## Bet Odds Meaning

To properly understand sports betting, you need to understand

odds. They are an integral part of any sports wager, and they are used

to determine whether a wager is worth making or not. The

potential payout of any wager you place is calculated using a

combination of the relevant odds and your stake.

On this page, we explain about odds in some detail. We define

exactly what they are and the role they play. We also look at

the three different formats in which they can be expressed, and

explain why odds on the same outcome can vary with different

bookmakers.

Betting odds simply indicate the likelihood of an event and the return you’d get if you did make a wager on the result. Betting odds may be displayed in three different formats at US sportsbooks and online and mobile sports betting platforms: American odds, fractional odds and decimal odds. Odds are the return you can expect to get if the horse you bet on is successful. It reflects the amount of money bet on a horse; the more money that is invested, the shorter the odds. When horse racing odds are shown in the form of 7-2, 5-1, etc, it expresses the amount of profit to the amount invested.

## What Are Odds?

In sports betting terms, odds basically serve two purposes.

First, they are used to calculate the payouts of winning wagers.

Every time you place a bet with a bookmaker, you’ll be offered

odds at the time, which impact how much you can win. The higher

they are, the more you stand to win relative to your stake.

Second, odds also reflect the likelihood of any particular

outcome happening. The more likely an outcome, the lower they

will be. This makes perfect sense, as you would expect to win

less when betting on an outcome that’s likely than when betting

on an outcome that is unlikely.

Imagine a tennis match where the player ranked number one in

the world is pitted against the player ranked 137th. It stands

to reason that the best player in the world is going to be

considered more likely to win than his opponent. Therefore, a

wager on his winning would have very low odds; a wager on his

opponent winning would have much higher odds.

This is a somewhat simplified explanation, but it gives a

general idea of the role of odds in sports betting.

## Different Odds Formats

As you can see, the fundamental principle behind odds is

really quite straightforward. Things are slightly complicated by

the fact that there are three different formats of odds as

follows:

- Moneyline/American Odds
- Decimal Odds
- Fractional Odds

Chances are, at some point, you’ll encounter each of these

formats. For this reason, it pays to be familiar with each one.

They all work in essentially the same way–basically just

different ways of expressing the actual odds for any particular

wager.

### Moneyline or American Odds

Moneyline odds are also known as American odds, and this is

the format most commonly used in the United States. They can be

displayed as either a positive or a negative number. A positive

number expresses how much a correct wager of $100 would win,

while a negative number expresses how much you would need to

stake in order to win $100.

If you saw odds of +150, you would know that a $100 bet could

return $150 in winnings, plus the initial stake of $100. If you

saw -150, you would know you need to stake $150 to return $100

in winnings, plus the initial stake of $150. An even money wager

(where you stand to win an amount equal to your stake) is

expressed as +100.

### Decimal Odds

Decimal odds used to be associated mostly with mainland

Europe, Canada, and Australia. However, they have now largely

become the standard at most online bookmakers with the exception

of some US betting sites. This is because they are the most

straightforward of the three formats and are expressed simply as

a single positive number, typically to two decimal places.

The number shows how much the total payout will be, including

the original stake per unit staked. For example, a winning bet

at 1.5 would return a total of $1.50 for every $1 staked. A

winning bet at 2.25 would return a total of $2.25 for every $1

staked. An even money bet is expressed as 2.00.

### Fractional Odds

Fractional odds are the traditional format used in the United

Kingdom, although decimal odds are slowly taking over.

Calculating potential profits and payouts with this format can

be a little tricky, certainly to start with, but the basic

principle isn’t as complicated as it might seem. As with

moneyline odds, fractional odds show how much potential profit

you can make. To calculate the total potential payout, you have

to add your original stake.

As the name suggests, these odds are displayed as a fraction.

A simple example is 3/1, which is said as “three to one”. 5/1 is

said as “five to one”, and so on. With 3/1, you can win three

units for every one unit staked, and with 5/1 you can win five

units for every one unit staked. 1/1 is even money, so you can

win one unit for every unit staked. As you can see, this is

quite straightforward so far.

Things get slightly more complicated, because this format also

includes examples such as 6/4, 11/10, and 5/2. The math involved

is thus not always so simple. With 6/4, you can win six units

for every four units staked, which is equal to 1.5 units per

unit staked. With 11/10, you can win eleven units for every ten

units staked, or 1.1 units per unit staked.

Whenever the first number is larger than the second, this is

said to be “odds against.” These are basically the equivalent of

positive moneyline odds in that the potential profit is greater

than the amount staked. Things get even more complicated as

there are also “odds on” odds. These are the equivalent of

negative moneyline odds in that the potential profit is less

than the amount staked.

An example of odds on is 1/4 is said as “four to one on”. 4/7

is “seven to four on”, and so on. With 1/4, you can win one unit

for every four units staked, and with 4/7 you can win four units

for every seven units staked.

## Converting Odds Formats

If you ever want to convert odds from one format to another,

there are some reasonably straightforward calculations you can

do. We can save you the bother, however, as we offer a useful

tool which will automatically convert any odds from one format

to another. You can find this tool on the following page.

## Why Odds Vary on the Same Outcome

For a lot of wagers on sporting events, you’ll see that

different bookmakers offer different odds. For example, one

might have a football team at +130 to win a match, while another

might have the same team to win the same match at +120. To

explain this, we expand on a statement made earlier.

When we said that odds reflect the likelihood of a particular

outcome happening, it would have been more accurate to say that

they reflect how likely a particular outcome will happen in the

view of the bookmaker. Predicting how likely any outcome is in a

sporting event isn’t an exact science, and it essentially comes

down to a matter of opinion.

### Premier Bet Odds Meaning

This is why the odds in sports betting are variable, because not

all bookmakers will have exactly the same view on how likely a

particular outcome is. Odds can also be affected by other

factors, such as the amount of money a bookmaker has taken on a

particular market. What this means is that the odds that a

bookmaker sets for a wager aren’t always an accurate reflection

of the true likelihood of the relevant outcome happening.

Paybox usa. Therefore, it’s possible to put the odds in your favor when

betting on sports. If you’re able to correctly predict the

outcome of sporting events often enough, you can consistently

turn a profit. It’s not easy, but if you can combine your sports

knowledge with an understanding of certain key aspects of

betting, it can definitely be done.

### Football Bet Odds

Odds are one of those key aspects, and you hopefully now

understand how they work and why they vary. You should also

understand why the use of odds is the main reason why bookmakers

make money, which we explain in the next article.