What happened with the Betmakers (ASX:BET) share price this week?

The Betmakers Technology Group Ltd (ASX: BET) made a new all-time high this week, despite some volatility along the way. Here's the tea

Sebastian Bowen

Author Bio Sebastian Bowen has been a Motley Fool contributor since late 2018. Sebastian found his passion for writing and educating others about shares and all things finance after completing his studies in political, economic and social science and enjoys bringing this passion to life at the Fool. His investment philosophy is a simple one – buying high-quality companies at prices that make sense. When he’s not researching his next investment at all hours of the morning, Sebastian enjoys classic movies and likes to unwind with a good book, newspaper or record. Areas of Expertise Dividend investing ETFs Education Bachelor of Political, Economic, and Social Sciences (Government and International Relations), University of Sydney Social Media X/Twitter Favorite Investment Quote "In the short run, the market is a voting machine, but in the long run, it is a weighing machine." – Benjamin Graham

Published April 16, 2021 3:06 pm AEST

The Betmakers Technology Group Ltd (ASX: BET) has been an interesting performer on the ASX this week. This ASX share has drawn a lot of attention over the past month, largely thanks to the Betmakers share price appreciating 25% since mid-March.

We have seen significant volatility in Betmakers shares just this week, with the company hitting a new 52-week (and all-time) high of $1.28 yesterday and a low of $1.12 a share on Tuesday. That's more than a 12% difference in just a couple of days, enough to give anyone an ASX whiplash (Mickey Rourke style).

But any long-term investor probably doesn't mind too much. Betmakers shares are up almost 75% year to date, and up a staggering 577% over the past year. Talk about a winning hand!

So what's been going on with the Betmakers share price this week?

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward — Image source: Getty Images

Why is the Betmakers share price at all-time highs?

There hasn't actually been any major news or developments out of Betmakers Technology this week that might easily explain its rather erratic share price movements. However, the Betmakers share price has been enjoying a couple of tailwinds for a few weeks now.

The first was its 22 March inclusion into the All Ordinaries Index (ASX: XAO). When an ASX share joins a major index like the All Ords, it usually gives the company something of a short-term boost. That's because many investors, including international ones, use these indices as hunting grounds for their next investment. Thus, if a company joins, it usually increases the said company's profile. It also means that any index funds that track the index in question have to buy into the company as well.

Secondly, Betmakers gave an investor update at the end of last month that was well-received by investors. This update covered the 6 months to 31 December 2020. The company reported that revenues grew by an impressive 67% over the period, and it expects growth of a further 25% for the quarter ending 31 March 2021.

The Betmakers share price responded very positively to this news and has been rising ever since, despite some minor pullbacks like what we saw on Tuesday.

At the time of writing, the Betmakers Technology share price is sitting at $1.23 after rising 3.8% today so far. At this pricing, Betmakers has a market capitalisation of $946.2 million and a trailing dividend yield of 2.87%.

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