Which Casino Stock is a Better Bet? By StockNews

The online gambling market has grown significantly over the past year because people were compelled to stay at home under COVID-19 lockdown mandates. But with the easing of travel restrictions, brick & mortar gambling houses are attracting rising foot traffic. So, we think both Penn (PENN) and Boyd (BYD) should benefit from the recovering demand. But which of these stocks is a better buy now? Read more to find out.Penn National Gaming, Inc. (NASDAQ:) owns and manages gaming and racing properties and operates video gaming terminals. The Wyomissing, Pa.-headquartered company also operates online social casinos, bingo, and online casinos under the iGaming name in Pennsylvania and Michigan. In comparison, Boyd Gaming Corporation (NYSE:), which is headquartered in Las Vegas, Nev., operates as a multi-jurisdictional gaming company.

The gambling market is gaining traction as COVID-19 travel restrictions and social distancing mandates ease. Furthermore, over the past year online gambling has gained immense popularity. This trend will likely continue, and the online gambling market is expected to hit $112.09 billion in 2025, growing at a 12% CAGR. As well-established players in the industry, both PENN and BYD are expected to benefit significantly from the growing demand.

PENN has gained 19.4% in price over the past month, while BYD has returned 7.2%. However, BYD’s 42.4% gains year-to-date compare with PENN’s 5.5% returns. In terms of their past year’s performance, BYD is the clear winner with 121% gains versus PENN’s 41%.

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