Are We About to See Sports Betting Take Off in the US?

For a long time now, sports betting legalities and rules in America have been hugely complicated for outsiders looking in. However, the US Supreme Court could be on the verge of making the sports betting rules in America very clear should their landmark ruling be given the official green light.

This would mean sports betting can happen all across America, with each individual state deciding if it is right for their economy. New Jersey was granted the right to allow people to place sports bets back in 2014, providing these were placed at a race track or inside a casino.

The news is great for horse racing betting sites, and their share prices have increased both in the US and in the UK. Britain’s William Hill and Paddy Power have both seen a rise, and they are expected to make their mark on the US scene as soon as they get the chance to.

It isn’t clear cut just yet, and many US sporting bodies are against the availability of sports gambling in the US. The NBA and NCAA have both come out and opposed the move, citing that sporting integrity is at risk by allowing state-wide gambling to take place on the upcoming games.

With states being allowed to make the decisions alone now like they can with many other activities, the attention turns to them, to see what there next step will be. Some are sure to jump in straight away and discuss the possibility of legalising sports betting straight away, while others are likely to sit back and watch how things unfold elsewhere before deciding what to do.

UK and US Share Prices Rise

As soon as this news was released, share prices in both the UK and US rose as a consequence. It is widely expected that William Hill and Paddy Power Betfair will be amongst the first to move into the American market as soon as they are allowed to. William Hill’s stocks grew by 9.4% after the news, with Paddy Power Betfair rising by 10.5% and 888 Holdings jumping a huge 14% on the back of this announcement.

According to the Financial Times, in the US we saw winners and losers in the markets. Churchill Downs, a company that owns both horse racing tracks and casinos in America saw their shares rise by 5.73%. However, Wynn Resorts, a Nevada based operator saw their price fall by 2%. This is because of the potential competition they will now face, making Vegas a far less attractive gambling market.

If there is one British company in a position to take advantage of this change straight away then it would be William Hill. They are already established in the US, and with a Nevada base already fully functional they have something the majority of their competitors don’t have. That will allow them to strike while the iron is hot, and move in before the others have a chance to work out their game plan. This could be a big and important few months for William Hill and they have the first opportunity to crack America.