## South Carolina Betting Landscape: Major Legislative Push Signals Industry Shift

South Carolina lawmakers are making significant strides toward legalizing sports wagering, with two competing bills now prefiled for the upcoming legislative session starting January 14. This development marks a pivotal moment for a state historically resistant to gambling expansion, and it directly addresses the question of whether sports betting is legal in South Carolina—currently, the answer remains no, but that could soon change.

**Two Competing Visions for Gaming Expansion**

The legislative approach splits into two distinct paths. House Bill 3625, formally titled the "South Carolina Sports Wagering Act," focuses narrowly on authorizing sports betting alone. If enacted, it would create a dedicated Sports Wagering Commission to regulate operations and allow residents to wager on professional and collegiate sports. The bill has been assigned to the House Ways and Means Committee for consideration.

House Bill 3353 takes a broader approach, proposing a constitutional amendment that would legalize sports betting alongside pari-mutuel horse racing and traditional casino gaming. The infrastructure funding model would mirror Mississippi's approach, directing gaming revenues toward critical infrastructure needs like highway and bridge maintenance. This more expansive proposal lands in the House Judiciary Committee.

**Challenges Remain Despite Progress**

While these bills represent genuine momentum, South Carolina's cultural conservatism regarding gambling presents ongoing obstacles. Both measures must navigate substantial political resistance before becoming law, though the concurrent filing of two distinct bills suggests genuine legislative interest in finding a path forward.

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**Broader Gaming Sector Developments**

Penn Entertainment continues to consolidate its digital presence, announcing the rollout of its standalone Hollywood Casino app in Pennsylvania. The platform, built on Penn's proprietary infrastructure, features over 700 iCasino games, daily promotional offerings, and progressive jackpots accessible across Android, iOS, and desktop environments. Customers can leverage existing ESPN Bet credentials for seamless account management. Penn intends to expand Hollywood Casino into additional jurisdictions throughout 2025, contingent on regulatory clearance.

In a major real estate transaction, Gaming and Leisure Properties completed its $395 million acquisition of land and real estate assets from Bally's Kansas City Casino and Bally's Shreveport Casino & Hotel. The properties entered a new master lease structure with an 8.2% initial cash capitalization rate and $32.2 million in annual rent, generating projected 2.2x rent coverage in the first operational year.

Entain Group faces heightened regulatory scrutiny as Australia's Transaction Reports and Analysis Centre initiated civil penalty proceedings through Federal Court. The enforcement action relates to alleged violations of anti-money laundering and counter-terrorism financing regulations. Entain has cooperated with investigators since the initial 2022 announcement and implemented a comprehensive remediation program scheduled for completion by June 2025, though potential penalties could prove material.

**Market Data and Analyst Updates**

Recent sportsbook performance data from Macquarie reveals below-average market hold rates during Week 15 of the NFL season at 5%, with football-specific hold at just 2%. This marks the third consecutive week of suppressed margins, prompting revised Q4 projections to 8.6% hold—below normalized averages of 9%.

New York's market shows deceleration in handle growth, with trailing monthly increases slipping to high-single digits amid competitive promotional pullbacks in the heavily taxed jurisdiction. BetMGM and Fanatics lead growth, while DraftKings and Flutter Entertainment posted flat year-over-year results, with Caesars and Rush Street Interactive declining.

Deutsche Bank's updated sector research lifted price targets on multiple operators, transitioning its valuation base to 2026. Wynn Resorts received a $128 target (upgraded from $118), MGM Resorts moved to $49 (from $48), and DraftKings advanced to $36 (from $33), though retained at Hold. Argus upgraded Boyd Gaming to Buy with a $90 target, while Morgan Stanley downgraded Melco Resorts to Equal Weight at $7.50, citing conservative 2025 margin expectations.

Macquarie maintains its sector thesis that online gaming represents the gaming industry's primary growth engine, positioning DraftKings and Flutter Entertainment as optimal exposure vehicles for sustained double-digit expansion through 2030. The firm projects Flutter could reach a $600 share price within four years, reflecting potential undervaluation of future iGaming legislation benefits.