BlueBet (ASX:BBT) share price surges 13% to record highs

What’s been fuelling the bookmaker’s share price?

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The BlueBet Holdings Ltd (ASX: BBT) share price has surged more than 13.5% higher in today’s trading session.

The bullish price action has propelled shares in the betting company to record highs.

At the time of writing, the BlueBet share price is trading more than 9% higher at around $2.09. Shares in BlueBet were up more than 13.5% earlier after hitting an intra-day and all-time high of $2.17.

Let’s take a look at what’s been fuelling the BlueBet share price.  

What’s been fuelling the BlueBet share price?

BlueBet is relatively new to investors, after only listing on the exchange at the start of this month.

BlueBet hasn’t released any price-sensitive news that could explain today’s euphoric price action. As a result, it could be assumed that shares in the betting company are riding the waves of a generally stronger market.

Shares in the wagering start-up debuted at $2 per share, with investors still contemplating the company’s value.

Earlier this month, the BlueBet share price received a boost after updating the market on its US operations.

The update highlighted BlueBet’s agreement with the Dubuque Racing Association. As a result, the company will be allowed to conduct its online sportsbook operations in the state of Iowa. However, the agreement is subject to regulatory approval.

In addition, shares in BlueBet have also been on the receiving end of favourable analysis from brokers.

Recently, analysts from noted broker Ord Minnet put a buy rating on the company’s shares. Analysts cited that BlueBet is positioned for growth given the gradual shift of sports betting online and the company’s expansion into the US.

More information on BlueBet

BlueBet is an online bookmaker that provides products to customers of both Australian and international sports.

BlueBet offers wagering products on 31 sports in Australia and internationally, in addition to entertainment and politics wagering markets.

The company’s platform is powered by customised, cloud-based technology.

As mentioned previously, BlueBet’s expansion into the US marks an important milestone for the newly-listed company.

According to BlueBet’s management, the Iowa wagering market has huge potential for the company. Following the approval of sports betting in 2019, the Iowa market has grown in excess of US$1 billion.

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Motley Fool contributor Nikhil Gangaram has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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