DAVY VIEW

Given the current market focus on paths to profitability in the sector, it is of significant note that BetMGM has re-emphasised its guidance of reaching positive EBITDA during 2023. Along with giving further detail on the benefits that its two parents, Entain and MGM Resorts, contribute to its EBITDA margin profile, the update reinforces the long-term opportunity for BetMGM. Its pullback in New York is notable but demonstrates a focus on disciplined acquisition, while the broader update illustrates the progress BetMGM has made in establishing a podium position in the large and fast-growing US market.