AUS
NZ
UK
CA
USA
IND
_10_04_2024_16_38_50_427275.jpg)
Highlights
- Ontario became the first Canadian province to open a legal online sports betting market on Monday, April 4.
- This seems to have triggered some interest in gambling stocks like Playmaker Capital (TSXV:PMKR), Rivalry (TSXV:RVLY) and Gamehost (TSX:GH).
- Single-event sports wagering became legal in the country last year in August), after Bill C-218 became law.
Ontario became the first Canadian province to open a legal online sports betting market on Monday, April 4. This seems to have triggered some interest in gambling stocks like Playmaker Capital (TSXV:PMKR), Rivalry (TSXV:RVLY) and Gamehost (TSX:GH).
Single-event sports wagering became legal in the country last year in August), after Bill C-218 became law.
Many operators are seeking registration in Ontario’s newly launched iGaming market, where people can reportedly bet on casino games, sports, and other gambling activities.
Amid this new development, let us talk about the above-mentioned Canadian gambling stocks.
Playmaker Capital Inc (TSXV:PMKR)
Playmaker Capital is said to have participated in a panel sponsored by the Canadian Gaming Association at the TSX to begin single sports betting in Ontario.
Stocks of this junior online gambling firm swelled by almost 43 per cent in the last nine months.
It closed at C$ 0.6 apiece on Monday, having climbed by approximately 69 per cent from its 52-week low of C$ 0.35 (July 19, 2021).
Also read: RY, BMO and CIBC: 3 TSX bank stocks to buy under $155 in April
Rivalry Corp (TSXV:RVLY)
Founded in 2016, Rivalry Corp is an online wagering company that operates in over 20 countries. The Toronto-headquartered company currently has a market capitalization (all classes) of C$ 87 million.
The international sports betting company also launched its esports and traditions sports betting operations in Ontario on April 4.
Stocks of Rivalry Corp closed at C$ 1.575 apiece on Monday, approximately 27 per cent up from a 52-week low of C$ 1.24 (January 10).
Also read: LSPD and CTS: 2 TSX tech stocks to see as Elon Musk invests in Twitter
Gamehost Inc (TSX: GH)
Gamehost reported its fourth-quarter results earlier in March, which said that its operating revenue increased 52.8 per cent year-on-year (YoY) to C$ 13.6 million in Q4 FY2021.
However, its profit dropped by 5.6 per cent YoY to C$ 1.7 million in the latest quarter.
Stocks of Gamehost jumped by nearly 30 per cent year-to-date (YTD) and closed at C$ 9 per share on Monday.
Bottomline
The sports betting and online gaming industry could draw increased attention, especially that of sports fans, as Ontario launches a regulated online sports betting market.
While this move could help improve gaming experience and consumer protection, investors should still ideally learn more about companies before chasing any trend.
Also read: TFII and ALC: 2 TSX shipping stocks to aid your supply chain concerns?
Please note, the above content constitutes a very preliminary observation based on the industry, and is of limited scope without any in-depth fundamental valuation or technical analysis. Any interest in stocks or sectors should be thoroughly evaluated taking into consideration the associated risks.
