Best and Worst Performing iGaming Companies of 2019

Best and Worst Performing iGaming Companies of 2019

Anas Bouargane 04/12/2019 4

2020 is just around the corner and there’s not much left to discuss in the short term growth of almost every single company. The 11.11 Chinese sale, as well as the Black Friday and Cyber Monday sales, have passed us without providing too much positive news for the iGaming industry.

In most cases, we see these two extremely profitable days sky-rocket a company’s stock prices, but there were some in the industry we will discuss today that simply could not catch up to the hype.

In this article, we will talk about the companies in the iGaming industry that managed to perform amazingly well in 2019 despite the fact that the whole industry seems to get less profitable due to the regulation, decrease of users of the best Australian mobile casinos and the overall increase within the operating costs. But no need to worry, every company is a long-term venture, so the future always has something new to bring. Let’s find out who the fortunate and unfortunate are of 2020.

WORST PERFORMING COMPANIES

Let’s start off with the worst-performing companies as it will be easier to compare them to the best-performing ones.

It will also help us finish the article on a positive note and have an optimistic outlook for the future of the industry.

Catena Media

Catena Media isn’t necessarily a prime player in the iGaming industry, meaning that they don’t really do any operations within this sector. However, they are active participants in generating leads for their client casinos and various other gambling platforms.

This year has unfortunately been rather tough for Catena Media due to the resurgence of small businesses worldwide. The online platforms have managed to gain notoriety across gamblers of every age and ethnicity, which gave individual entrepreneurs the perfect opportunity to step in and take a chunk out of the market.

Considering that these entrepreneurs were numbering in the thousands, Catena Media as a corporation failed to keep up with all of them, thus slipping at some points 53% on a regular trading day. At the start of the year, Catena Media was doing okay with a $10.53 price tag on its stocks, but in December 2019 they managed to slip to just $4.20 per share.

Catena Media


But the team thinks that the damage can be fixed through their entrance in the Colorado sports betting market next year as well as a relief from Google’s gambling ad bans.

Kindred Group

Kindred Group, much like every other major online gambling platform is a combination of several companies turned into a giant corporation. The company claims that it services more than 25 million customers on a monthly basis, which is not hard to believe considering the brand identity and the marketing efforts the company has gone through.

However, it seems that those marketing efforts were not enough to keep them above the waters in 2019, as the stock price indicates that the company has been going downhill for a while now.

 

Kindred Group

 

The downhill slip started in July 2019, when the company released its revenue report showing a serious deficit in funding and regular profit. This caused the stock price to slump down more than 20% overnight. Needless to say from the graph, the company has not managed to recover from it yet.

BEST PERFORMING COMPANIES

Now it’s time to focus our attention on the best-performing companies and try to find out what lead to their dominance of the iGaming market in 2019.

Flutter Entertainment

Flutter Entertainment has had an amazing year in 2019. The company was able to use its child company, Paddy Power to purchase multiple high-value assets in different countries, but according to reports, the corporation is now looking to sell its favorite subsidiary.

Considering that this news affected the Flutter stock prices very positively means that investors are as confident in the sale as the company itself. Selling it for 10 billion GBP would greatly boost the company’s ability to conduct new operations down the line.

Flutter Entertainment

 

It’s not surprising to see a nearly 40% gain for Flutter Entertainment within just one year, considering how many punters have been swarming online platforms largely owned by the corporation in question.

It is likely that Flutter will continue to peak as we enter 2020 considering both sell or no-sell of its subsidiary Paddy Power.

The Stars Group

The Stars Group managed to ride the 2019 waves pretty easily with their PokerStars ownership. Thanks to the massive interest in Poker which will not be dying out within the next couple of decades, the investors of The Stars Group are feeling pretty confident of holding on to their assets and letting the company grow, also knowing that there’s a merger coming.

Stars Group

 

According to the 2019 Q3 reports, the company had been making significant gains in the revenue department. Almost $2 million in revenue with most of it as profit managed to boost the company’s notoriety with fresh investors, thus convincing them to long their positions.

Considering the nearly 50% growth that the company saw within just a year, it’s likely that The Stars Group will remain a favorite of most investors in the long run.

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  • Justin Williams

    Interesting article

  • Tom Roberts

    Good breakdown, thanks for sharing

  • Robert Woodstock

    I like the fact that you have included graphs in your post

  • Nick Harris

    Excellent article

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Anas Bouargane

Business Expert

Anas is the founder of CEF Académie, a platform that provides guidance and support for those willing to study in France. He previously interned at AlphaSense. Anas holds a bachelor degree in applied economics from the University Paris Sud.

   

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