Sep 30, 2020 - Sports

When sports and financial markets collide

A gif of stocks.

Illustration: Aïda Amer/Axios

Thanks largely to the legalization of betting, there's growing interest and media coverage around the intersection between sports and the financial markets.

Driving the news: Roundhill Investments launched a sports betting ETF called BETZ in June, and last month it surpassed $100 million in assets under management.

  • BETZ is comprised of 37 stocks, with PointsBet, William Hill, DraftKings and Penn National Gaming representing its largest holdings.
  • Roundhill also has an ETF called NERD that's centered around esports — another emerging sports-related sector that's attracted the attention of investors.

The big picture: Sportico created the JohnWallStreet Sports Stock Index to serve as a measuring stick for the growth of the domestic sports industry. The index is comprised 40 publicly traded companies that Sportico feels best reflect the greater state of professional sports. They are:

  • 1–10: Amazon ($1.75 trillion market cap); Disney ($217B); AT&T ($212.6B); Comcast ($197.9B); Nike ($151.4B); Activision ($65B); Adidas ($57.5B); EA Sports ($41.1B); Bell Canada ($38.3B); EBAY ($37.7B)
  • 11–20: Flutter ($24.4B); Rogers Corp ($21.2B); Take Two Interactive ($19.3B); ViacomCBS ($16B); Fox ($15B); DraftKings ($13.1B); Puma ($11.8B); Live Nation ($10.2B); Liberty Formula One ($8B), Aramark ($5.9B)
  • 21–30: Churchill Downs ($5.9B); Penn National Gaming ($5.2B); Under Armour ($4.4B); WWE ($3.5B); Manchester United ($2.5B); Scientific Games ($1.9B); William Hill ($1.9B); MSG Entertainment Corp. ($1.7B); Sinclair ($1.6B); PointsBet ($1.5B)
  • 31–40: Juventus ($1.2B); Liberty Braves Group ($989M); MSG Sports Corp. ($580M); RedBall ($577M); MSG Networks ($553M); Collectors Universe ($357M); The Score ($198M); Daktronics ($185M); Hall of Fame Resort ($182M); Dover Motorsports ($53M)
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