New Jersey Looks Forward to Online Gambling Profits
Now that New Jersey Governor Chris Christie has signed the bill allowing online gambling he is expecting it to bring “financial benefits to New Jersey as a whole.”
According to Dennis Farrell, an analyst at Wells Fargo Securities, online gambling in New Jersey could be a $1.5 billion annual business within five years.
According to Farrell, “All New Jersey license holders will benefit, but properties with strong brands and gaming facilities will likely see the most upside.”
Farrell believes that the Borgata hotel Casino & Spa and Caesars Entertainment are in the best position to capture online business in New Jersey.
The Borgata is the top-grossing single property in Atlantic City and Caesars in the largest operator with four casinos.
When Nevada signed similar legislation recently the stock of Zynga, the creator of online social games quickly rise 7.5%. This trend seems likely to continue now that New Jersey has followed suit.
It is thought that online betting should begin by September of this year. The added revenue is urgently needed, New Jersey casino revenue fell 8% last year, the sixth straight annual decline.