Optimism over the fragile ceasefire in Iran buoyed market sentiments last week, and the S&P 500 Index gained 3.6% to log its best week since November. However, gaming stocks failed to participate in the rally, and the Roundhill Sports Betting & iGaming ETF (NYSE: BETZ) closed slightly in the red.
Playtika Holdings and Bally’s Corporation were among the major gainers last week, while Genius Sports and The Star Entertainment Group were among the major losers.
Major Gainers
Playtika Holdings (NYSE: PLTK) +14.23%
Playtika Holdings stock gained over 14% last week, helping it narrow its YTD losses to 20.7%. The stock gained around 17% on Monday after the company announced a “review of strategic alternatives to maximize shareholder value.”
The company has formed a special committee of independent directors that is tasked with “conducting a comprehensive review and evaluation of strategic alternatives across its portfolio.” Markets saw the announcement as a signal that the company is seriously considering a sale or a merger.
Prior to the announcement, PLTK had been trading near all-time lows following a disappointing Q4 2025 earnings report and the suspension of its dividend. The buyout buzz triggered a massive short-covering and bargain-hunting rally, with trading volume more than doubling its daily average on Monday.
Bally’s Corporation (NYSE: BALY) +11.92%
Bally’s Corporation made it to the list of top gainers last week with gains of 12%. It was a welcome break for investors, as the stock had been among the major losers over the previous two weeks. However, despite the relief rally, the stock is still down nearly 35% for the year.
There was no company-specific announcement last week, and the rise appears to be a technical bounce back from oversold levels.
Playtech Plc (LSE: PTEC) +6.17%
Playtech Plc stock gained over 6% last week and made it to the week’s top gainers for the second consecutive week. The stock has been strong for much of this year and is among the top-performing gaming stocks, with gains of over 36%
There wasn’t any market-moving news last week, and the gains came amid the broader market uptrend.
Major Losers
Genius Sports (NYSE: GENI) -14.04%
Genius Sports stock fell over 14% last week and was the biggest loser in our coverage of gaming stocks. GENI has had a dismal run this year and has lost nearly two-thirds of its market capitalization.
The stock has looked weak since it reported Q4 2025 earnings, which showed the company’s per-share loss was 8 cents, while consensus estimates called for a 3-cent profit. For the full year 2025, its net loss increased to $111.6 million, up from $63 million in 2024. Moreover, it guided 2026 revenues to between $810 million and $820 million, which also fell well short of the $873 million that analysts had been modeling.
Markets are also apprehensive about the $1.2 billion acquisition of Legend that Genius Sports announced, given the cost and the complexity of integrating such a large entity.
Analysts have gradually lowered the stock’s target price this year, and last week, Stifel joined the bearish bandwagon, lowering GENI’s target price from $7 to $5.
The Star Entertainment Group (ASX: SGR) -8.0%
The Star Entertainment Group made it to the list of the week’s top losers for the second consecutive week. While the company has been working to address its debt situation and recently completed the sale of its 50% stake in the Queen’s Wharf Brisbane project to its partners, Chow Tai Fook and Far East Consortium, these measures have failed to lift sentiments.
While the deal wipes out Australian dollar (AUD) 1.4 billion in debt associated with the project, it also drastically reduces SGR’s future income. Instead of a share of profits, The Star will now receive a fixed management fee of AUD 18 million per year, which is significantly lower than previous estimates and is subject to performance-based clauses that allow the new owners to terminate the agreement with 90 days’ notice.
The company is also battling regulatory issues, and the Australian Transaction Reports and Analysis Centre (AUSTRAC) has suggested a fine of AUD 400 million for past anti-money laundering failures. The Star has argued that anything over $100 million would be challenging and could trigger bankruptcy.
Entain Plc (LSE: ENT) -7.77%
Entain Plc fell nearly 8% last week and extended its YTD losses to over 30%. There was no major company-specific development last week, and the drawdown is a continuation of the weakness that we have seen this year.
Entain PLC is facing significant scrutiny and potential material financial penalties from AUSTRAC in civil penalty proceedings over alleged anti-money laundering and counter-terrorism financing breaches, with a Federal Court hearing set for November 30, 2026. The uncertainty surrounding the final amount of these penalties, following a 640-page court filing detailing failures between 2019 and 2022, continues to weigh on the company’s share price.
Major Gaming Industry Developments
It was a controversial week for prediction markets amid suspicious bets on the Middle East crisis. For instance, analysis revealed a cluster of new Polymarket accounts that made massive “Yes” bets on a ceasefire between Iran and the U.S. just hours before the news broke, raising concerns over insider trading.
Moreover, following a public outcry led by veteran lawmakers, Polymarket was forced to pull “disgusting” contracts that allowed users to wager on whether downed U.S. airmen in Iran would be rescued.
U.S. Rep. Seth Moulton (D-MA) termed the contract a “dystopian death market,” highlighting the platform’s connection to Donald Trump Jr., who might have access to nonpublic classified information about the pilot’s fate.
The prediction market industry faced another legal roadblock after a Nevada judge extended a ban on Kalshi, ruling its event contracts are “indistinguishable from gambling.” The platform must now implement strict geofencing to block Nevada residents by May 4. Minnesota has also introduced a bill that would bar most prediction market activity in the state.
Meanwhile, the turf war between states and the Commodity Futures Trading Commission (CFTC) escalated after a federal judge denied Kalshi’s bid to block a state criminal case, allowing the prosecution to move forward. Incidentally, the CFTC sued Connecticut, Arizona, and Illinois as these states had sent “cease and desist” orders to platforms like Kalshi and Polymarket, claiming they constitute illegal gambling. The CFTC has been asserting its authority to regulate prediction markets, arguing that states lack the right to do so.
Looking across the Atlantic, Greece is contemplating imposing age restrictions on gambling and gaming as the country defends its proposal to ban social media for children. There has been a global clamor for banning social media for kids after Australia became the first country to do so, and similar calls are being made for online gaming in several countries.
What Should Gaming Investors Watch This Week?
We are now heading into the Q1 2026 earnings season, and gaming majors’ earnings reports could drive markets in the coming week. This week, BetMGM will release its quarterly report, which will be followed by multiple casino giants, including Churchill Downs and Las Vegas Sands, in the next week.
Apart from earnings, gaming investors will be closely watching developments in the Middle East, as any escalation could fuel a broader market meltdown and take a toll on gaming stocks, which are invariably high-beta names.
