Shares of GAN (NASDAQ:GAN) were jumping 10% in morning trading Monday after the online gambling software provider offered an update on New Jersey's internet and sports betting market.
With land-based casinos closed since mid-March and virtually all major sports leagues suspending their seasons because of the COVID-19 pandemic, gamblers in the state have only been able to place bets online.
Data from New Jersey's Division of Gaming Enforcement indicate the climate is ripe for a rebound as the economy begins to open.
GAN noted the internet gambling win in the state was $85.9 million in May, a 124% increase over the $38.3 million recorded last year, while the total internet sports wagering handle (including future events) more than doubled to $117.8 million for the month despite no sports events being played. The handle is how much money is bet, while revenue is how much a casino wins.
GAN said the May internet win total compared favorably to the $54.6 million notched in April, though it was naturally down from the $163.4 million won in the pandemic-interrupted month of March and the $436.5 million won in February.
New Jersey has one of the most-developed sports betting markets. But because the news from New Jersey betting providers is only tangentially related to the U.K.-based GAN at best, it hardly seems a good reason for the market to bid up its shares.