When millions cheer on their team at Sunday’s Super Bowl, much more is at stake than the pride of winning the Vince Lombardi Trophy. A record number are also hoping to score big with their match bets. It is by far the most bet on a single sporting event in the United States, according to the American Gaming Association. This year, an estimated 50.4 million American adults are expected to bet on Super Bowl LVII, when the Philadelphia Eagles take on the Kansas City Chiefs, according to an AGA survey. That’s a 61% increase from the record set in 2022. Betting is expected to total $16 billion, more than double last year’s projection, according to the survey. It’s also the first time in history that the big game has been played in a state where sports betting is legal. Therefore, fans at State Farm Stadium in Glendale, Arizona can place bets on their phones. The Eagles’ home state of Pennsylvania has legalized sports betting, but the Chiefs’ state of Missouri has not. Missouri fans will need to cross state lines to place a bet. Ahead of the expected record bets on the big game, CNBC Pro has compiled a list of analyst favorite stocks in the space. The names were members of Roundhill Sports Betting & iGaming ETF, VanEck Gaming ETF and/or iBet Sports Betting & Gaming ETF. They also had a market capitalization of at least $1 billion and were rated a buy by at least 60% of analysts who cover stocks, according to FactSet. The names also have an average price target advantage of 10% or more and have at least 8 analysts with estimates on them, per FactSet. Here are those names. Of the games companies on the list, Caesars Entertainment is the one with the most upside against the analysts’ average price target of 26.2%. Some 62% of analysts covering the stock rate it as a buy. The Caesars gaming empire includes Caesars Sportsbook, which grew out of the company’s 2021 acquisition of William Hill for $4 billion. Caesars shares are up nearly 27% this year. MGM Resorts follows with a 23% increase over analysts’ average price target. Nearly 67% of analysts covering the stock rate it as a buy. The gaming company participates in online sports betting through BetMGM, which it co-owns with Entain. MGM recently reported fourth quarter revenue that beat expectations. Shares are up more than 31% since the start of the year. A non-sports betting name on the list is global sports tech company Sportradar, which has the highest upside potential of any stock at 26.8%. The Swiss-based company, whose investors include NBA legend Michael Jordan, provides data and analysis to betting operators and sports leagues. SRAD YTD Mountain Sportradar in 2023 It has partnerships with several sports organizations, including the National Basketball League and Major League Baseball, as well as sports betting sites DraftKings and FanDuel. However, Sportradar does not have the exclusive rights to official National Football League sports betting data. Instead, it uses open source data for NFL games. This means that any bookmaker that has a relationship with the NFL must use its competitor, Genius Sports, which has the rights to the NFL data. Outside of the sports betting realm, Sportradar also has contracts with major broadcasters to provide gaming statistics. This includes Fox Sports, which broadcasts the Super Bowl. Finally, VICI Properties also made the cut. The real estate investment trust, the largest real estate owner on the Las Vegas Strip, announced in December that it was taking full ownership of the MGM Grand Las Vegas and Mandalay Bay properties. Caesars is also a tenant. The stock, which has gained nearly 6% so far this year, is up 11% from analysts’ average price target. Nearly 74% of analysts covering VICI rate it as a buy. — CNBC’s Contessa Brewer contributed reporting.
