It’s March Madness, baby!
The 2022 NCAA Tournament is about to tip off, creating a big opportunity for sports stocks.
According to Sporting News “The 68-team for the NCAA Tournament is set and soon, college basketball fans will be able to sit in front of their TVs and streaming devices and watch 12 glorious, consecutive hours of the sport. The behemoth tournament will feature a whopping 67 games with the final one determining the champion for the 2021-22 college basketball season.”
With that, investors are rolling the dice on sports betting stocks, such as DraftKings (DKNG), Penn National Gaming (PENN), and MGM Resorts (MGM).
And at ETFs like the iBET Sports Betting and Gaming ETF (IBET). With an expense ratio of 0.79%, the ETF offers exposure to stocks such as Flutter Entertainment, Las Vegas Sands, Penn National Gaming, MGM Resorts, Ballys Corporation, Caesars Entertainment, and Entain to name a few.
Even chicken stocks, like Wingstop Inc. (WING) could take off on March Madness demand. Around March of most years, the wings stock has pushed aggressively higher.
The same could happen again this year.
That’s because 45 million Americans are expected to bet on March Madness this year.
In fact, according to the American Gaming Association, $3.1 billion will be wagered on this year’s tournament. The report asserts that more than 17% of American adults will place at least one bet on the tournament.