Sports Betting-Inside the Numbers: Operators Mid-Term

 

After seeing the reports that Penn Entertainment had a round of layoff wirh members of their ESPNBet team,I decided to look at the mid year numbers for the top operators. Let's see where everyone is positioned as the NFL returns this fall.  These are the market shares of the top operators.                           DraftKings :38%

  FanDuel 36.5%

   BetMGM:7%

   Caesars:5.9%

   ESPNBet 3.2%

   Rush Street Interactive 3%

Comparing these numbers to the 1st quarter of 2024,DraftKings increased by 2.7%.FanDuel decreased by 1.3%.FanDuel'sDraft market share shifted slightly toward DraftKings and Rush Interactive.BetMGM decreased by.3%despite some impressive partnerships. Caesars decreased .6% and ESPNBet dropped 1.5%.

Let's look at the stock prices to see if investors are still confident over the last month of activity. DraftKings fell -6.07% but close today up 0,26%. FanDuel is down -0.6% over the last 30 days but closed today up 0.6%. Public confidence is unchanged.BetMGM was up 8.80% in the last month and closed yesterday up ,15%. The public opinion of the stock is unwavered. Caesars Entertainment was down 5% 30 days ago but closed yesterday up .82%/.Caesars was down $9 6 months ago and $2 a month ago. While the market share declined, the price is going up.Rush Interactive's stock price was in the low teens 6 months ago but has dropped to just under $10 yesterday. The shift in market share did not translate to increasing the stock value. Penn Entertainment and ESPNBet are not trending in the anticipated direction. A stock price that was high as $25 a year ago is now at $18.52 and down .27% yesterday. 

The Outlook: Expect the two market leaders to jockey for the top position as the NFL and NCAA Football returns in September. BetMGM's partnership with Twitter and the expansion of their sports betting service in Washington, D.C.,will  help recoup the .3% loss of the 2nd quarter, I see Rush as a possible acquisition based on a fvorable price. ESPNBet has the advantage of starting this football season off at the inception. By not launching until after week 7 in 2023,they acqiured multiple downloads but were not able to grow the market.A correction is imperative or this media and gaming merger will be short lived.

I encourage you to practice smart responsible gaming and do your homework as you look to invest in the stock market.

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