Flutter, GVC Holdings Among Firms That Have Recovered Their Losses

Published on May 20th, 2020 3:30 pm EST

At the height of the Coronavirus meltdown, things were looking pretty dire for some of the world's largest online gambling firms.

After all, with the sports world being paused, these firms were going to miss out on hundreds of millions of dollars in revenues.

At the height of the meltdown in March, Flutter Entertainment dropped by over 30%, William Hill dropped by roughly 80% and GVC Holdings (parent company of partypoker) dropped by roughly 60%.

Things were that bad.

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Over the course of just a few months, these firms have all more or less recovered their losses.

Flutter Entertainment, which just completed a merger with Pokerstars, is far above where it was before March, while GVC and William Hill have both more or less recovered their losses.

While revenues are certainly down due to a lack of sports betting (currently), the market is forward-looking and sees much brighter skies ahead.

Three things have been instrumental in leading publicly traded online gambling companies higher:

1) Surge in interest in online poker and online casino offerings due to lockdowns

2) Re-opening sports leagues. The UFC and Bundesliga are now back in operation, while La Liga, Serie A and the English Premier League are expected to follow suit in June.

3) Significantly stronger stock market.

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Anybody who scooped up shares of these companies at the height of the panic enjoyed very significant short-term gains.

Given the likely long-term impact of the Coronavirus on our society's day-to-day habits, these companies will likely continue to do well in the years ahead. In addition, Euro 2021, World Cup 2022 and two Olympics are scheduled to take place over the next couple of years, just to name a few.

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Filed Under: Other Poker News