Union Gaming is constructive on Accel Leisure’s (ACEL +2.3%) new cope with DraftKings.
“This deal marks the primary distinctive means for ACEL to monetize and leverage its in depth community, loyal buyer base, and floor drive in Illinois, leaving us extra passionate about different attainable alternatives forward,” updates analyst John DeCree.
“The partnership gives a number of advantages for ACEL, together with some rapid financial compensation for brand spanking new buyer sign-ups and unique promoting by DraftKings. The DraftKings branding and sponsorship will even assist drive foot visitors to VGT places that ought to translate to further coin-in, which suggests extra income for ACEL and its companions,” he provides.
Union Gaming lifts its value goal in Accel to $16 from $13 to rep 18% upside potential. The 52-week excessive for Accel is $13.85.
Seeking Alpha author Vince Martin was recommending Accel again in June when shares have been within the $10 vary.
