Macquarie's Positive Outlook on US Gambling Market
Date: 2024-03-28 Author: Dima Zakharov Categories: EVENTS
Cautious Optimism Amidst Challenges
Analysts at Macquarie Equity Research have expressed cautious optimism regarding consumer behavior within the US gambling market. Despite initial challenges faced in January, consumer behavior showed signs of stability during February and March.
Insights from Consumer Bright Ideas Conference
Macquarie released a research note following their 9th Annual Consumer Bright Ideas Conference, where observations were made concerning the behavior of over 20 B2C businesses. Despite potential risks such as declining saving rates and increasing credit card delinquencies, analysts maintain a positive outlook on consumer activities.
Online Gambling Sector Growth
Of particular interest is the online gambling sector, where Macquarie remains bullish. January saw a 31% year-on-year growth in US online gambling, driven by increases in online sports betting and iGaming. However, challenges may arise for operators without robust same-game parlay offerings, especially after events like the Super Bowl.
Forecasts and Company Outlook
Macquarie forecasts a strong growth rate of 23% for the online gambling market in the first quarter of 2024, with a projected 19% increase for the full year. Penn Entertainment and its venture ESPN Bet are highlighted as having significant potential upside, with further integration opportunities with the ESPN app anticipated for future growth.
