These 2 Gambling Stocks Look Like Winners… Ready to take a gamble in the current market? More and more investors are wagering on gambling stocks — should you join their ranks? Here are 2 stocks to watch...
By Lyndon Seitz
This story originally appeared on WallStreetZen
The house always wins, but can you invest in the house? Depending on the stocks you're looking at, the answer is absolutely. Yet that doesn't mean all gambling stocks have the same odds. To find the winners, you need the right background information, and we're here to show you some of the top-rated stocks according to our Zen Ratings system (which looks at 115 key factors proven to drive growth in stocks).
Here are a couple of A-rated stocks in the gambling industry to keep an eye on:
Accel Entertainment Inc. (NYSE: ACEL)
Not all gambling is in casinos, and someone needs to tend to that strange grocery store slot machine you may see a few times a year and do not fully understand. That's what Accel is for, alongside running standalone ATMs and a few other machines, and the distributed gaming operator has been showing itself as a standalone stock to watch.
Currently, the company has a strong presence in Illinois, but potential remains for the company depending on the future legalization of gambling, whether ACEL finds new markets, and other factors. For the moment, though, it has a Zen Rating of A with a Component Grade of B in Value, Financials, and Artificial Intelligence. For further notes, consider that they are now investing in a casino and had a strong recent quarter.
Super Group (SGHC) LTD (NYSE: SGHC)
More in the Sports entertainment side of gambling, SGHC is the parent organization of several well-known gambling companies, including Spin, Betway, and others. And with so many options, it's no surprise that it's a huge part of gambling today.
First, it's climbing back on previous losses, showing about a 1.5% growth over the last three months (though it's much better for people who decided to buy the dip).
Yet don't let that or recent news distract you from the long-term view. Over the last 12 months, the stock price has risen about 127%.
And it has a Zen Rating of A, meaning it is in the top 5% of stocks we cover. Its Component Grade of B in Value, Growth, Momentum, and Artificial Intelligence (our own algorithm sees trends that signify future price increases) are also positive signs. SGHC is one to watch that might be undervalued with growth potential.
In fact, we covered it recently, mentioning its momentum in Africa and its favorable price target. Our system considers it to be the #1 stock in gambling right now. And if you want to learn more about how to look at industries, read our article on the topic.
Want to keep on top of things when you're investing in gambling stocks and beyond? Then WallStreetZen Premium is exactly what you need. It will provide you with an unlimited watchlist and the fundamental information you need to make the best possible decisions. Don't go in blind and instead invest in one of the best tools you can find!
And if you're looking for a more guided approach, then Zen Investor is exactly what you're looking for. With it, you'll receive a regularly updated portfolio recommendation from our own Steve Reitmeister, who has more than four decades of market experience and has seen his share of uncertain markets. With his insights by your side, investing might feel less like a gamble.
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