Gan Share Discussion Threads

[noujay] 17/2/2019 11:06

Some commentary from Regulus this weekend:US: online gambling - New Jersey figures show power of online sportsbettingNew Jersey's monthly stats continue to demonstrate both the underlying rise of online betting and its likely positive impact on the wider market. With an achieved margin of 4.1%, overall completed revenue fell by 14% MoM to US$15.5m on completed turnover up an impressive 17%. However, retail sportsbooks are already showing signs of maturity, with reported revenue halving month-on-month. Online conversely held reported revenue despite a 2ppt fall in reported hold. Online now represents 84% of total New Jersey revenue – in a state with a strong retail footprint in both casinos and racetracks. Online gaming is also clearly benefitting from increased online engagement, with a very strong 53% increase in revenue to US$33.6m, led by Golden Nugget and Resorts: the online casinos attached to the two leading betting brands (Resorts – DraftKings; Golden Nugget – PPB). Landbased casinos also grew (in a seasonally quiet month) by an impressive 9% to US$177m, meaning that online now represents 21% of New Jersey's commercial gambling footprint (ex horseracing) and has, if anything, stimulated rather than cannibalised landbased revenues.

[molatovkid] 17/2/2019 09:50

Nice find IT....we just need to be patient with this one.

[noujay] 15/2/2019 19:02

I agree although with so few clients it may be the case that they are bound by confidentiality in terms of allowing insight into other businesses?

[cottoner] 15/2/2019 18:58

IMO the monthly updates are too general.

GAN should also release figures for the specific US gambling platforms/outlets which GAN are associated with - those figures are available.

[waterloo01] 15/2/2019 16:52

Presumably this means they will do monthly updates, which gives excellent visibility

[trentendboy] 15/2/2019 12:09

Agreed - do not underestimate the patent strength especially in the US where lawyers rule

[molatovkid] 15/2/2019 09:17

Maybe I'm over estimating its importance but it seems to me that the GAN patent does bring a degree of power too.

All providers will want to link up their on site, off site and customer rewards programmes. So he who holds the key to this, can grant or deny them the ability to do so.

Seems to me that is quite a big plus and will be massive once the whole US market opens up.

[igoe104] 15/2/2019 08:26

I can only see ( Gan ) being taken over sooner or later.

[molatovkid] 15/2/2019 08:16

So under the radar too....

[trentendboy] 15/2/2019 08:02

This moves rapidly due to limited stockLarge up and down moves very standardIn this case 60 is easily within reach short term

[molatovkid] 15/2/2019 07:40

As Trent says this is just the beginning on US internet gaming and we sit in the box seat, holding all the cards with the patent.

[noujay] 15/2/2019 07:36

The internet casino win is a serious boost. Golden nugget online is where Betfair Casino lives and their revenue is up hugely over the past few months. It's reckoned to be 30-35% of that figure with GAN taking 5-10% of that. On a 30/5 low end basis the maths are stacking up very nicely there.If Penn starts to shift as well then the company will start to fly. Hopefully they will get online soon - estimated q2.

[trentendboy] 15/2/2019 07:11

Yes, nice results. Could keep growing at these levels easily - only the start of US gaming

[rivaldo] 15/2/2019 07:09

Excellent New Jersey update this morning - internet gaming up 53% year on year, and gross Internet Sports Wagering up 27% just in the last month!

[rivaldo] 07/2/2019 12:11

This on NetEnt's expansion in Pennsylvania specifically mentions GAN:



"Further Pennsylvania expansion for NetEnt AB
Adam Morgan
February 6, 2019

Swedish online casino games developer, NetEnt AB, has announced the signing of an agreement that is to see it supply Pennsylvania’s giant, Parx Casino, with ‘a broad range’ of video slot and table titles once the eastern state launches a regulated iGaming market.

Trio of links:

Stockholm-headquartered NetEnt AB used an official press release to detail that the deal inked by its NetEnt Americas LLC subsidiary represents its third such alliance in Pennsylvania and will involve the games along with a free spin widget being delivered utilizing a platform from British innovator, GAN (GameAccount Network).

etc"

[waterloo01] 06/2/2019 16:29

I'm in today for a small stake!

[hibberts] 06/2/2019 16:08

Noujay

Thanks for the info looking forward to the next update we might get a mention
in this weeks scsw.

[noujay] 31/1/2019 15:33

I also found the references to Boyd fascinating. Retail patrons enrolled in their loyalty programme are permitted to link existing loyalty cards to their new internet gambling accounts and receive loyalty points in exchange for online gambling.Seems to me that GAN are starting to offer a very useful piece of the puzzle for the large operators.

[rivaldo] 31/1/2019 14:03

Indeed - Liberum are at pains to stress that their 85p target excludes much potential upside:

"Valuation: target price 85p

There is clearly substantial momentum from regulation and licensing in more States in the US which offers the possibility of material upside to forecast and longer term returns. Given the increasing maturity of both the Simulated and real-money revenue streams we value the business on a sales multiple basis.

We value development revenues (implementation) on 2x revenues, simulated and US real-money revenue share on 5x (reflecting the SaaS business model and potential rapid growth).This drives a target price of c85p but clearly this does not capture the much higher revenue potential in FY20 or the longer term potential if other States regulate."

[noujay] 30/1/2019 17:48

There's a lot of room for upside in there and the note takes a conservative view IMO.The cross sell between sports to online casino for December was significant and has apparently carried through to jan according to US analysts. If it does and Betfair rebrand casino directly as Fanduel which seems likely then it could be transformative for GAN going forward.

[noujay] 30/1/2019 14:47

Sure I think we all would, it's taken long enough! As long as the company is taking care of itself though I'm fairly content to see them assemble the jigsaw and they seem to have good momentum on that now so the rest ought to follow..

[bookbroker] 30/1/2019 14:43

What I would prefer is a sustained rise rather than hot air!

[noujay] 30/1/2019 13:42

That'll likely bring something for GAN as FD have an anticipatory tie in with one of the NY tracks. As do DraftKings at al so each of the four are covered.