Online casino stocks: is it worth getting started?
Online casino stocks: is it worth getting started?
Gambling has numerous variations. This does not only mean the many great slot machines and table games in arcades and casinos, nor the immense selection of slots and live games in the popular online casinos. Even securities trading is nothing more than gambling. For some years now they have even been going hand in hand: the stock exchange and some large online casino operators and game manufacturers. The stocks of these gambling companies have been in trend for some time. We will investigate whether it is actually worth buying these gambling securities.
Online casino stocks are very popular
Undoubtedly! They are very popular in the truest sense of the word: The shares of online casinos and that of many software companies that are responsible for the development of online games. They are virtually ideal for the stock exchange landscape. Not only because they fit perfectly, but because the stock exchange is also a form of gambling. On the whole, in any case, because there is no 100% guarantee of profits in securities trading either, even with the greatest know-how and the best insider knowledge. But what do the shares of online casinos and game manufacturers bring in? Does it make sense to put your hard-earned money into these securities, or is it more advisable to stay away from it? Questions over questions, and the answers differ.
Gambling and stocks are close together
Who doesn’t know them: games of chance like roulette, poker and black jack or the numerous slot machines? Every casino – whether land-based or online – offers them. It is relatively easy to learn the rules and to master them after a short time. Even if there are different strategies and tactics to increase the chances of winning, it ultimately depends solely on chance or luck whether you win or lose. Seen in this way, the casino games can be compared to stocks. However, there is also a big difference: If the player so wishes, online gambling is only associated with a small financial risk of often only a few cents.
However, you don’t get shares at such amounts. In addition, many online games can be played with real money as well as with other currencies. This minimizes the risk of loss enormously. Of course, things are very different on the stock exchange. You can’t just buy and sell securities just for fun.
Online casinos that dared to go public
The firm customer base of the numerous online gambling providers is growing steadily. This is partly due to the facts already described above, but also due to the many exciting slots and attractive offers, which include, for example, a welcome bonus or a variety of free spins. Quite a few operators also offer a special online casino bonus code or even real money star money without deposit. Many of these great and fair bonus programs are a real win for new customers in particular, and online casinos can easily afford them, since many of them have a customer base that far exceeds the one million mark. The respective sales are of course correspondingly high, which often even go into the billions. This is also the reason why many online companies go public. The market is far from exhausted, so it can be assumed that the entire industry will continue to grow in the future. For the securities of the individual companies, this means that stocks from online casinos and online game manufacturers are generally worthwhile.
Gambling providers who have ventured onto the stock exchange include 888Casino, Bwin, Unibet, Ladbrokes and GVC Holdings, to name just a few of the best known. The most well-known companies among the software manufacturers are NetEnt and Playtech. If you follow the current prices, you will quickly notice that these are subject to short-term fluctuations. In the long term, however, that means nothing, because the market assumes that they will grow more and more in the future.
Siphon higher returns through distributed risk
Although the online gaming industry is still at the very beginning, the competitive pressure among the individual operators of online casinos is very high. The Internet offers enough space and so new providers are constantly flocking to the market. It is perfectly clear to all operators, including the largest of them, that there is no time to rest on their laurels. Because what is growing in new companies is mostly young, extremely clever and very innovative. In the past, this has often led to emigration from the big casinos.
So if you want to invest your money in stocks in the gaming industry, you should make sure about the preferred online casino in advance. In addition to extensive general information, this also includes customer opinions, ratings and other comparisons. The most sensible thing is to spread your money evenly across different stocks, rather than betting everything on one company. In addition, it is advisable not to get in too much money at first, but rather to gradually buy more if you have a little more experience. Only those who trade online casino stocks wisely will benefit from a long-term return.