'The whole landscape changed': Gaming CEOs see new opportunities post-midterms

Midterm election results have created new openings for U.S. gambling expansion, while raising the prospect of greater political and legal pressure on prediction markets, according to gaming industry executives.

"The whole landscape changed," said Craig Billings, CEO of Wynn Resorts , during the company's earnings call Thursday.

Wynn has been closely watchng developments in the Middle East as it looks to open the United Arab Emirates' first legal casino in 2027. Billings said he suspects the election will have an impact on the "likely trajectory of the conflict in the region."

Closer to home, Billings sees opportunities in Texas. And he's not the only one. On the heels of reporting record third-quarter revenue and raising guidance for its brick-and-mortar business, Penn Entertainment CEO Jay Snowden called out specific opportunities made possible by state leadership changes.

Election Day was "a very good day overall for the industry, and certainly for Penn," Snowden said on Thursday's earnings call.

Texas, in particular, could be a jackpot for the casino industry. In a massive upset, Democrat Vikki Goodwin defeated longtime Lt. Gov. Dan Patrick, who has been persistent in blocking gambling expansion in the Lone Star State.

"Texas is a fascinating market," Billings said, explaining how many consumers travel to Oklahoma to gamble at tribal casions. "So it's kind of a stealth market that is giant."

Penn has been building a position in Texas for years, Snowden said. It operates two of the state's three Class 1 thoroughbred racetracks and has established relationships with local leaders.

Penn plans to spend more time in Texas and, if lawmakers move toward legalization, Snowden said he expects the company is “positioned as well, if not better than really anybody in the sector.”

Las Vegas Sands also has invested heavily for many years to get casino gambling legalized in Texas .

"When Las Vegas Sands thinks about Texas and the Metroplex, it's really about an asset that will be both for business and future tourism," Sands Chairman and CEO Patrick Dumont told CNBC in an interview in October in Macao .

Dumont recently acquired the controlling stake in the Dallas Mavericks from his mother-in-law Miriam Adelson. He said there is the potential for a new Mavericks arena to incorporate a future casino.

"Whatever Las Vegas Sands can do in the future, that will be its own location, its own site and its own timeline," he said.