Decimal Odds Indicate your ROI
You will see decimal odds used for sports common throughout Europe and a few other places in the world. These odds indicate the return on your investment, including your stake.
Thus, if the odds are 1.5 you can calculate your return my multiplying your wager and the odds.
Let’s say you want to wager $100:
$100 (wager) x 1.5 (odds) = $150 (stake + profit)
Your profit in this instance would be $50.
Larger numbers indicate potentially larger returns. Thus, you’ll see larger decimals placed on the underdogs and you’ll have the opportunity to walk away with larger profits.
Heavy favorites will have very small return on investments. For example, the Rafael Nadal vs. Guido Pella match recently had moneyline odds for Nadal at 1.02. If you wagered $100 in this instance and Nadal won, you’d walk away with a $2 profit. That’s not very exciting.
Let’s look at a range of odds and understand what they imply:
The odds posted here are for three different matches on June 19. Each player has moneyline odds assigned to him. These are the odds that this player will win the match.
In the Kohlschreiber vs. Fucsovics match, Kohlschreiber’s odds are 1.55. If you wagered $100 on Kohlschreiber to win the match, your potential profit is $55.
$100 (wager) x 1.55 (odds) = $155 (stake + profit)
If you wagered $100 on Fucsovics to win the match, your potential profit is $163.
$100 (wager) x 2.63 (odds) = $263 (stake + profit)
This tells us that Kohlschreiber is the favorite and expected to win the match. You must risk a decent amount in order to come away with a modest profit. While the potential profit for wagering on Fucsovics is more attractive, you also know that he’s the riskier bet.
The Pouille vs. Tsitsipas match has the relatively same dynamics at play. Pouille is the favorite and the potential profit for betting on him is modest.
In the Johnson vs. Paire contest, however, we see the sportsbooks predict a close match. Johnson’s odds are 1.88 and Paire’s odds are 1.94.
Johnson: $100 (wager) x 1.88 (odds) = $188 (stake + profit)
Paire: $100 (wager) x 1.94 (odds) = $194 (stake + profit)
The potential profit of $88 and $94 dollars are relatively close and this is how we know the match is more of a toss up.