Growth In B2B, B2C To Power GAN Ahead: Analyst

A company that provides the technology for sports betting and iGaming companies saw new analyst coverage Tuesday.

The GAN Analyst: Jefferies analyst David Katz is initiating coverage on GAN Limited GAN with a Buy rating and $21 price target.

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The GAN Takeaways: Gan offers growth in the B2B and B2C sectors, Katz said in the initiation note.

“We assume a positive stance on GAN, based on its demonstrated strength as a B2B provider-of-choice, which has a defined TAM of $665 million to $1.1 billion based on our proprietary analysis,” the analyst said. 

The analyst said he sees growth in online sports betting and iGaming offering upside for current Gan customers and the potential for new customers.

“The addition of expanded OSB capabilities through Coolbet and content through Ainsworth continue to bolster the value of GAN.”

Gan’s player account management capabilities (PAM) are a key highlight for Katz. 

“PAM becomes critically valuable as operators progress toward a single-app, single wallet offering across product lines and across channels,” the analyst said. 

Jefferies estimates the PAM market for Gan at $190 million to $380 million. The analyst sees a market size of $475 million to $713 million for Gan in online sports betting and iGaming.

“We expect Gan’s B2C business to grow at a more constant rate through 2023 and product offerings broaden and momentum builds," Katz said. 

GAN Price Action: GAN shares were up 1.02% at $16.83 at last check Tuesday.