OGQ: Rush Street and Kindred are the top growth shares in Q1/2024

Once a quarter, the Online Gambling Quarterly provides an overview of the best-performing shares of online gambling operators and service providers. The biggest leap among the analyzed “pure” online gambling companies was taken by Rush Street with an increase of +62% over the past three months.

Share developments

Below are the key results of the analyses – find here more insights:

• “Winner” – The biggest leap in the sample of online gambling-focused companies was taken by Rush Street with an increase of +62% over the past three months; followed by Kindred (+35%).
• “Loser” –  Bet-at-Home and Catena Media had the worst 3-month performance in the analysis with a decrease of -15% and -11%.
• Average growth –  On average, share prices analyzed increased by +4%.

• Comparison to Nasdaq Composite – Compared to the 3-month development of the Nasdaq Composite (+11%), the average growth of the online gambling industry looks “worse”.
• Multi-channel operators – Among the multi-channel operators that also operate a relevant retail business, MGM is the “winner” with a share development of +5% over the past months.

P/E ratios

The Online Gambling Quarterly also analyzed the current P/E ratios for several companies. The ratio provides a good picture of the value of the company.

• Zeal/Tipp24 has the highest P/E ratio – Zeal/Tipp24 leads the ranking with a P/E ratio of 58.
• Average P/E ratio – The average P/E ratio of the sample analyzed is 31 (median of 29).

Market capitalization in relation to Q4/2023 revenues

Traditionally, market capitalization is correlated to earnings-related figures. But in times of rapidly changing markets and a relevant number of new and growing market players, earnings-related analyses may be less conclusive. Therefore, the researchers also set the market capitalization in relation to the most recent quarterly revenues (in this analysis: revenues in Q4/2023).

For operators, the Online Gambling Quarterly took the net gaming revenues, and for all others (tech providers, affiliates, …) they took the revenue related to online gambling (if reported). In some cases, the revenues reported might not be entirely comparable, but the analysis indicates the market dynamics.

• Evolution has the highest market cap / revenue ratio – Evolution leads the ranking in market capitalization in relation to the most recent quarterly revenue with 51; it is followed by Zeal/Tipp24 (26) and NeoGames (20).
• Average ratio – The average ratio of the companies analyzed is 12 (median of 7).

For more financial analyses (e.g. casino revenue growth,…) have a look at the full report here.