It is no secret that the world of iGaming is ever-expanding. Statistics show that an average of 50 new games sees the light of the Internet every month.
The ’20s we live in are, if you may, the roaring twenties of online gambling and bookmaking activities. If it seems unlikely, check out the extended network of online casinos – we assure you that their supply of gaming products is rising. A platform where you can keep track of these digital clubhouses, their promotional periods, and the providers to keep an eye on is https://kingcasinobonus.co.uk/.
After reading more on the matter, you might wonder how I participate in this industry that has recently met hypergrowth? Our first piece of advice is this: you should scrutinize the trends, as dizzying growth makes for a potentially volatile medium.
The prominence of the iGaming market
We should first look at the numbers – the most significant number in this business field is the Gross Gaming Revenue (GGR). From 2012 to 2018, this amount saw a growth of 2.3%, reaching a GGR of £40 billion at the end of the timeframe. Another critical aspect of the industry’s expansion is the increase of mobile-compatible gaming websites and apps created specifically for smartphones and similar gadgets.
With the spread of iGaming providers, products, and distribution methods, regulatory bodies have kept a keen eye on the market. This means that, if you wish to buy stocks, your safest bet (pun not intended) is to study the most significant companies that work under a licence. Out of those, we shall mention three prominent players in the field:
1. 888 Holdings
This company administers one of the oldest online casinos and has a plethora of brands under its name. In 2005, it registered with the London Stock Exchange and secured a spot in the FTSE 250. It means that it’s a part of the top 350 companies listed with the LTSE.
Its market cap is around £600, lower than that of other iGaming conglomerates, but buying stocks from 888 means treading waters safer than most.
While 888 Holdings specialises in hosting multiple web casinos, Playtech has made itself a software operator. The firm offers both B2B services, like platforms for various gambling activities. In the B2C department, Playtech acts as a game provider that is quite prolific in its titles.
Its market cap exceeds £1 billion as we speak. Those who wish to buy stocks from Playtech will also find that its situation has been relatively stable from this point of view. As a result, entering the stock market as a Playtech shareholder might not be as much of a gamble as you would have first expected.
3. GVC Holdings
Our list wouldn’t have been complete without GVC. A relatively new actor in this scene, GVC started its activity in 2004 and quickly became an FTSE 100 name on the London Stock Exchange. Its most significant recent business move was acquiring the Ladbrokes Coral group; this merger gives it a market cap of over £3.5 billion. Of course, the GVC share price will be significantly higher than that of an 888 or even a Playtech one, nearing £1000 in the current climate.
However, investing in a company that has only been on the rise in recent years doesn’t sound half bad.
Final Considerations and Tips
The online gaming industry has recently been on the rise. Public interest and the production of gambling software is consistently high. We have assembled a list of names that have proven consistency over time, despite the stock market’s general unpredictability. Those who wish to invest in this decidedly new sector of the economy should always consider their risk tolerance and day-to-day expenditures.
Moreover, the tip to end all tips is the following: the stock market is highly sensitive to short-term events, so making a short-lived investment might not be the best choice. On the other hand, an acquisition made with the long term in mind will allow the market to get back in shape. Regardless of the events, the Stock Exchange will bounce back eventually, and it is mostly a matter of timing.