Inside Gaming: MGM Resorts, Wynn and betting giants hit hard as gaming stocks struggle

Shares of major gaming companies remain near their lowest levels of the past year, with Las Vegas-focused operators and online betting firms facing steep declines. MGM Resorts International fell 2.3 percent Monday to close at $27.95, setting a new 52-week low of $27.94 during the session. The stock is down about 46 percent from its 52-week high of $51.59 reached in June. Wynn Resorts also approached yearly lows, with shares hitting $75.98 on Monday, down nearly 38 percent year-to-date.

Online betting operators have experienced some of the sector's steepest declines. Flutter Entertainment, parent company of FanDuel, has seen shares trade as low as $72.56 this month, close to their 52-week low, with market capitalization falling sharply from highs above $50 billion last year. DraftKings shares are 46.5 percent below their 52-week high of $36.98 reached in January, and the company's market value has fallen below $10 billion.

Wall Street analysts say online betting companies are contending with new competition from prediction markets and changing regulatory conditions, while land-based casino operators face concerns about consumer demand. Meanwhile, Caesars Entertainment has fared better than several competitors this year. Shareholders approved Tilman Fertitta's $17.6 billion acquisition in September, an all-cash deal valuing shares at $31 each that would take the company private, subject to regulatory approval. Caesars shares closed at $28.80 on Friday, below the agreed acquisition price.

In sports betting news, NFL upsets have caused heavy losses in Circa Survivor contests. More than half the remaining field was eliminated Sunday by the Los Angeles Rams and Indianapolis Colts, leaving only 1,277 entries — 5.1 percent of the starting 25,017 who paid $1,000 each for a chance at the $25 million prize. The Rams, 12½-point favorites over Arizona, were the most popular pick with 901 selections before losing on a game-winning field goal as time expired. The Colts blew a 13-0 halftime lead as 6½-point favorites over Tennessee, eliminating 703 entries. In the high-stakes Grandissimo contest, eight $100,000 entries were knocked out, leaving only six of the original 77 still alive for the $7.7 million prize.

Sources: Las Vegas Review-Journal