Online gambling stocks performance was broadly stable last week, with the companies analyzed declining by just 0.2% on average, outperforming the Nasdaq Composite’s 2% drop. OPAP led the group with a 6% gain, while Raketech was the weakest performer at -14%, dragging the affiliate segment lower.

Overview

  • Average growth – On average, share prices analyzed decreased by -0.2% in the last week.
  • “Winner” – The most significant leap in our sample of online gambling-focused companies was taken by OPAP with an increase of +6%, followed by Evolution (+4%).
  • “Loser” – Raketech and Entain had the worst weekly performance in our analysis, with a change of -14% and -3%.
  • Comparison to the Nasdaq Composite – Compared to the development of the Nasdaq Composite (-2%), the average development of the online gambling industry looks “better”.

Segment-specific developments

  • Online-focused operators – The shares of online-focused operators included in the analysis saw, on average, an increase of +1%; with DraftKings (+3%) leading the ranking.
  • Multi-channel operators – Among the multi-channel operators that also operate a relevant retail business, OPAP is the “winner” with +6%, while the average share development was broadly flat at 0.0%.
  • Suppliers – The shares of the suppliers included in the analysis saw, on average, an increase of +0.3%. The winner is Evolution with +4%.
  • Affiliates – On average, affiliates’ shares saw a decrease of -3% with Gentoo Media (+4%) leading and Raketech (-14%) coming last.

The share increase of OPAP

OPAP’s positive share development was supported by the company’s ongoing EUR 150 million share buyback programme. On 17 August, the company disclosed that it had repurchased another 549,942 shares on Euronext Athens, providing additional buying support for the stock and a positive signal to investors.

The decline of Raketech shares

Raketech’s shares came under pressure after its Q2 results on 19 August showed revenue from continuing operations falling 17.6% year-on-year to EUR 5.6 million. Operating profit also dropped sharply to around EUR 0.4 million, while the company said the U.S. market remained challenging, likely outweighing the improvement in its EBITDA margin.

 

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