In this article, we will discuss: 10 Best Casino Stocks to Buy According to Billionaires.
The casino industry has rebounded strongly from the COVID-19 pandemic, due to pent-up demand from gamblers and visitors returning to popular places such as Las Vegas. Brick-and-mortar casinos make a substantial profit from hotel operations, conventions, and other events in addition to the revenues that they make from slot machines and table games. Casino stocks are categorized as consumer discretionary since tourism and gambling spending are strongly correlated with the overall economic condition. According to Market Research Future, the global casino market is projected to grow from $309.54 billion in 2024 to $511.6 billion by 2032, with a compound annual growth rate (CAGR) of 6.48% over the forecast period (2024-2032). Furthermore, in 2023, the casino market was estimated to be worth $290.7 billion.
Regionally, the Asia Pacific Casino market dominates the industry due to the growing availability of online casinos and the average individual’s income. The North American casino market has the second-largest market share due to the legalization of sports betting and the approval of online gambling in the region. Furthermore, the UK casino market grew at the quickest rate in the European region, while the German casino industry held the largest market share.
Macquarie analyst Chad Beynon recently highlighted the significant market reaction to casino industry earnings even though the results were essentially in line with forecasts. After five years of underperformance, the industry saw double-digit stock increases due to improving sentiment, potential interest rate drops, and solid early-year trends. Although Macau’s recovery is still below pre-pandemic levels, gaming revenue is projected to rise by 8% in 2025, outperforming the U.S. market’s flat-to-2% growth. Chinese New Year activity was consistent rather than volatile, showing a healthy demand trend. By bypassing the costs of licensing and regulations, new event-based contracts may pose a threat to established operators. However, Beynon believes that licensed operators will fight back, as they did against sweepstakes and illegal betting. Investor confidence was strengthened by generally favorable remarks regarding recent trends, even if some companies decided not to provide updates during the quarter. The industry is now seen more favorably by analysts after years of weak performance.
Apart from analysts, there are also billionaire investors who remain bullish on the casino stocks. Ken Fisher’s Fisher Asset Management, with a portfolio worth more than $252 billion, has invested in two renowned casino stocks. In Q4 of 2024, Fisher invested more than $201 million and owned more than 2.3 million shares in a high-end casino and hotel operator in the United States. Fisher’s confidence in the market’s long-term potential is proven by the fact that the stock makes up 0.07% of his portfolio. In the same quarter, Fisher also made an investment of more than $153 million in an American multinational hospitality, sports, and entertainment company.
Meanwhile, in Q4 of 2024, Billionaire Carl Icahn’s Icahn Capital LP, which has a $7.4 billion portfolio, showed its trust in the industry by investing over $82 million in the largest casino-entertainment firm in the United States.
With that said, here are the 10 Best Casino Stocks to Buy According to Billionaires.
Aerial shot of an entertainment resort, its buildings and gaming amenities sprawling along the seafront.
Our Methodology
For this article, we scanned Insider Monkey’s Q4 2024 proprietary database of billionaires’ stock holdings and identified casino stocks from the list. These companies are involved in operating casinos, online gaming platforms, sports betting, and resort entertainment. From there, we picked the top 10 stocks with the highest number of billionaires having a stake in them. Where two or more stocks were tied on billionaire sentiment, we used the dollar value of billionaire holdings as a tiebreaker between them.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
10. Boyd Gaming Corporation (NYSE:BYD)
Number of Billionaires: 9
Billionaire Holdings: 121,003,171
One of the Best Casino Stocks, Boyd Gaming Corporation (NYSE:BYD) is a gaming company that operates across multiple jurisdictions. The business runs fully-owned gambling entertainment properties in Nevada, Illinois, Indiana, Iowa, Kansas, Louisiana, Mississippi, Missouri, Ohio, and Pennsylvania, including casinos, slot machines, table games, and hotel rooms. Its business categories are divided geographically into four areas: online, Midwest and South, Downtown Las Vegas, and Las Vegas Locals. The majority of the company’s sales are generated by entertainment properties located in the Midwest and South.
The firm’s successful year performance was driven by its diverse business model, ongoing operational efficiencies, and recent property investments. It set a full-year record in 2024 with reported revenues of $3.9 billion. While sustaining operating margins of more than 40% at the property level, its company-wide EBITDA came to around $1.4 billion. These outcomes show Boyd Gaming Corporation (NYSE:BYD)’s ongoing potential for outstanding financial results. Additionally, its fiscal Q4 2024 revenue crossed the $1 billion threshold for the first time, and its EBITDAR rose to around $380 million.
Treasure Chest Casino’s new facility has continuously exceeded expectations, with revenues substantially rising over pre-expansion levels. Boyd Gaming Corporation (NYSE:BYD) is still working on significant expansion initiatives, such as the Cadence Crossing Casino and the construction of a resort in Norfolk, Virginia. The objectives of these projects are to increase the company’s market presence and take advantage of opportunities in communities that are expanding quickly.
9. DraftKings Inc. (NASDAQ:DKNG)
Number of Billionaires: 9
Billionaire Holdings: 692,610,874
DraftKings Inc. (NASDAQ:DKNG) is a pure-play online gambling startup and one of the Best Casino Stocks that went public through a SPAC in 2020. It claims 34% of the market, behind FanDuel’s 37%, giving it a form of duopoly in online sports betting.
Like many of its competitors, the company has expanded through acquisitions. It strengthened its position in online casino games by spending $1.5 billion to acquire Golden Nugget Online Gaming in August 2021, extending its reach beyond daily fantasy sports and sports betting. The company has remained founder-led, with CEO Jason Robins leading its evolution since 2012. DraftKings Inc. (NASDAQ:DKNG) growth has been fueled by his leadership, especially in the online casino category, which improves revenue diversification.
During the COVID-19 pandemic, social distancing and orders to stay at home caused a surge in online sports betting and gambling. Its revenue continues to grow even after the COVID-19 pandemic ended. The company’s business is displaying significant operating leverage. Its fiscal Q4 2024 earnings showed a 30% growth in revenue to $4.8 billion over the previous year. For the first time ever, free cash flow was positive and adjusted EBITDA increased $332 million year over year to $181 million. DraftKings Inc. (NASDAQ:DKNG) also added 3.5 million new consumers at record low acquisition costs, boosting its overall client base to $10.1 million, or a 42% year-over-year surge.
The DraftKings Sportsbook app peaked at number one in the sports category and third overall in the App Store on Super Bowl Sunday. The firm achieved the largest gross gaming revenue day in its history, setting a record for sportsbook handle at $436 million.
The online gambling firm raised its fiscal year 2025 revenue projection to $6.3 billion to $6.6 billion, reflecting a 32% to 38% jump over the previous year, because of anticipated investments in live betting.
8. PENN Entertainment, Inc. (NASDAQ:PENN)
Number of Billionaires: 10
Billionaire Holdings: 238,479,703
PENN Entertainment, Inc. (NASDAQ:PENN) is among the Best Casino Stocks. The firm is the owner of racetracks, online casinos, and regional casinos. It has a strong omnichannel presence, with 43 physical casino and racing properties, a digital portfolio that includes media, iGaming, a loyalty membership base of over 30 million, and a fresh sports betting deal with ESPN that began in November 2023. Analysts estimate the firm held around a high-single-digit percentage revenue share of the $72 billion domestic commercial casino gaming market in 2024. Early in the pandemic, its stock soared as investors were captivated by its moves into online gambling.
PENN Entertainment, Inc. (NASDAQ:PENN)’s revenue growth in 2024 was led by strong property-level performance, with locations that were untouched by new competition growing by roughly 3% YoY. Significant improvements were also made by the company in its Interactive area, where strict advertising tactics and strong online casino operations resulted in higher revenue and Adjusted EBITDA.
Digital market share was boosted by the Hollywood iCasino app’s successful launch in Pennsylvania and Michigan, and engagement continued to rise with the growth of the digital membership base to over four million individuals. The Score and Score BET also kept up their strong performance in Canada, especially in Ontario, and they have ambitions to enter Alberta, which will support their growth. Despite difficulties in the sports betting market, these factors, along with smart operational efficiencies, let PENN Entertainment, Inc. (NASDAQ:PENN) maintain a high performance.
Four retail expansion projects are being built with the goal of producing high returns, and they are anticipated to open between late 2024 and mid-2026.
7. Churchill Downs Incorporated (NASDAQ:CHDN)
Number of Billionaires: 10
Billionaire Holdings: 400,382,037
Churchill Downs Incorporated (NASDAQ:CHDN) is a firm that offers online betting, racing, and gaming entertainment. It is divided into three business segments: Gaming, Wagering Services, and Live and Historical Racing. Live and historical pari-mutuel racing is included in the Live and Historical Racing category. The Wagering Services section includes revenue and expenses from pari-mutuel wagers made through TwinSpires, the company’s retail and online sports betting operation, while the Gaming segment includes revenues and expenses for casino locations and affiliated racetracks that support the casino license. Slot machines, video lottery terminals, video poker, HRMs, ancillary food and beverage services, hotel services, pari-mutuel wagering commissions, and racing events all contribute to the Gaming segment’s revenue and expenses.
Revenue grew $27.3 million in the fourth quarter of 2024, an 11.07% YoY growth, driven by a $30.3 million raise from the opening of the Terre Haute Casino Resort, which was partially offset by a $3.0 million decline from the other wholly owned gaming locations, owing to regional gaming softness and greater competition.
In 2024, Churchill Downs Incorporated (NASDAQ:CHDN)’s net sales rose by 11% and its adjusted EBITDA grew by 13%, setting a new financial record. This achievement was mainly due to the Kentucky Derby, which saw record-adjusted EBITDA as a result of higher ticket sales, sponsorships, and pari-mutuel betting. The goal of Churchill Downs Racetrack’s expansion projects is to improve the Derby experience even more. These projects include the Conservatory and the Sky Terrace renovation. The company’s almost $1.2 billion adjusted EBITDA was derived from HRM venues in Virginia, with plans to expand in Richmond and Henrico County.
Churchill Downs Incorporated (NASDAQ:CHDN)’s solid financial position was reinforced by $688 million in free cash flow ($9.22 per share), which represented a roughly 33% increase per share over the prior year, making it one of the Best Casino Stocks.
6. Caesars Entertainment, Inc. (NASDAQ:CZR)
Number of Billionaires: 11
Billionaire Holdings: 338,586,430
Eldorado Resorts acquired Caesars Entertainment, Inc. (NASDAQ:CZR) in 2020, and the Caesars name was retained. Following the merger, it became the largest casino operator in the United States, with 54 facilities globally, including eight on the Las Vegas Strip. Caesars operates casinos in sixteen states.
The company’s Las Vegas and regional casinos continue to account for the majority of its business, despite its advancements in online gaming. Like other casino operators, it wants to capitalize on its national network by offering a reward program that encourages visits to numerous facilities.
The Q4 and full-year 2024 results of Caesars Entertainment Inc. (NASDAQ:CZR) were recently released, revealing a range of performances across all segments. In Q4, GAAP net revenues were $2.80 billion, a modest drop from $2.83 billion in the same period last year. However, net profits were $11 million, as opposed to a loss of $72 million in the same period last year. The company reported $11.2 billion in net revenues for the entire fiscal year 2024, down from $11.5 billion in 2023, and a $278 million net loss as opposed to $786 million in net profitability. However, the company repurchased $50 million worth of shares and paid off $500 million in debt with the proceeds from the Promenade and WSOP sales.
David Katz, a Jefferies analyst, gave the Caesars Entertainment Inc. (NASDAQ:CZR) stock a Buy rating on February 19 based on multiple variables influencing its potential future performance. Katz is optimistic that these areas will rebound by 2025, despite short-term problems, particularly in the online business segment and regional gaming portfolio, which have been harmed by recent poor sporting events. While the regional portfolio may profit from a more competitive environment and fresh initiatives in specific areas, the digital segment is projected to grow due to improved iGaming performance and reduced promotional expenses. Furthermore, it is anticipated that its activities in Las Vegas will remain steady, supported by an active presence on The Strip and a recovering convention market.
5. Wynn Resorts, Limited (NASDAQ:WYNN)
Number of Billionaires: 11
Billionaire Holdings: 562,443,265
One of the Best Casino Stocks, Wynn Resorts, Limited (NASDAQ:WYNN) is another diverse casino operator, owning 72% of the Wynn Palace and Wynn Macau in Macau. The Encore Boston Harbor, which debuted in 2019, and the Wynn and Encore in Las Vegas are also fully owned by it.
WynnBET stopped business in various states in 2024, as it had done in 2023. Revenue soared to $6.5 billion in 2023, and operating income came to $840 million. In 2024, Wynn Resorts Limited (NASDAQ:WYNN) set yet another record for adjusted property EBITDAR, which included a record for Las Vegas annually. The company achieved excellent operational performance in Las Vegas, with table games dropping flat against tough competitors and slot handles increasing by 13%, while gaming market share grew significantly in Q4. The firm in Macau produced $293 million in EBITDA in the fourth quarter, which was up 11% sequentially but down roughly 1% year over year. Despite the competitive market, it maintained a particular focus on maximizing EBITDA and a high margin profile.
Wynn Resorts, Limited (NASDAQ:WYNN) recently revealed intentions to build a resort near Dubai in 2026 as part of its ongoing development of large premium resorts. Investors may benefit in the long run from the company’s concentration on underdeveloped markets, such as Boston and Dubai.
Stifel maintained a Buy rating on Wynn Resorts, Limited (NASDAQ:WYNN) shares and increased the price objective from $123 to $128. Although Wynn’s Q4 report and projection “probably aren’t as strong” as MGM, the company tells investors that “it’s pretty darn close and more importantly should allow WYNN shares to move higher.”
4. Rush Street Interactive, Inc. (NYSE:RSI)
Number of Billionaires: 12
Billionaire Holdings: 86,592,100
Rush Street Interactive, Inc. (NYSE:RSI) operates sportsbooks and online casinos in the United States, Canada, Mexico, and South America. Along with its social gaming offerings, its real-money online casinos are particularly well-liked by customers. The stock was up by nearly 70% in the past year, making it among the Best Casino Stocks.
Companies like Rush Street Interactive, Inc. (NYSE:RSI) can expand and contend with the industry titans as more and more states ease their betting laws. The business has maintained its market share despite competition from larger rivals like DraftKings and Flutter Entertainment.
The business ended 2024 with an outstanding quarter, surpassing forecasts for both sales and adjusted EBITDA. Full-year revenue jumped 34% over the previous year. Adjusted EBITDA rose by over 11 times to $92.5 million, showing impressive growth. Online revenue increased by 29% YoY and 54% YoY in North America and Latin America, respectively, displaying exceptionally strong performance. MAUs in Latin America grew 71% to 348,000, while those in North America reached 205,000 (up 28%). Profitability also climbed, with the gross profit margin climbing to 36.5% in Q4, representing a full-year growth of more than 200 basis points.
Looking ahead, Rush Street Interactive, Inc. (NYSE:RSI) has set an optimistic sales target of $1.01 billion to $1.08 billion (a 13% year-over-year growth at the midpoint) and a 35% increase in adjusted EBITDA. Financial stability was further reinforced when it improved its cash position to $229 million with no debt, a $61 million rise for the year.
3. MGM Resorts International (NYSE:MGM)
Number of Billionaires: 12
Billionaire Holdings: 412,584,112
MGM Resorts International (NYSE:MGM) boasts one of the gaming industry’s most spectacular property portfolios. Along with properties in Atlantic City, Detroit, and Mississippi, it also owns many of the most renowned casino resorts on the Las Vegas Strip, such as the Bellagio, MGM Grand, Luxor, and New York-New York. It also holds a 56% share in two Macau casinos, MGM Macau and MGM Cotai. Compared to many of its competitors, it has greater exposure to Las Vegas tourists since almost two-thirds of its 45,000 guest rooms are located on the Strip.
MGM Resorts International (NYSE:MGM) saw an increase in stock price following better-than-expected fourth-quarter results, encouraging remarks regarding recent performance and prospects, and a forecast that its online gambling joint venture will produce positive EBITDA this year.
In 2024, the firm broke all previous records by hitting all-time highs in hotel revenue, F&B revenue, domestic slot win, and consolidated net revenues. The business had a great start to 2025, as seen by higher domestic operations revenue in January and projections for ADR growth all year long. A strong fourth quarter was a result of particularly outstanding operations in Las Vegas, where December slot handle and win set new records. Moreover, MGM Resorts International (NYSE:MGM) surpassed the previous record by 43% in December, recording its highest-ever convention reservations. BetMGM maintained its strong momentum, delivering more than $2 billion in top-line growth, with 2025 net revenues from operations estimated to be $2.4 billion to $2.5 billion. In the meantime, the firm’s China market share increased to more than sixteen percent in December, and the company reported its highest-ever full-year segment adjusted EBITDA.
Longleaf Partners Fund stated the following regarding MGM Resorts International (NYSE:MGM) in its Q4 2024 investor letter:
“MGM Resorts International (NYSE:MGM) – Hospitality and gaming company MGM Resorts was a top detractor for the quarter and the year. Despite relatively strong execution by the company and opportunistic repurchases of discounted shares, the market did not like the company’s quarter-to-quarter volatility, especially in the second half of the year. When making the necessary adjustments, MGM’s core Las Vegas properties continued to grow nicely if boringly in the low-mid-single digit range during the year. MGM remains one of our larger share repurchasers in the portfolio, demonstrating its commitment to shareholder returns. The company’s hidden assets in online gaming and Asia also showed progress as the year went on. We remain confident in the management team, led by CEO Bill Hornbuckle, as they navigate these challenges and focus on long-term value creation.”
2. Las Vegas Sands Corp. (NYSE:LVS)
Number of Billionaires: 14
Billionaire Holdings: 1,122,691,135
Las Vegas Sands Corp. (NYSE:LVS) is an operator of casinos with a primary concentration on the Macau market. The company’s five casinos in Macau and the Marina Bay Sands in Singapore are solely focused on the Asian market. Unfortunately, the plan of focusing on Asia backfired during the COVID-19 epidemic, with traffic to Macau dropping due to stringent lockdowns in China and other Asian countries. However, the firm bounced back in 2023 with operating profits of $2.3 billion and revenue of $10.4 billion, up more than 150% from 2022, showing that it is back on stable ground.
The Macao betting market grew steadily, with Q4 2024 gaming revenue up 6% year on year, due to a 5% increase in mass gaming revenue. Marina Bay Sands performed well in Singapore, announcing adjusted property EBITDA of $537 million, a 28% increase over the previous year. The Londoner Grand Casino, which launched in late September with 315 suites, is expected to complete its expansion to 1,500 suites and rooms by May 2025. By repurchasing $450 million of stock and raising the dividend to $1 per share for 2025, Las Vegas Sands Corp. (NYSE:LVS) further showed its dedication to shareholder returns.
Citi maintained its Buy rating on Las Vegas Sands Corp. (NYSE:LVS) shares and increased its price target from $64.50 to $67. The company claims that by producing a Q4 EBITDA well above $500 million, Marina Bay Sands positively surprised the market. Given the Londoner Grand’s gradual opening, it still believes that Las Vegas Sands’ Macau property has strong EBITDA recovery prospects. The stock is still the “Global Top Pick” of the analyst, making it among the list of the Best Casino Stocks.
1. Flutter Entertainment plc (NYSE:FLUT)
Number of Billionaires: 19
Billionaire Holdings: 3,237,009,330
The Best Casino Stock, Flutter Entertainment plc (NYSE:FLUT) is also the world’s largest sports betting and iGaming operator, with 13.9 million average monthly players globally in 2024. It was launched in 2016 and is headquartered in New York City. The firm has established a narrow moat that extends over the US, UK, Australia, and other international markets, including Italy, by turning its top technology and product offering into a strong global brand.
In Q4 of 2024, Flutter Entertainment plc (NYSE:FLUT)’s revenue reached $3.79 billion, a 14% rise over the previous year, indicating great financial growth. Following a net loss of $902 million in Q4 2023, the firm reported a net income of $156 million, marking a dramatic turnaround. Free cash flow rose by a remarkable 175% to $473 million, while adjusted EBITDA increased by 4% year over year to $655 million. Moreover, earnings per share improved significantly, showing the company’s improved profitability and operational efficiency as it went from a loss of $5.14 per share in Q4 2023 to a positive $0.45 per share in Q4 2024.
In 2024, Flutter Entertainment plc (NYSE:FLUT) reported a 26% growth in adjusted EBITDA and a 19% YoY rise in revenue. It has cemented its position as the industry leader in the United States, with a 43% GGR market share in online sportsbooks and a 26% share in iGaming. Through the acquisition of MaxBet and the successful launches of FanDuel in North Carolina and Vermont, the company has also made notable progress abroad. The firm is continually innovating with new products like the FanDuel Reward Machine, Same Game Parlay, and Flutter Edge, which have all led to tremendous growth and increased consumer engagement.
Overall, Flutter Entertainment plc (NYSE:FLUT) ranks first on our list of the 10 Best Casino Stocks to Buy According to Billionaires. While we acknowledge the potential for FLUT to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than FLUT but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stock To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.
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