Las Vegas set to be a gaming industry leader by 2024

Shaun Kelly, a gaming analyst at Bank of America, believes Las Vegas is ready to lead the global gaming market by 2024. From his perspective, the state is currently in an advantageous position, and virtually any outcome is conceivable. Additionally, there has been a 5% increase in room rates. He thinks high-end properties like the Super Bowl and Baccarat will benefit from competitions like that. He believes that EBITDA will either go up slightly or stay the same. BofA predicts a 2% increase in revenue generation in Las Vegas in 2024 instead of a 1% increase in 2023.

Kelly is less than enthusiastic about regional gambling in 2023, with the exception of four states: Massachusetts, Alaska, Kentucky, and Illinois. It ought to be essentially unchanged in 2024. He is confident that the forthcoming operators will contribute positively to this. In the instance of Macau, a 20% growth is anticipated in 2024. As per his estimation, he anticipates an increase of approximately 18% for the entire year. 

Due to the fact that an increasing number of states are legalizing wagering, he believes that revenue should increase. ESPN Bet may be among the operators that execute a substantial portion of the contribution. In 2025-26, greater expectations will be placed on companies such as DraftKings, FanDuel, Caesars, and other major competitors. In 2024, it is conceivable that MGM Resorts could establish dominance. 

Kelly made reference to the departure of the CEO of Entain and the intention of the current incumbent to assume a specific stake in the residuals of BetMGM. MGM’s approval of a temporary certification fee for Entain’s technology is also a possibility. 

Penn Entertainment is preparing something noteworthy in preparation for the November launch of ESPN Bet. Like Entain, an activist shareholder, H.G. Vora, who currently owns an 18.5% interest, will be present. Penn’s stock price increased with the introduction and subsequent success of its ESPN Bet application. DraftKings might also make a beneficial contribution this year. Along with Durango, Caesars Entertainment and Red Rock Resorts may emerge as the major players in 2024.