With a good deal of sporting events nearing – the 2023 NFL season, the NCAA, and the World Series – keep an eye on sports gambling stocks, like DraftKings (DKNG), Genius Sports (GENI), and even ETFs such as the Roundhill Sports Betting and iGaming ETF (BETZ).
As DKNG CEO Jason Robins recently said, “It’s about to be the most important time of year seasonally for us. We have fall coming up with the NFL, the college football calendar, and the NBA. This is when we acquire the most customers, when we have the biggest opportunity to gain more market share, and when we generate the most revenue, and the most EBITDA.”
We also have to consider that Americans are spending billions of dollars on sports betting. In fact, since the U.S. Supreme Court cleared the way, Americans have bet more than $220 billion on sports. Plus, as of May, about two-thirds of U.S. states offer legal sports bets, with more states likely to jump on the bandwagon, says PBS.
Even better, DKNG, for example, is nearing profitability.
Plus, the company just delivered a beat and raise quarter. Revenue soared 88% in Q2 to $875 million. All thanks to healthy customer retention and engagement, new customers, and product innovation. Q2 EPS of 14 cents beat estimates by 28 cents. Monthly unique payers (MUPs) jumped 44% year over year to 2.1 million.
It’s just something to think about if you’re looking for hot opportunities.