Casino Stocks in 2012: It’s All About Location, Not Luck

In a new Fitch Ratings Inc. report, the company has forecast that casino operators in 2012 will have varying levels of success for increasing profits and paying off debt, based on their geographic locations.

According to the report authored by Michael Paladino, he forecasts for 2012 that gambling firms “will experience varying degrees of success in continuing the margin expansion broadly seen in 2011.” He noted that casinos exposed to Las Vegas and the Asian markets will see continuous margin improvements, but the regional markets such as Atlantic City and the Chicago area, will incur “more lackluster top-line growth prospects” and pressure from increased competition. ”

Paladino added, “Specifically, the U.S. gaming operators with significant Asian exposure – Las Vegas Sands (NYSE:LVS) and Wynn (NASDAQ:WYNN) – will continue to amass cash for future growth opportunities or return cash to shareholders to the extent that growth opportunities do not materialize in the near term.”

Here’s how casino stocks are trading on the news:

Las Vegas Sands Corp. (NYSE:LVS): LVS shares recently traded at $40.64, down $1.05, or 2.52%. They have traded in a 52-week range of $36.05 to $51.05. Volume today was 2,147,608 shares versus a 3-month average volume of 16,141,500 shares. The company’s trailing P/E is 27.09, while trailing earnings are $1.50 per share. Get the most recent company news and stock data here >>

Wynn Resorts Ltd. (NASDAQ:WYNN): WYNN shares recently traded at $103.16, down $1.25, or 1.2%. They have traded in a 52-week range of $99.46 to $172.58. Volume today was 268,639 shares versus a 3-month average volume of 3,826,860 shares. The company’s trailing P/E is 24.08, while trailing earnings are $4.28 per share. Get the most recent company news and stock data here >>

MGM Resorts International (NYSE:MGM): MGM shares recently traded at $9.30, down $0.28, or 2.92%. They have traded in a 52-week range of $7.40 to $16.94. Volume today was 1,794,237 shares versus a 3-month average volume of 20,627,100 shares. The company’s trailing P/E is 1.61, while trailing earnings are $5.79 per share. Get the most recent company news and stock data here >>

Melco Crown Entertainment Ltd. (NASDAQ:MPEL): MPEL shares recently traded at $8.56, down $0.17, or 1.95%. They have traded in a 52-week range of $5.55 to $16.15. Volume today was 1,068,308 shares versus a 3-month average volume of 8,892,940 shares. The company’s trailing P/E is 22.65, while trailing earnings are $0.38 per share. Get the most recent company news and stock data here >>

Boyd Gaming Corp. (NYSE:BYD): BYD shares recently traded at $5.85, down $0.16, or 2.66%. They have traded in a 52-week range of $4.12 to $12.78. Volume today was 143,713 shares versus a 3-month average volume of 1,570,950 shares. The company’s trailing earnings are $-0.12 per share. Get the most recent company news and stock data here >>