BUZZ-888 Holdings: JPM ups on structural growth hopes in Casino, Sport

** JP Morgan upgrades online gambling company 888 Holdings to "overweight" from "neutral", citing increasing confidence in structural growth prospects of Casino and Sport as well as exceptional near-term revenue trends in the UK

** The company held a Capital Markets Event on Tuesday, at which it said FY revenue in the UK rose 18% on a LFL (like-for-like) basis and it was confident it would achieve its FY targets

** JPM says a turnaround in the UK is confirmed, with both Casino and Sport driving a strong overall UK B2C performance

** "We believe that EBITDA will grow strongly in subsequent years, at a 9% CAGR FY19E to FY25E," says JPM

** Says 888 has potential to explore new markets, but believes growth will rely more on increasing online gaming penetration, market share gains and the U.S. than on new geographies

** JPM maintains PT of 220p, which still implies 42.5% upside from its last close