Time to buy casinos ?

Discussion in 'Stocks' started by midniteeuropa, Mar 16, 2009.

  1. they have been beat up badly, is it time to buy...Vegas isn't going anywhere....the very people who will benefit from all this stimulus are the ones who will blow it on vegas by splitting a pair of face cards....

    what u guys think ?
     
  2. It's a true gamble.
     
  3. Bad idea to split face cards??

    (I like splitting 5s)
     
  4. Many of the casinos are on the technical route to bankruptcy, as in, their share prices and/or loan repayment history with creditors point to BK.

    MGM, LVS, Harrah's and Station Casinos are four such heavily distressed casino firms I don't believe can make it in this environment.

    MGM, LVS and Harrah's have all put all their chips on the Macau table at this point, but I'm not so sure China is stable enough or that they can be allowed to fairly compete with the local Chinese operators there, even if China stabilizes soon.

    Steve Wynn is back to selling junk bonds to try and stave off a similar fate, but while that worked for him in the 80s, things are fundamentally different now, and Vegas is truly saturated now unlike in the 80s when it clearly had room to grow.