FDJ shares gained a little more than 1% in Paris, as Stifel confirmed its 'buy' recommendation on Française des Jeux (FDJ), raising its target price from €38 to €44.

In particular, the analyst highlights the proposed acquisition of Kindred, which he believes 'ticks all the boxes, both strategically and financially'.

'We believe that FDJ is ready to become a serious challenger in the European online gaming market, and that this operation will have a positive impact on growth and profitability, while leaving FDJ with a solid balance sheet', the broker judges.

Stifel raises its 2023 estimates by around 5% and leaves its 2024 projections largely unchanged. Its estimates for 2025 increase by around 30% due to the inclusion of Kindred from that date.

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