the return of convention business<\/a>, resumption of international travel, elevated domestic travel, more members of the 55+ demographic returning to casinos, and more revenue diversification by way of venues outside of Las Vegas.<\/p>\nBuying Opportunities Abound<\/h2>\n
While a recession would crimp casino operators, history indicates that, excluding the global financial crisis, economic contractions haven\u2019t been overly punitive for Las Vegas operators.<\/p>\n
\u201cBetween 1970 and 2019, there were seven recessionary periods and annual LV GGR contracted five times. While 2008\/2009 LV GGR declined 9.9%\/9.8%, the remaining three LV GGR contraction years averaged under 0.5%. Inclusive of all periods, 1970 to 2019 LV GGR growth averaged +7.3% per annum,\u201d says Bain.<\/strong><\/p>\nRegional casino revenue contracted just twice during that span.<\/p>\n
Among gaming stocks that are currently buying opportunities, Bain highlights Caesars and Golden Entertainment on the basis of robust free cash flow generation. He adds both Century and Full House are undervalued relative to peers. Everi and Inspired Entertainment (NASDAQ:INSE) are also mentioned as opportunity-rich ideas.<\/p>\n","protected":false},"excerpt":{"rendered":"
Amid escalating fears that a recession is either here or soon will be, gaming stocks are among the most repudiated fare on Wall Street. But some analysts believe the group is enduring overly harsh punishment. In a note to clients today, B. Riley analyst David Bain lowers price targets on a broad swath of gaming […]<\/p>\n","protected":false},"author":46,"featured_media":219150,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[10,33810],"tags":[],"acf":[],"yoast_head":"\n
Gaming Stocks Pricing In Unlikely Bad Scenarios, Says Analyst<\/title>\n\n\n\n\n\n\n\n\n\n\n\n\n\t\n\t\n\t\n\n\n\n\n\n\t\n\t\n\t\n