Best iGaming stocks to watch in 2019
Internet gaming and gambling stocks, in general, took a hit last year. Some of the most prominent players in the industry lost two-digit percentages of their price. Things aren’t looking as gloom in 2019, though. Expert brokers predict significant gains in the year to come. The iGaming industry will likely see some nice profit. With a significant number of mergers, expansions in new markets and other factors, wanting to get it on the action seems like a no-brainer.
With that in mind, here are some of the best stocks to keep an eye on in the year to come. These companies had some troubles last year, but the experts think they will recover and provide significant gains for investors.
Promising stocks in 2019
Cherry AB (CHER-B)
Cherry AB is a Sweden-based service company with a focus on casino and Internet gambling. Sweden recently granted the company 8 licences for online gambling and sports betting. Cherry will surely utilize these licenses to their full potential. Cherry employs over 1,400 people and is headquartered in Stockholm.
With Sweden on its way to ending the state monopoly on gambling services, the future for companies like Cherry is looking nice. The opportunities don’t come without a threat: Sweden’s population seems to overwhelmingly support regulating gambling marketing in the country. Regardless of what the regulating bodies decide regarding advertising restrictions, Sweden’s gambling market is freeing up and Cherry plans to make most of it.
The company stock costs 87.9 SEK today. Experts predict that this number will surpass 120 SEK by the end of the fiscal year. The growth rate will likely surpass 40%. With this in mind, CHER-B is a solid bet for 2019.
GVC Holdings PLC (LON:GVC)
LON:GVC is a great player in the gambling market. The company has great fundamentals and the experts of the industry are expecting it to outperform the market in 2019.
GVC Holdings PLC reported semi annual 2018 revenues of 1.24bn. This missed the 1.91bn consensus estimate of the 2 analysts following the company. This was 155.03% above the prior year’s period results. Last July the company’s stock price hit the high point at an impressive 1,170 GBX. With the price being 651 GBX, now is a great time to get in on the action. GVC seems to be a path to a successful year in 2019.
The Stars Group (TSG)
The Stars Group is a company operating in multiple industries. They tackle design, development, manufacture, distribution and sale of gaming products and services. TSG, formerly known as Amaya Inc. is a company operating from Toronto, Canada.
TSG, like almost all other gaming companies, lost a bunch of money last year. The hardship hasn’t stifled the company’s ambition. TSG recently agreed to a 4.7 billion USD deal to buy Sky Betting & Gaming. This will make the organization a force to be reckoned with in the UK. The United Kingdom is famously the largest gambling economy in the World.
TSG is also trying to expand into the US and is also making moves on the Australian gambling market, which is the second largest in the World. The company acquired an 80% stake in CrownBet and William Hill Australia.
Last year TSG hit a high point of 51.74 CAD. Today the price is less than half of that: 21.98 CAD. With this in mind, now is a great time to buy in with the company. Experts believe that the company will make significant progress in 2019.
Scientific Games Corp (SGMS)
SGMS is a sports bookmaker, gaming app developer and online poker provider among other things. Scientific Games is the only American-based company on the list. With revenues in billions of dollars, it’s a major player in the market.
The United States is on track to liberalize gambling laws. This opens incredibly wide avenues for companies like SGMS. After the news about the USA deciding to pull back on its restrictions regarding the industry, SGMS stock jumped 11%.
Matt Davey, GCE of Scientific Games division at SG Digital says:
“Legalized sports betting is an exciting prospect for Scientific Games, and we ensure that our product offering is fully compliant with all forthcoming regulations. We plan to hit the ground running with our OpenBet product suite and our integrated systems technology to create a seamless experience for our customers and their players.”
SGMS is a huge company with good fundamentals and will also be a great pick to watch for in 2019.