The National Football League (NFL) is the most gambled on sport in North America. In the late 2010s, the United States Supreme Court struck down a federal ban on single-game sports betting. This has ignited a sports gambling renaissance in the United States. The NFL opened its 104th regular season last Thursday, September 7. Now, as we move into week 2, I want to look at two betting stocks that are worth snatching up right now.
DraftKings (NASDAQ:DKNG) is a Boston-based company that operates digital sports entertainment and gaming. Shares of this betting stock have increased 11% month-over-month as of close on Thursday, September 14. The stock has soared 184% so far in 2023.
This company released its second quarter (Q2) fiscal 2023 earnings on August 3. Monthly unique players (MUPs) climbed 44% year-over-year to 2.1 million in Q2 2023. Moreover, average revenue per MUP rose 33% to $137. The strong quarter inspired DraftKings to raise its revenue and adjusted EBITDA guidance for the full year. This stock is trading in favourable value territory compared to its industry peers at the time of this writing.
MGM Resorts (NYSE:MGM) is a Las Vegas-based company that owns and operates casino, hotel, and entertainment resorts in the United States and Mexico. This betting stock has dropped 5.8% over the past month. Its shares are still up 24% in the year-to-date period.
In Q2 2023, MGM resorts posted record consolidated revenue of $3.9 billion – up 21% compared to the previous year. Meanwhile, it reported consolidated adjusted EBITDA of $1.1 billion. MGM Resorts is still geared up for strong growth going forward.