Clobbered by the highest inflation rates in four decades and the threat of recession, U.S. financial markets experienced one of their most tumultuous years in recent memory in 2022.

Possessing many of the same characteristics as tech stocks, leading names in the sports betting industry were not immune from the rout. At 2022 lows, top sports betting stocks cratered as much as 80% from their 52-week peak. Smaller-to-mid-size companies were hit just as hard, as impatient investors grew skeptical of the sports betting industry’s ability to turn a profit.

Shortly after the U.S. Supreme Court’s historic PASPA decision in 2018, numerous industry experts predicted a massive consolidation among U.S. sportsbook operators.