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Expected Value (EV)

The average amount you can expect to win or lose per bet over time.

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Expected Value (EV) is the most important concept in gambling mathematics. It represents the average outcome of a bet if it were placed an infinite number of times. A positive EV (+EV) means the bet is profitable long-term; a negative EV (-EV) means the house has the edge.

EV is calculated by multiplying each possible outcome by its probability, then summing the results. Every casino game has a negative EV for players (that's how casinos make money), but sports bettors can find +EV opportunities when a sportsbook's odds don't reflect true probabilities.

Understanding EV is what separates recreational gamblers from advantage players. Rather than focusing on individual wins or losses, sharp bettors evaluate every wager by its expected value.

Formula

EV = (Probability of Winning × Amount Won) - (Probability of Losing × Amount Lost)

Example

A coin flip bet paying +110 on heads: EV = (0.50 × $110) - (0.50 × $100) = $55 - $50 = +$5 per $100 bet. This is a +EV wager.