When is the right time to buy sports betting stocks?

  • Sports betting stocks are finally beginning to rebound after a massive crash, and this is likely a good time to invest.
  • While the exact timetable for a return to normalcy is unclear, the return of sports is inevitable.
  • Most sports betting stocks are seeing slow growth and will likely soar once casinos reopen and sports return.
  • International sports betting companies could be a safer investment since their holdings are more diversified.

LAS VEGASSports betting stocks around the world have taken a hit since the onset of the Coronavirus crisis. With most major sports organizations suspending play and casinos closing their doors until further notice, it could be months before things return to normal.

Buying stock isn’t about waiting until things return to normal, however—it’s supposed to be predictive. The only way to profit is to predict trends before the market catches on.

As with all stocks, the goal with stocks for legal sports betting companies is to buy low and sell high. The ideal scenario would be to purchase stock right when prices are at their lowest and sell when they recover to normal or above normal levels.

Sports betting stock prices appear to have reached their lowest point in mid-March, but companies are still in flux, and prices are recovering slowly.

Las Vegas Sands (LVS) is one of the largest casino corporations in the world and a good baseline to use for sports betting stocks. LVS saw a precipitous drop in stock price back in February and has fluctuated heavily in the two months since, but there are indications that steady growth could be on the horizon.

LVS’s stock price has finally begun to rebound over the last month and the company’s Asian markets, primarily Singapore and Macao, are expected to return to near normal levels by 2021.

LVS isn’t necessarily indicative of all stocks, however, as the company has more liquidity and larger cash reserves than many smaller sports betting companies, meaning that it can better sustain long periods without revenue.

When To Purchase Stocks

Purchasing stock is always a risk, but the worst effects of the financial crisis on sports betting stock prices appears to be in the rear-view mirror.

International sports betting stocks appear to be regaining its footing after a massive crash in March and prices have halted their steep decline and begun to steadily rebound.

The return of sports seems incredibly distant, but it is inevitable that they will return. When they do, sports betting stocks will likely increase dramatically. With markets as a whole seemingly no longer in danger of a total collapse, now appears to be a good time to purchase sports betting stocks.

International sports betting stocks, in particular, seem primed for a big rebound, as their diversified holdings make them more secure and they have a foothold in betting markets that will likely reopen before the U.S.

This window of low stock prices is fleeting and there might not be another opportunity like this for inexperienced investors for many years.

Recent Trends For Top Sports Betting Stocks

Most sports betting stocks peaked in mid-February and crashed in mid-March, but all have seen a steady rebound in price over the last several months. Here are some price trends from a few of the biggest sports betting stocks in the world:

Las Vegas Sands (LVS)

  • 6-month high price: $74.06 (January 17, 2020)
  • 6-month low price: $37.68 (March 18, 2020)
  • Low/high percentage difference: 49.1%
  • 14-day change in price: -$1.66 (-3.57%)

Caesars Entertainment Corporation (CZR)

  • 6-month high price: $14.63 (February 20, 2020)
  • 6-month low price: $3.52 (March 18, 2020)
  • Low/high percentage difference: 75.9%
  • 14-day change in price: +$1.45 (18.01%)

MGM Resorts International (MGM)

  • 6-month high price: $34.54 (January 17, 2020)
  • 6-month low price: $7.14 (March 18, 2020)
  • Low/high percentage difference: 79.3%
  • 14-day change in price: +$0.90 (5.98%)

Penn National Gaming (PENN)

  • 6-month high price: $38.28 (February 13, 2020)
  • 6-month low price: $4.52 (March 18, 2020)
  • Low/high percentage difference: 88.2%
  • 14-day change in price: +$0.76 (5.05%)

William Hill (WIMHF)

  • 6-month high price: $2.79 (February 14, 2020)
  • 6-month low price: $0.49 (March 19, 2020)
  • Low/high percentage difference: 82.4%
  • 14-day change in price: -$0.08 (-5.8%)

Churchill Downs, Inc. (CHDN)

  • 6-month high price: $2.79 (February 14, 2020)
  • 6-month low price: $0.49 (March 19, 2020)
  • Low/high percentage difference: 82.4%
  • 14-day change in price: +$1.50 (1.53%)

BYD Company (BYD)

  • 6-month high price: $164.37 (February 18, 2020)
  • 6-month low price: $61.05 (March 18, 2020)
  • Low/high percentage difference: 62.9%
  • 14-day change in price: +$0.32 (5.85%)

Scientific Games Corporation (SGMS)

  • 6-month high price: $31.58 (November 8, 2019)
  • 6-month low price: $4.09 (March 18, 2020)
  • Low/high percentage difference: 87%
  • 14-day change in price: +$1.35 (13.42%)

News tags: | | | | | | | | | | | | | | | | | | | | | |