TLDR
Contents
- Investor focus centers on five gaming sector equities — DraftKings, MGM, PENN, Caesars, and Las Vegas Sands — as 2026 begins
- Market watchers project approximately 30% growth potential for DraftKings after its entry into prediction markets
- MGM achieved all-time high revenues of $17.2 billion during 2024, representing a 7% annual increase
- PENN terminated its ESPN Bet collaboration in November 2025 following disappointing performance and plans to rebrand as theScore Bet
- Las Vegas Sands discontinued its digital gaming division in October 2025 to concentrate on Macau and Singapore markets
The gaming sector spotlight shines on five casino stocks as 2026 unfolds, driven by elevated trading activity and fresh analyst reports.
DraftKings entered the public markets via SPAC merger in 2020. As the sole pure-play digital gambling entity among prominent casino equities, it commands approximately 34% of America’s online sports wagering landscape. FanDuel maintains market leadership at 44%.
The company’s revenues surged 30% throughout 2024, reaching $4.77 billion, though profitability remains elusive. Operating deficits improved to $609 million. By Q3 2025, DraftKings counted 3.6 million monthly unique paying customers.
Market analysts track approximately 30% upside opportunity after DraftKings entered the prediction markets space. User expansion plateaued in the latest quarterly report.
MGM controls several iconic Las Vegas Strip properties, featuring the Bellagio and MGM Grand among its portfolio. The company maintains 56% ownership positions in two Macau gaming facilities.
MGM Resorts International, MGM
MGM delivered unprecedented revenues of $17.2 billion throughout 2024, marking a 7% year-over-year advance. Macau operations expanded 28% to $4 billion as COVID-era restrictions lifted.
BetMGM and Online Betting Progress
The company’s digital joint venture, BetMGM, now generates positive EBITDA. BetMGM targets $2.75 billion in revenues and $200 million in EBITDA for 2025.
PENN manages 44 gaming facilities spanning 20 states. The organization purchased Barstool Sports and subsequently rebranded its sportsbook platform as ESPN Bet through a $2 billion transaction.
PENN dissolved the ESPN Bet agreement prematurely in November 2025. Management cited underperformance against projections. The online sports wagering platform will now operate under theScore Bet branding.
Recent period revenues showed modest growth, though PENN continues reporting GAAP losses amid ongoing digital platform investments.
Caesars emerged as America’s dominant casino operator following Eldorado Resorts’ 2020 acquisition. The merged entity operates 54 facilities, with eight positioned along the Las Vegas Strip.
Revenues contracted modestly in 2024, declining from $11.4 billion to $11.2 billion as Las Vegas and regional segments softened slightly.
Las Vegas Sands Pulls Back From Digital
Caesars invested $4 billion acquiring William Hill, the British online gaming operator, in April 2021. Its digital segment demonstrated expansion and generated meaningful profits in recent reporting periods.
Las Vegas Sands concentrates exclusively on Asian territories. The company manages five Macau casinos alongside Marina Bay Sands in Singapore. Its Las Vegas holdings were divested in March 2021 for $6.25 billion.
Throughout 2024, Las Vegas Sands generated $11.3 billion in revenues, climbing 9% from 2023 levels, with operating profits of $2.4 billion.
Las Vegas Sands terminated its digital gaming operations in October 2025 to sharpen focus on flagship Macau and Singapore properties.
