Stocks that will benefit from online gambling and online poker are….

Online Gambling, Online Poker

Stocks that will benefit from online gambling and online poker 

I get this question a lot – What Stocks should I buy to benefit from online poker online gambling and online poker?

I made a short list of some of the stocks that I’m watching that should benefit from the recent Nevada online gambling approval and NJ gaming approval that should happen early next week: I’ll be updating to this list & providing charts so check back. I will be updating again soon but what I have so far… 

For those of you that play poker & want to learn trading : I had an older blog post here about the similarities and differences of POKER & TRADING that you may find interesting: http://stockguy22.com/2010/11/08/poker-and-trading-strategies-similarities-and-differences/

If you want to know what stocks I’m currently looking to buy : Join our group here to get my live buys/sells :  $7 – 2 week trial on our Gold Membership & you can see 2 of the charts below and the key levels of where I want to position on new swing trades as early as today : https://members.stockguy22.com/signup Or test us out & sign up for our Free membership for free trading videos , free trading webinars and updates.

 

 

The News today – Online Gambling & Stocks that could benefit are below:

Nevada Online Gaming license will cost $500,000 with a $250,000 renewal fee: http://www.washingtonpost.com/business/technology/nevada-governor-signs-online-gambling-bill-law-after-measure-fast-tracked-through-legislature/2013/02/21/b6300934-7c8a-11e2-9073-e9dda4ac6a66_story.html

NJ Online Gambling could be approved as early as next week Tues Feb 26th, 2013 2pmEST

http://blog.northjersey.com/meadowlandsmatters/5098/tuesdays-the-big-day-for-those-following-the-online-gaming-issue-in-new-jersey/

 

1) CZR ( Caesars Entertainment) 

CZR should benefit two fold from both online and the extra benefit from the World Series of Poker increase which should continue to benefit regardless of which company becomes the leader in the US online gambling market. They benefited during the Online Poker boom with more players to live events from online line sites like: Party Poker, Full Tilt Poker, Poker Stars etc.

Stock has currently dropped back to $11.50’s , was as high as $14.25 in early February 2013

Caesars Entertainment Corporation, primarily through its subsidiary, Caesars Entertainment Operating Company, Inc., provides casino entertainment services. Its casino entertainment facilities include land-based casinos, riverboat or dockside casinos, managed casinos, combination greyhound racetrack and casino, combination thoroughbred racetrack and casino, and harness racetrack and casino, as well as hotel and convention space, restaurants, and non-gaming entertainment facilities. The company’s casinos operate primarily under the Harrah’s, Caesars, and Horseshoe brand names. It also owns and operates an online gaming business that provide real money casino, bingo, and poker games under the WSOP and Caesars brands in the United Kingdom; has alliances with online gaming providers in Italy and France; offers ‘play for fun’ casino genre games to residents internationally; and provides social games on Facebook, other social media Websites, and mobile application platforms. In addition, it owns and operates the World Series of Poker tournament and brand; and a golf course on 175 acres of prime real estate through a land concession on the Cotai strip in Macau. As of December 31, 2011, Caesars Entertainment Corporation owned, operated, or managed 52 casinos in the United States, England, Scotland, Canada, Uruguay, Egypt, and South Africa. Its facilities had an aggregate of approximately 3 million square feet of gaming space and approximately 42,000 hotel rooms. The company was formerly known as Harrah’s Entertainment, Inc. and changed its name to Caesars Entertainment Corporation in November 2010. Caesars Entertainment Corporation was founded in 1937 and is based in Las Vegas, Nevada. Caesars Entertainment Corporation is a subsidiary of Hamlet Holdings LLC.

2) BYD ( Boyd Gaming Corp)  

In early Feb stock ran up to just over $8 along with CZR . Has recently dropped towards low $6 ( $6.34)  positioned well in both Nevada & NJ 

Boyd Gaming Corporation, together with its subsidiaries, operates as a casino entertainment company in the United States. It owns and operates 22 gaming entertainment properties located in Nevada, New Jersey, Illinois, Indiana, Iowa, Kansas, Louisiana, and Mississippi. In addition, the company owns and operates a pari-mutuel jai-alai facility located in Dania Beach, Florida, as well as a travel agency in Hawaii. Further, it holds a 50% controlling interest in the limited liability company that operates Borgata Hotel Casino and Spa in Atlantic City, New Jersey. Boyd Gaming Corporation was founded in 1988 and is headquartered in Las Vegas, Nevada.

 

3) BYI ( Bally Technologies Inc.) 

slower moving stock with major resistance at $50 area ( currently trades at $48.70’s )

They are also trying to benefit from online gambling since on Feb 4th ,2013 BYI announced an agreement with OpenBet, one of the world’s leading providers of interactive gaming and betting solutions.

http://news.ballytech.com/press-release/company/bally-technologies-brings-content-online-through-agreement-openbet

Bally Technologies, Inc., a gaming company, engages in the design, manufacture, operation, and distribution of technology-based gaming devices, systems, server-based solutions, custom mobile applications, and interactive applications. Its Gaming Equipment segment engages in the sale of gaming devices and licensing rights to game content software installed in the gaming devices, parts, and other ancillary equipment; and game content conversion kits, which enable customers to replace game content without purchasing a new gaming device. The company’s Gaming Operations segment is involved in the operation of wide-area progressive, video lottery, and centrally determined systems, as well as in the rental of gaming devices and content. Its Systems segment sells and supports computerized monitoring systems, as well as provides related recurring hardware and software maintenance services, and professional services. Bally Technologies serves traditional land-based, riverboat, and Native American casinos; and video lottery and central determination markets. The company was formerly known as Alliance Gaming Corporation and changed its name to Bally Technologies, Inc. in March 2006. Bally Technologies, Inc. was founded in 1932 and is headquartered in Las Vegas, Nevada.

 

4) ZNGA ( Zynga)

Stock has really tanked since the initial public offering (IPO ) & continues to hover just over $3 area. Recently went as high as $3.75 but well off the post IPO highs of $15+

There has been speculation in the past of a ZNGA buyout or a bid to take them private but this is how it may benefit from online gambling

http://www.forbes.com/sites/ericsavitz/2012/10/12/zynga-ceo-pincus-re-tweets-piece-advising-they-go-private/

http://www.examiner.com/article/zynga-could-benefit-from-new-jersey-governor-s-support-of-online-gambling

Zynga Inc. develops, markets, and operates online social games as live services on the Internet, social networking sites, and mobile platforms. The company offers its online social games under the CityVille, Zynga Poker, FarmVille, CastleVille, FrontierVille, Mafia Wars, Word with Friends, Hidden Chronicles, Zynga Bingo, Scramble With Friends, Slingo, and Dream Heights names. Its games are available on various platforms, including Facebook and other social networks, as well as mobile platforms, such as Apple iOS and Google Android worldwide. The company was formerly known as Zynga Game Network Inc. and changed its name to Zynga Inc. in November 2010. Zynga Inc. was founded in 2007 and is headquartered in San Francisco, California.

5) GLUU ( GLU Mobile Inc.)

Speculation that it could be take over target : http://seekingalpha.com/article/1168021-is-glu-mobile-a-takeover-target-can-zynga-afford-it?

Glu Mobile Inc. designs, markets, and sells mobile games worldwide. It develops original games based on its intellectual property comprising Big Time Gangsta’, Blood & Glory, Bug Village, Contract Killer, Contract Killer: Zombies, Eternity Warriors, Frontline Commando, Gun Bros, Men vs. Machines, Stardom: The A-List, Super K.O. Boxing and Toyshop Adventures. The company also develops games based on licensed intellectual property consisting of Build-a-lot, Call of Duty, Deer Hunter, DJ Hero, Guitar Hero, Family Feud, Family Guy, Lord of the Rings, Paperboy, The Price Is Right, Transformers, Who Wants to Be a Millionaire?, and World Series of Poker. It offers a portfolio of action/adventure and casual games to smartphones and tablet devices users through direct-to-consumer digital storefronts, as well as to feature phone users served by wireless carriers and other distributors. The company was formerly known as Sorrent, Inc. and changed its name to Glu Mobile Inc. in May 2005. Glu Mobile Inc. was incorporated in 2001 and is headquartered in San Francisco, California.

 

 6) BWPY.L ( merger of BWIN &  Party Poker – trades on London Stock Exchange LSE )

also trades as an OTC stock with ticker PYGMF ( price has been trading the past 5 months between $1.40’s -$2.20’s ) currently $2.14

one of the first online poker sites that initially benefited from the poker boom:  A leader in digital entertainment and also the world’s largest listed online gaming business.

They may try to re-position and align themselves with other partnerships into 2013 in order to benefit from the US changes in online gambling.

you can see current price on the stock here: http://uk.finance.yahoo.com/q?s=BPTY.L

 bwin.party digital entertainment plc, the world’s largest listed online gaming business with market leading positions in each of our four product verticals: poker, sports betting, casino and bingo. Our leading brands include bwin, PartyPoker, PartyCasino and Foxy Bingo.

 

7) Poker Stars  ( but currently privately owned)

should also become a big winner in this but its privately owned – I really think they made 2 great moves.

1) to settle with DOJ and buy Fulltilt Poker http://www.businessinsider.com/pokerstars-settles-with-department-of-justice-and-buys-fill-tilt-poker-2012-7

2) to buy a NJ casino in 2012  since they can combine online gaming with live poker or live slot events in the future.

http://www.pokernews.com/news/2012/12/report-pokerstars-interested-in-purchasing-casino-13939.htm

 PokerStars is the world’s largest poker site and the home of tournament poker. It’s home to the biggest weekly online tournament – the Sunday Million – plus the annual World Championship of Online Poker (WCOOP). It’s also where you can qualify for events like the European Poker Tour (EPT), PokerStars Caribbean Adventure (PCA) and many more. PokerStars is even in the record books for hosting the biggest ever online poker tournament and the highest number of people playing at once.

 

8) IGT : International Game Technologies

recently went as high as $16.83 and recently pulled back down to $15.79 ( not as much upside initially as  CZR BYD stocks)

International Game Technology engages in the design, development, manufacture, and marketing of casino games, gaming equipment, and systems technology for land-based and online social gaming, and wagering markets worldwide. The company offers casino-style games; casino-style slot machines that determine the game play outcome at the machine; wide area progressive jackpot systems with linked machines across various casinos; and central determination system machines connected to a central server, which determines the game outcome, encompassing video lottery terminals used primarily in government-sponsored applications and electronic or video bingo machines. Its systems products include infrastructure and applications for casino management, customer relationship management (CRM), player management, and server-based gaming. The company’s casino and CRM solutions comprise integrated modules for machine accounting, patron management, cage and table accounting, ticket-in/ticket-out, bonusing, table game automation, payment processing, reporting, and regulatory compliance. Its player management solutions feature custom player messaging, tournament management, and integrated marketing and business intelligence modules that provide analytical, predictive, and management tools for maximizing casino operational effectiveness; and server-based solutions to enable electronic game delivery and configuration for slot machines, and casino operators. The company also provides wager-based online casino and mobile gaming systems infrastructure and applications, content licensing, and back office operational support services. Its gaming markets include Europe, the Middle East, Africa, Mexico, South and Central America, the Caribbean, Asia, Australia, New Zealand, and the Pacific. International Game Technology was founded in 1980 and is headquartered in Las Vegas, Nevada.

 

9) Bricks & Mortars Casino like WYNN LVS MGM MPEL etc.

can’t see them just sitting back and not trying to position themselves to get a piece of the online gaming business. I’m sure they are the ones to have pushed Nevada to be the first state to approve online gaming. We may get more information once we can see which companies will pay the $500,000 fee in Nevada. Initially was going to be $1mill.

For the major casinos the $500k fee is pocket change so be surprised if most of the Las Vegas Casinos don’t apply for the online gaming licenses. Then they will probably begin doing some partnership arrangements or at the very least offer online gambling to their current live casino customers.

Will be interesting how this will play out in the next few years.

 

If you want to know what stocks I’m currently looking to buy : Join our group here to get my live buys/sells :  $7 – 2 week trial on our Gold Membership & you can see 2 of the charts below and the key levels of where I want to position on new swing trades as early as today : https://members.stockguy22.com/signup Or test us out & sign up for our Free membership for free trading videos , free trading webinars and updates.

check back again since I will post updates on this topic

Hope you found this helpful & feel free to share it with others if you did

 

followup : Mon Feb 25, 2013 

Canada and online gambling – will Canada get online gambling and when?

this 3 part article may give you some insight into Ontario online gaming as of Feb 2013

Canada  #onlinegambling Part 1 http://sg22.ly/Ys5bGA  Part 2http://sg22.ly/Ys5h0Z  Part 3 http://sg22.ly/Ys7dXk  by @KellyatLFPress

 

California online gambling update:

wrote in newsletter California/Arizona be next & bill introduced in California http://sg22.ly/Ys3SHG Friday Feb 22 another bill proposed (now California has 2 to consider)

We’ll probably see neighboring states like Arizona and others jump on board with their an online gaming bill too.

 

 

Stockguy22

Posted in Blog, Charting & Analysis, Charts Tagged with: , , , , , , , , , , ,