...
DFS & Sports Betting Tools, Exclusive Content, and Expert Chat
 
DFS & Sports Betting Tools, Exclusive Content, and Expert Chat
 
Home / HoldCrunch
Tag:

HoldCrunch

DraftKings and FanDuel are well-positioned to absorb tax increases while maintaining their “product superiority,” according to HoldCrunch CEO Tom Johnson. In a conversation with Barry Jonas of Truist Securities, Johnson explained that both operators could raise prices across the board, potentially adding $240 million in revenue, more than doubling the expected tax hike costs.

However, Johnson anticipates any price changes will be gradual, with both companies likely moving in tandem rather than making sudden adjustments. He also highlighted that HoldCrunch would closely monitor NBA odds this year, as FanDuel’s more favorable odds during the 2023-24 season led to DraftKings losing handle share.

ESPN Bet’s Strong Debut

Penn Entertainment is taking a more disciplined approach with ESPN Bet, focusing less on heavy promotions. Analysts noted that ESPN Bet’s competitive pricing during NFL Week 1 is a positive sign for the platform’s future. Jonas expressed optimism, maintaining a buy rating on Penn’s stock, citing ESPN Bet’s growth potential as a key driver for share price upside.

Overview of Other Sports Betting Operators

Jonas provided a brief overview of several other operators:

  • BetMGM: Maintained competitive odds throughout the year, just behind the market leaders.
  • Caesars: “Returned to the pack” with a higher hold margin, resulting in reduced handle share.
  • Fanatics: Noted for the “least favorable odds” and operating with the highest hold since June.

Flutter Investor Day on the Horizon

Flutter, the parent company of FanDuel, will host an investor day on September 25 in New York City. The event will focus on future growth potential and capital allocation opportunities. Additionally, Flutter is expected to discuss its 56% stake in NSX Group, a top operator in Brazil’s sports betting market, which Flutter purchased for $350 million.

Key Industry Developments

  • BetMGM & Gannett Partnership: BetMGM became the preferred sportsbook partner for USA TODAY Sports, providing betting odds across the USA TODAY Network, which spans over 200 markets.
  • Fanatics Launches in DC: Fanatics debuted its mobile sportsbook in Washington DC, partnering with the Washington Spirit soccer team. The launch comes as DC’s sports betting market undergoes changes, allowing mobile sportsbooks to operate across the district.
  • Olympic Betting Surge: FanDuel reported that betting on the 2024 Summer Olympics tripled compared to the Tokyo 2021 games, with women’s sports making up 24% of the total handle.
  • Caesars Launches in Maine: Caesars placed the first retail sports bets in Maine, partnered with First Tracks Investments at Oddfellahs sports venue.
  • DraftKings Opens Kentucky Sportsbook: DraftKings opened a new sportsbook at The Mint Gaming Hall Bowling Green in Kentucky, featuring kiosks, betting windows, and a sports lounge.

Steady Growth and Strategic Adjustments Expected

With a growing market and new partnerships, DraftKings and FanDuel are expected to continue dominating the US sports betting scene. As they gradually adjust their pricing strategies to account for rising taxes, the focus remains on product innovation and customer acquisition, particularly as the NFL season kicks into high gear.

0 comments
0 FacebookTwitterPinterestEmail

Subscribe to our newsletter

The best bets and resources to make you more profitable

    Our Company

    At WIN DAILY®, our motto is to “change your game and change your life.” We want to help you win that bet, parlay, and big DFS tournament and have some fun while you do. Our goal is to help you turn your love of sports into a profit center while playing responsibly and enjoying your time with a like-minded community.

    ©2024 WIN DAILY®. ALL RIGHTS RESERVED.

    This site is 100% for entertainment purposes only and does not involve real money betting. If you or someone you know has a gambling problem and wants help, call 1-800 GAMBLER. This service is intended for adult users only.
    -
    00:00
    00:00
    Update Required Flash plugin
    -
    00:00
    00:00