Why Esports Entertainment's Stock Is Trading Higher Today

Esports Entertainment Group, Inc. GMBL shares are trading higher after HC Wainwright & Co. initiated coverage on the stock with a Buy rating and announced a $20 price target.

Esports Entertainment Group is a development-stage online gambling company focused purely on esports.

HC Wainwright analyst Scott Buck noted six key investment catalysts for this stock:

1. Complementary business segments drive meaningful organic growth opportunity
2. Roll-up strategy to accelerate revenue through customer acquisition, new products, and new geographies
3. U.S. expansion supported by favorable changes to U.S. regulatory environment
4. Recent partnership agreements provide pool of potential customers and drive potential new gaming center opportunities
5. Balance sheet strength supports near term expansion goals
6. Attractive valuation versus both esports and gaming peers

Esports stock was trading 13% higher at $13.35 at the time of publication. The stock has a 52-week high of $24.48 and a 52-week low of $3.08.