TheScore stock is gaining momentum following the positive news on sports betting in Canada. The House of Commons recently passed a bill to legalize single-game sports betting. The bill amends the criminal code to make sports betting legal in Canada. The new law is expected to increase the stock’s price by up to 500 percent in the coming months.
The company is a US-based electronic gaming and multimedia company. Shares are listed on the NASDAQ, and they trade in US Dollars. It employs around 258 people and has a trailing 12-month revenue of around $23 million. Its stock is traded at a market price of $7.
After the announcement, Penn National and the Score stock prices rose rapidly. TheScore’s share rose more than 72 percent in premarket trading. Penn National also intends to focus on Arizona and Virginia, where sports betting is legal. It will also integrate Score’s technology into its own Barstool Sportsbook.
In 2012, the company began transitioning to a digital platform. It sold its broadcast business to Rogers Communications for $167 million, and built a sports gaming and media division. Its goal was to leverage its mobile app user base into a competitive sports betting business. In 2019, it launched its Score Bet mobile app for placing sports wagers. In addition, the company made its Nasdaq debut with its media and gaming division. Its shares are projected to ring the opening bell on March 16, 2021.
The score stock concept works on the basis of the pigeonhole principle, which refers to a mathematical situation where pigeons are placed in a container. This principle is also applicable in some industries, where a stock will have more than one peer, and some stocks within that industry will have the same score as each other. Nevertheless, the raw score for each stock will be different from one another. In large industries, there may be two or three companies that have the same score.
TheScore has an online sports betting app that reaches over 3 million sports fans across North America. Its social media advertising strategy has the potential to nudge millions of users to place wagers. Its recent partnership with Penn National allows the company to tap additional markets and capitalize on the growing sports betting market. The company’s team has experience developing mobile apps and is well-positioned to take advantage of emerging trends.
With a huge market for single-game sports betting in Canada, theScore is well-positioned to take advantage of this opportunity. Its app is already downloaded over 3.9 million times a month, and if Canada legalizes single-game sports betting, the number of users could double. This would provide the company with a revenue opportunity of up to 3.8-5.3 billion dollars. With this kind of growth, theScore could become the premier sports app in the world.