Igaming stocks are rising three times as fast as the S&P Index. That was one of the salient findings of Macquarie Equity Research analyst Chad Beynon in an investor note released 26 June.
Stocks of igaming companies had risen 12% in the past four weeks, wrote Beynon, while the S&P 500 was up 4%. He felt that this showed that the “market outlook is getting better in the face of regulatory headwinds.”
Beynon noted that the ascent in share prices coincided with a period of considerable hold percentages among sports betting operators, especially during June. In the first two weeks of the month, hold was trending toward 13%, Macquarie reported.
From these figures, Beynon extrapolated a second-quarter hold percentage of 11%. Operators seeing record rates were expected to include FanDuel – and publicly traded parent Flutter Entertainment – and DraftKings. Other beneficiaries were thought to be Rush Street Interactive, BetMGM and Caesars Entertainment.
