Skip to Content
scroll

MM view on BBT

Advanced Search

Our Q&As are emailed in our Saturday Morning Report, find the answer to this question below.

Ask a question

    The Latest Q&A

    Question asked

    MM view on BBT

    Hi,

    Thanks for the ongoing service I’m enjoying the site and daily emails very much. Can I add a question for James on next Saturday report. I’m interested in online betting company BBT . I know you have PBH in the Emerging markets portfolio. This company is depending on how you read the financials making a small profit and have a clear strategy to grow in targeted US states. Would be interested in your thoughts

    Regards

    Rob

    Answer

    Hi Rob,

    BlueBet Holdings (BBT) has been on a roller-coaster ride since its recent ASX debut but it’s well above the $1.14 where the company raised $80 million. The company now has a market cap of $338m and as you said has flagged its intention to expand into the US which is becoming a well-trodden path thanks to a change in legislation. With regard to being profitable, I don’t believe this is the important metric. Companies like this are all about gaining market share quickly, and BBT certainly has the leadership in place who know how to do that. At current levels we regard BBT as a stock to watch but we would like to see some progress on their plans before jumping onboard.

    As you said, we do have Pointsbet (PBH) in the Emerging Companies portfolio. PBH have demonstrated the ability to do very unique deals that will lead to huge scale in the US. They’ve really aggressively gone for it which will pay off in spades if they execute well. For now our preference is PBH.

    chart
    image description
    BlueBet Holdings (BBT)
    image description

    Relevant suggested news and content from the site

    image description
    Overview
    image description
    A discussion with Geoff Wilson – Wilson Asset Management & James Gerrish – Market Matters
    image description
    Thursday 17th April – ASX +24pts, CGF, BHP, STO
    image description
    Major Movers Today
    image description
    Ausbiz: Research Lead Shawn Hickman discussing Copper
    image description
    Thursday 17th April – Dow -699pts, SPI down -26pts
    image description
    Stocks This Week – Source Bloomberg
    image description
    Wednesday 16th April – ASX +20pts, BOQ, RIO, ZIP
    image description
    Sectors This Week – Source Bloomberg
    image description
    Wednesday 16th April – Dow -155pts, SPI down -3pts
    Members only

    UNLOCK MARKET MATTERS NOW

    Take a free trial.

    No payment details required.

    Already a member? Click here to login
    Back to top