Top 10 Gambling Stocks
Gambling at your favourite online/land-based casino or pari-mutuel racetrack is undoubtedly a potential method of winning money and having fun. Still, because the odds are tipped in the house's favour, might it not make just as much sense to invest in companies that provide the infrastructure, content, et cetera instead?
While there is no such thing as a sure investment, researching publicly listed companies and putting some money down can be a safer way to play the industry. Fortunately, even if you don't know the first thing about investing, some analysts do. Therefore, why not search through some research reports for ideas? Here at OnlineCasinoList, we thought it might be fun to put together our top 10 gambling stocks list.
Evolution Gaming Group AB
Evolution Gaming Group AB is a Stockholm-listed iGaming company on the NASDAQ Nordic Exchange. It provides live casino games, online games and slots. It has grown organically and more recently through the acquisition of Sweden's NetEnt and Australia's BTG. At year-end 2020 it had a share price of 822.80 SEK, which has surged to 1,421.20 SEK as of May 21, 2021. The trailing-twelve-month (TTM) ROI of 22.97% puts this stock's performance at the top of most lists.
Playtech plc is publicly listed on the London Stock Exchange under the ticker symbol PTEC. It creates iGaming software: casino games, sports, live, bingo, poker, and virtual games. The company's growth has been fueled organically and through acquisitions, including the Quickspin purchase in 2016. Although FY2020's ROI of -2.99% is exceptionally weak, with a year-end price of 401.30GBp, this can also represent a potential buying opportunity with a global recovery in 2021.
International Game Technology Group (IGT)
Listed under the ticker symbol, IGT:US, International Game Technology Group (IGT) is a multinational iGaming provider of software and slot machines. The company is headquartered in London with a listing on the New York Stock Exchange (NYSE). The company closed FY2020 with a share price of US$16.94 with an ROI of -5.08%. The poor performance was primarily driven by a drop in income due to the global pandemic. A turnaround in 2021 may drive the share price and ROI upwards.
GVC Holdings Plc
GVC Holdings Plc is an Isle of Mann headquartered company listed on the London Stock Exchange under ticker symbol GVC:LN. It is a sports betting and gambling company behind many big brands like PartyPoker, bwin and Ladbrokes. The fiscal year ended 2020 was more of a whimper with an ROI of -2.54% and a share price of 1,133.50Gbp. This is no surprise since the company was also impacted by global events. Still, the stock price has surged in 2021, closing at 1,579GBp on May 21, 2021, and there may still be room to run.
Great Canadian Gaming Company
The Great Canadian Gaming Company (TSX:GC) operates racetracks and land-based casinos across Canada. This homegrown Canadian company took a hit in 2020 with the global pandemic (ROI of -5.87%). Still, a recovery in Canada and globally may see a return to pre-pandemic revenue levels that will drive ROI and share price upwards. Since closing FY2020 at CA$43.48, the share price has been flat, closing at CA$44.15 as of May 21, 2021.
Playgon Games Inc.
Playgon Games Inc. is another Canadian company founded in 2016 that designs software platforms and digital content for daily fantasy sports, eTable and live dealer casinos. Listed on the TSX Venture Exchange under ticker symbol DEAL, its share price is currently hovering around $0.40, putting it in speculative penny stock territory. The company is unprofitable as it continues to invest in its future. Coupled with the challenging macroeconomic environment of 2020, this has led to high financial volatility and a weak ROI. Still, if you're willing to take the risk and buy the stock now, it might provide a great return over the long run.
Pollard Banknote is another Canadian listed company on the Toronto Stock Exchange under the ticker symbol PBL. This Winnipeg, Manitoba-based company prints lottery tickets for Canadian provincial and American state entities. Unlike many other gaming companies, this company saw a rise in year-on-year (YOY) revenue in 2020, making it somewhat of a defensive play. The company had a year-end ROI of 11.95%, with a closing share price of CA$35.74. Up to May 31, 2021, the share price of CA$56.60 has seen a nice rise.
Las Vegas Sands Corporation
The Las Vegas Sands Corporation is the largest global casino company. Services that they provide include gaming, entertainment, accommodations and dining, from Macau, Singapore and the United States. The company is listed on the NASDAQ under the ticker symbol LVS. A tumultuous FY2020 resulted in a steep drop in revenue, resulting in a poor ROI (-10.09%). The stock price up to May 21, 2021 (US$57.72) has remained flat relative to FY2020's closing price of US$59.60. This could represent a buying opportunity as revenue begins to recover.
MGM Resorts International
MGM Resorts International operates in the hospitality industry, providing hotels, conference spaces, entertainment and casinos in the United States and Macao. It has 29 hotels, including the famous Bellagio and MGM Grand in Las Vegas. The company is publicly listed on the NASDAQ under the ticker symbol MGM. As of December 31, 2020, the company had an ROI (TTM) of -4.18%. Its share price closed FY2020 at US$31.51 and has recovered to US$39.76 as of May 21, 2020.
DraftKings Inc. is an American daily fantasy sports and sports betting operator servicing many American states. Founded in Boston, Massachusetts, in 2012, it is publicly listed on the NASDAQ (DKNG). It closed December 31, 2020, at US$46.56 and remained flat at US$44.63 as of the close of May 21, 2021. Admittedly, its ROI (TTM) of -52.79% has been dismal. Still, it continues to grow in its core US market and could be a prime candidate for a turnaround.