Financial experts from far and wide said on Monday that MGM stocks are a solid investment.
According to new reporting from the Wall Street Journal, casino stocks like MGM Resorts were clobbered in 2020. Normally viewed as a solid investment, the COVID-19 pandemic changed everything.
Stock analysts are offering a ray sunshine to investors who are looking for some solid Investment choices. The standard casino stocks are down from 25 to 40%, but that’s not the case with sports betting stocks. DraftKings (DKNG on the NASDAQ) and Penn National Gaming (PENN) have exploded.
Stock analysts say even earlier investors, ‘are making money hand over fist.’ According to the findings of analysts closely monitoring sports betting stocks, ‘the stocks have steadily gone up in value since the companies have gone public.’
MGM Stock Can Be Bought At A Discount
Some stock market watchers are suggesting that although casinos and resorts are suffering due to COVID-19, MGMBet is worth looking at. The sports betting stock through MGM can be bought at a discount now, due to their overall portfolio being down.
The U.S. Supreme Court’s historic 2018 ruling that overturned a national ban on sports betting opened the floodgates for a $150 billion plus new industry. With close to two dozen states having some form of legalized sports betting, ‘it’s an industry that will continue to grow.’
Although MGM's traditional casino stocks will turn in substantial losses in 2020, overall they will benefit through the sports betting additions. Experts weighing in on the sports betting stocks said that MGM’s 21 casinos will benefit greatly by 2020 in the amount of $6.5 billion due to their sports betting stocks.
Sports Betting Investors Will Gain Substantially
In a business maneuver that surprised some this year, MGM formed a partnership with IAC/ interactivecorp, which is the parent company of Match.com. A source familiar with that partnership said that the $1 billion dollar stake IAC produced was done on sports betting speculation.