The Right Horses to Bet: 12 Sports Betting Stocks to Buy Now

Simon B. Posted On April 23, 2019

Last year, the U.S. Supreme Court allowed regulation to be taken charge by States instead of the Federal Government. The illegal market in the U.S. alone is estimated at $150 billion waged every year. Legal sports gambling is growing everyday. The industry has a 20% growth projection for the next 5 years.

Across the pond, gamblers have been participating in sports betting. In the U.K.,Europe’s largest sports betting market, has liberalized online gambling regulations.

The most obvious players in the industry to take advantage of this are casinos who are well established. Furthermore, the majority of wagers are expected to take place via apps in the near future.

Here are the best stocks to take advantage of this new opportunity in legalized sports betting.

🃏 Casinos & Gaming

Canadian

Great Canadian Gaming Corp (GC-T)
A Canadian casino operator that has recently won many contracts in Ontario. Due to restrictions and regulations, they have little competition and basically has a monopoly on gaming in Toronto. They are sure to take advantage of sports gambling.

Great Canadian Gaming Corp (GC-T) — Stockchase

It's being acquired now, so there's little juice to squeeze here. The market is assuming the deal will happen. He owns Evolution Gaming (Swedish) instead, which operates the software for online gaming (EVO is the ticker).

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Pollard Banknote Ltd (PBL-T)
They are best known for instant win lottery tickets. They have a great social media presence, pay a good dividend and has been a solid gaming company.

Pollard Banknote Ltd (PBL-T) — Stockchase

(A Top Pick Jan 25/21, Up 5%) He trimmed in the high 50s, recently buying it back in the high 30s. High conviction on this one. Huge barriers to entry. High margins and free cashflow. Stock pulled back on a missed quarter, since demand was so strong that sales had to be pushed to next…

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The Stars Group Inc (TSGI-T)
A market leader in poker but are moving into sports gambling now. They made a deal with NBA to be their gambling provider. They’ve expanded into the UK and Australia and they still have some space to grow.

The Stars Group Inc (TSGI-T) — Stockchase

(A Top Pick May 29/19, Up 66%) He sold out previously. He liked the 5 year forecast. As we came into late last year some of the volatility in the stock was not what he was interested in so he exited. He believes they will be stronger going forward.

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United State

MGM Mirage (MGM-N)
The largest casino operator in the U.S. It has invested in sports betting and are building a sports betting empire. They recently made a deal with Major League Baseball as their official gaming partner.

MGM Mirage (MGM-N) — Stockchase

Selling the Mirage He likes it. They're doing the right thing; they're getting more focused and have good managers. But tomorrow Wynn Resorts reports that will determine MGM's direction.

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Churchill Downs Inc (CHDN-O)
They traditionally are a horse betting company, but the legalization of sports betting represents a big opportunity for them. They’ve already entered the market in Mississippi. For the last 5 years, the stock has trended up and has performed well.

Churchill Downs Inc (CHDN-O) — Stockchase

A year ago, we could have made some money. He cannot understand why the stock is making new highs. The horse racing sport is out of favor. The stock needs to pause.

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Penn National Gaming Inc (PENN-Q)
A large casino company that is betting big on sports betting, with a $3.1 million investment to launch sports betting at their Mississippi and Hollywood casinos.

Penn National Gaming Inc (PENN-Q) — Stockchase

Among the biggest losers on the S&P in 2021 #1, down 40%. Gaming was once the hot business for investors. PENN merged with Barstool was supposed to blend a hot entertainment property with this gambling business. Problem is, other companies had the same idea to cash in on a growing market. Once more states permit…

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Boyd Gaming Corp. (BYD-N)
They announced a partnership with MGM last year to focus on the future of online gambling and sports betting. They will be providing a platform for sports betting, casino gaming and poker.

Boyd Gaming Corp. (BYD-N) — Stockchase

Isn’t a company he follows. They have to look at the legislation. You have to look at the competitors also. So many cities are looking at casinos.

stockchase.com

International Game Technology (IGT-N)
They’ve teamed up with fantasy sports provider FanDuel to enter the New Jersey sports betting market. They are traditionally a slot machine business but they are moving heavily into sports betting.

International Game Technology (IGT-N) — Stockchase

streetTracks Gold E.T.F. (GLD-N) has more volume. Any weakness in the US$ could be a disadvantage to Canadian investors. Anywhere between 2% and 5% of an investor's portfolio should be in gold as a hedge against instability and uncertainty.

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Scientific Games Corp (SGMS-Q)
Their SG Sports platform is an online sports betting platform for soccer, tennis, basketball, etc.
They also partnered with Caesars to launch sports betting at their Casino and racetrack.

Scientific Games Corp (SGMS-Q) — Stockchase

(A Top Pick April 22/04. Then: $20.68) Fundamentals are still good. This business is extremely good. At this level, the stock is very attractive unless something changes dramatically.

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Wynn Resorts Ltd. (WYNN-Q)
Wynn is working on launching a mobile sports betting app, joining the Nevada mobile sports betting applications. They are planning on offering a wide range of functionality and bets on horse races too.

Wynne Resorts Ltd. (WYNN-Q) — Stockchase

It's dead money, but he didn't foresee Omicron and beiking cracking down on Macau casinos. He beats himself up on owning this. He hopes someone takes this company out, which would be its only salvation.

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Las Vegas Sands Corp. (LVS-N)
An IT solutions provider that is launching an all-in-one sports book solutions for SMEs to offer bets. Their ‘sports betting in a box’ includes solutions for hardware, middleware and software, and can even process live betting.

Las Vegas Sands Corp. (LVS-N) — Stockchase

Among the biggest losers on the S&P in 2021 #3, down 37%. It's a terrific casino operator with a huge operation in Macau. It's doubling down in China by selling its Vegas properties. But this suffers during Covid where in China has strong lockdown policies.

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William Hill (WMH-LSE)
The world’s top betting sites who has 25% of the sports betting market in the UK and Ireland. They are looking to venture into the U.S. as well, following the Supreme Court decision. They have a well-established app and has a loyal gambling clientele.