HSBC
U.S. sportsbooks predict the Paris Olympics will be the most bet-heavy Olympics in the history of legal sports betting.
Caesars Sportsbook (NASDAQ: CZR) Chris Pearce said the company expects its sports betting volume to be 8 to 10 times the total amount It was seen during the Tokyo Olympics. “We expect U.S. sports betting interest in the game will undoubtedly be focused on the basketball court, with some of the NBA’s biggest stars taking part,” he noted.
One major reason is that sports betting now has 16 more states than it did during the 2021 Tokyo Olympics. Nebraska, Ohio, South Dakota, Vermont, Washington, Wisconsin and West Virginia mean 40 percent of U.S. adults can legally bet on the Olympics, said Joe Maloney, spokesman for the American Gaming Association.
Other factors predicting a surge in Olympic sports betting include high interest in the U.S. basketball and soccer teams and the ease of viewing many events in Paris compared to the time difference with the Olympics outside of Asia. Some sportsbooks have also highlighted rising interest in lesser-known Olympic events.
The Paris Olympics come at a time when the sports betting industry is typically slow. Major players like to see a high level of interest in their parlays as they typically offer higher holding rates.
The sports betting industry will release its first major earnings report on August 1, when DraftKings (NASDAQ:DKNG)Report. The Boston-based company’s profit guidance and promotional background comments will be closely watched.
Roundhill Sports Betting and iGaming ETF (NYSE: BETZ) has gained 1.4% so far this year. The top three holdings are Flutter Entertainment (FLUT), DraftKings (DKNG) and Churchill Downs (CHDN).
