Wall Street Bets is a roundup of recent notes from analysts covering the gambling industry.
VICI vs. GLPI
Jefferies’s David Katz on November 16 examined the prospects for VICI Properties and Gaming & Leisure Properties.
“The negativity on VICI has risen of late based on the ongoing regional master lease discussions with Caesars and more recently the announced deal with Golden Entertainment at a 7.5%-cap,” Katz wrote. “Whether this pricing is appropriate or aggressive coupled with discussions of growth potential coupled with GLPI announcing its growth deals, which appear more active in gaming, albeit including some elements that bear higher risk in our view. Given the yield differential of 5.91% vs. 6.99% for VICI vs. GLPI, respectively, investors debate whether this should narrow. We believe it should.”
Bally’s price target up
Barry Jonas of Truist Securities on November 13 looked at Bally’s.
“Construction continues in Chicago and Baton Rouge, while Bally’s attempts to gain NY license (details by year-end) and works on a broader Vegas stadium project,” Jonas wrote. “Notably, the Intralot deal closed in October, (Bally’s ~58% shareholder) which we think has primarily driven Bally’s stock price run lately. At the same time, we see continued volatility given limited liquidity, elevated leverage and international risks (e.g., U.K. tax increases). We keep our 2025E/26E EBITDAR mostly flat but will adjust for our post Intralot M&A model. We move our price target to $18 (from $13).”
Gambing.com ratings remain the same
Chad Beynon of Macquarie on November 14 reviewed Gambing.com.
“Gambling.com shares are -64% year-to-date (versus +16% S&P 500), which we attribute to regulatory headwinds (including slowing state legalization in ’24/25), poor organic search dynamics (started in July), and now an ‘investor digestion’ period as management communicates a clear transition of the business to more data services,” Beynon wrote. “While we admit we were wrong in not predicting this further decline, at 4x our ’26E EBITDA, we are sticking with our rating given management’s communication around performance marketing stability, coupled with massive sports data growth.”
Light & Wonder’s transition to Australian market
Light & Wonder’s transition to the Australian stock market was noted by Truist’s Jonas on November 13.
“Following the company’s planned delisting from the Nasdaq, effective on 11/13/25, to focus its primary listing on the Australian Securities Exchange (ASX), we are transitioning our coverage of the company to the ASX listed LNW-AUS ticker,” Jonas wrote. “Our estimates and Buy rating remain unchanged at this time; however, with this transition, we convert our valuation to an AUD-based price target of $190 (vs. our prior USD-based price target of $125).”