Investment Firm Eminence Capital Buys into Sports Betting Shares, Sells MGMholdings
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Posted on: May 16, 2025, 03:51h.Last updated on: May 16, 2025, 03:51h.
Ricky Sandler Shakes Up Sports Wagering Sector with Hedge Fund MovesEminence Capital doubles down on FanDuel and DraftKings, divests from MGM Resorts
Ricky Sandler's Eminence Capital is making a statement in the sports wagering market with some major moves in the first quarter of 2025. The hedge fund is showing faith in the growing industry by injecting funds into leading players while pulling out of others.
New Betting on Flutter Entertainment and DraftKings
In a bid to boost its sports wagering portfolio, Eminence Capital initiated a new position in Flutter Entertainment, the parent company of FanDuel. The firm bought approximately 155,024 shares of the sportsbook giant, making it one of five new investments in Q1 2025[1][4]. Eminence also ramped up its stake in DraftKings, one of the top US sportsbook operators, by securing around 5.1 million shares, marking a whopping increase from its previous holdings[1][4].
With these strategic acquisitions, Eminence Capital has positioned itself to reap profits from the three largest US online sportsbook operators — Flutter Entertainment (FanDuel), DraftKings, and Entain (BetMGM)[1].
Saying Goodbye to MGM Resorts
While doubling down on digital sports betting, Eminence Capital opted to jettison its investments in more traditional casino and resort companies[1][4]. A notable dump was the total liquidation of the hedge fund's stake in MGM Resorts International, which holds a significant presence in the gaming and hospitality sector. With this move, Eminence may aim to focus more tightly on companies with dominant online sportsbook platforms, capitalizing on the rapidly growing sports wagering market.
The Bullish Outlook on US Online Sports Betting
By streamlining its strategy and investing heavily in key players, Ricky Sandler’s Eminence Capital is clearly bullish on the potential growth of US online sports betting[1][3][4]. In doing so, the firm demonstrates a long-term commitment to capitalizing on the booming digital sports gambling space and offers valuable insights for industry participants.
As the sports betting landscape continues to evolve, keep an eye on the moves made by big-name players like Eminence Capital for clues on where the action and future prospects lie.
[1] Deep Analytics, "Eminence Capital Steps Up its Game in US Sports Betting Market," May 14, 2025.[2] Financial Insights Magazine, "Sports Betting Firms Gain Institutional Backing," May 15, 2025.[3] Market Trends, "Eminence Capital Revamps Portfolio, Focuses on Sports Betting Stocks," May 16, 2025.[4] SEC Edgar, "Eminence Capital 13F Filing for Q1 2025," May 14, 2025.
- Ricky Sandler's hedge fund, Eminence Capital, has affirmed its belief in the growing sports wagering industry by investing in leading players such as Flutter Entertainment (FanDuel) and DraftKings.
- In contrast, Eminence Capital has divested from MGM Resorts, a traditional casino and resort company, to focus more intently on companies with prominent online sportsbook platforms.
- Sports betting finance experts are optimistic about the potential growth of the US online sports betting market, thanks to Eminence Capital's strategic investments in key players and its long-term commitment to the digital sports gambling space.
- As the sports betting industry continues to expand, watching major players like Eminence Capital for their moves can provide valuable insights into future opportunities and market trends.
