BetMGM Stock Surges on Strong Q4 Report
Boosted by impressive revenue growth in sports betting revenue, BetMGM charted a solid fourth quarter.
BetMGM rode excellent growth in iGaming and sports betting in Q4 to close the fiscal year on a high note.
The company reported $2.8 billion in net revenue, an increase of 33% year-over-year (YoY), and adjusted EBITDA of $220 million. Q4 included record performance of $780 million in net revenue, up 39% over Q4 in 2024.
BetMGM also surpassed its quarterly targeted return to its parent companies, MGM Resorts and Entain, with $270 million in cash.
Based on the positive report, BetMGM stocks rose to a high of $39.25 from a closing of $34.17 within a few hours after the BetMGM business call.
“We entered 2025 planning for it to be a transformative year for BetMGM, and the success and financial impact of that transformation continued to meaningfully exceed our expectations as we progressed through 2025,” said Adam Greenblatt, CEO of BetMGM. “… Not only did Q4 achieve a record, December was our best month ever, and the last week of the year was also our best week ever.”
Sports Betting Drives Revenue
Online sports betting generated more than $900 million in 2025 revenue, a 63% YoY increase, outpacing handle growth of 16%.
In Q4, sports betting revenue jumped 93%, despite just a 3% increase in handle.
Prediction markets have caused sportsbook investors to balk, but Greenblatt noted while fewer players are placing bets overall, those who remain are betting more frequently.
“The fourth quarter was our best for BetMGM sports,” Greenblatt said.
Threat of Prediction Markets
The favorable numbers are consistent with a national trend of online sportsbooks seeing fewer players but higher returns, especially as operators face stiff competition from prediction markets.
Multiple analysts believe there’s been an overreaction about prediction markets’ impact on sports betting companies.
In New York, NFL handle declined 3% in January, but winnings were up 6%, according to data released by the state.
“We believe that weaker handle growth in New York January data has spooked investors into thinking prediction market cannibalization is more prevalent and widespread than it may actually be,” Truist Securities analyst Barry Jonas said in a Feb. 3 note to investors.
While competitors like FanDuel and DraftKings have launched their own exchanges in the face of threats from regulators not to do so, Greenblatt said he stands behind many in the industry who oppose prediction markets.
“We remain steadfast in support of state regulators, attorneys general, and Indian gaming entities that express serious concerns about prediction markets and how they circumvent the robust regulatory frameworks, responsible gambling requirements, and information sharing protocols pulled collaboratively — and over many years by our industry partners. … the sentiment we share is growing,” the BetMGM CEO said.
iGaming ‘Continues to be the Powerhouse’
The iGaming sector remains BetMGM’s primary revenue stream. It generated over $1.8 billion in revenue in 2025, up 24% YoY.
BetMGM credits improved player management, exclusive content, and expanded live dealer offerings.
“iGaming continues to be the powerhouse and anchor of our business,” Greenblatt said. “Our iGamging business continues to scale to record heights.”
BetMGM Expanding to Alberta, Keeping Eye on Virginia and Maine
Greenblatt confirmed that BetMGM expects to launch iGaming and sports betting in Alberta this year. It will be BetMGM’s first iGaming launch in a new market since 2022, when it opened its online casinos in Ontario.
In December, the Alberta Gaming, Liquor and Cannabis Commission (AGLC) officially opened iGaming registration, with the full market launch anticipated later in 2026. The iGaming market in Ontario, which is Canada’s first entry into iGaming, posted record growth in 2025.
Greenblatt doesn’t expect much of an impact on BetMGM’s bottom line from Alberta until 2027 because he said it usually takes about nine months from the law passing to the first bet being made.
BetMGM Paints Rosy Outlook
Executives are banking on profits continuing to rise. They expect net revenue to climb to $3.1-$3.2 billion and adjusted EBITDA to hit $300-$350 million in 2026. For 2027, projections point to $500 million adjusted EBITDA.
“We have sharply turned the corner on our next phase of growth,” Greenblatt said.
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