Betting Company Shares Rose in October

October was a positive month for many betting operators on world stock markets. As third-quarter results began to be announced, the share prices of Flutter Entertainment, Rank Group and Entain rose significantly. This increase came despite the pressures still facing the sector in many markets.

Investors welcomed the increase of the UK machine games duty from 20% to 25% more favorably. They had been wary of the possibility that the rate would be raised to 40%.

Flutter's shares rose 8% to reach $82.59 (£61.61). The company faces challenges such as a 1,400-person layoff in the UK, the effects of the Brazil ban, the closure of Betfair in Italy and its decision to withdraw completely from India. Despite this, the shares rose. Citi analyst Monique Pollard upgraded the company's rating from "neutral" to "buy" at the beginning of October. Following this decision, a ruling by the Ninth Circuit Court of Appeals that Nevada could regulate Kalshi's sports event contracts as gambling also made the shares more attractive.

The situation is more difficult for Rank Group. The tax increase announced in the Autumn Budget last week by UK Chancellor of the Exchequer John Healey is expected to cost the company £9 million a year.