Sports Betting

News:
March 17, 2021

DraftKings and FanDuel break to big leads in sports betting race

 * A new survey from Jefferies indicates that a majority of users are inclined to stick with one online sports betting platform. Analyst David Katz says the preference of 62% of bettors to use a single platform makes the timing on market entrance and market share gain crucial. That market share grab is even more important with more states continuing to legalize and launch sports betting.
 * Katz and team says the firm's survey results are clearly favorable for top sports betting picks DraftKings (DKNG +1.2%) Flutter Entertainment's (OTCPK:PDYPY) FanDuel.
 * "Both DraftKings and FanDuel benefit from significant DFS presence and experience in the US. Respondents are favoring the two companies' user interface over others. In addition, the two companies have continued to promote and market aggressively, which has proven to be effective in gaining and maintaining market share."
 * While seen being still in formative stages, Jefferies is also positive on Caesars Entertainment (NASDAQ:CZR)-William Hill (OTCPK:WIMHY)and BetMGM (NYSE:MGM)-Entain (OTCPK:GMVHF). Both entities are noted to have extensive resources and are moving towards vertical integration, which is expected to help them go to market faster and improve product innovation.
 * Not mentioned as prominently is Penn National Gaming (PENN -3.6%), which Jefferies tags with a Hold rating.