vs Gambling median · lower = cheaper

P/E (TTM) 26.8× · Pricier than median
P/B 20.34× · Pricier than 75% of peers
P/S (TTM) 2.89× · Pricier than 75% of peers
P/FCF 16.3× · Pricier than median
EV/EBITDA 12.6× · Pricier than median

Strength profile in five axes (Snowflake)

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE0 · sector 27
FUTURE22 · sector 9
PAST100 · sector 26
HEALTH0 · sector 89
DIVIDEND36 · sector 50

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

Gambling

Similar stocks

10 more Gambling stocks, each showing price versus our Fair Value estimate (as of Aug 30, 2026).

Stock Price Fair Value vs Fair Value
Flutter Entertainment plc FLUT $98.08 $88.33 −10%
Evolution AB EVO kr 832.60 kr 982.64 +18%
The Lottery Corporation TLC A$5.36 A$2.99 −44%
Rush Street Interactive, Inc RSI $26.05 $3.10 −88%
Super Group SGHC $13.95 $9.39 −33%
Light & Wonder, Inc LNWO $89.75 $77.19 −14%
Churchill Downs Incorporated CHDN $86.65 $88.74 +2%
FDJ United FDJ €22.33 €20.97 −6%
Brightstar Lottery PLC BRSL $11.31 $17.61 +56%
Tabcorp Holdings TAH A$0.8900 A$0.6000 −33%

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Frequently asked questions

Is Lottomatica Group S.p.A. (LTMC) overvalued or undervalued?
As of Aug 30, 2026, our model estimates a fair value of €16.45 versus a price of €24.27, about −32% upside (overvalued).
What is the fair value of LTMC?
Our model-based fair value for Lottomatica Group S.p.A. is €16.45 (as of Aug 30, 2026), built from audited fundamentals. The current price: €24.27.
What is the quality score of LTMC?
Lottomatica Group S.p.A. has a Quality Score of 64/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Lottomatica Group S.p.A. (LTMC)?
Lottomatica Group S.p.A. reported trailing-twelve-month revenue of about €2.3B (latest available figure, as of Aug 30, 2026).
What is the net profit margin of LTMC?
The net profit margin of Lottomatica Group S.p.A. is about 8.4%, meaning it keeps roughly 8.4% of revenue as net income. Based on the latest reported figures.
Does Lottomatica Group S.p.A. pay a dividend?
Lottomatica Group S.p.A. currently shows a dividend yield of about 1.81% relative to its recent price (as of Aug 30, 2026).
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