The Las Vegas Sands (LVS) has neatly lopped a quarter of the value off its shares today. That’s brutal. Worse when you realize that the stock was in the high $30s earlier in the month. We thought gambling was supposed to be recession proof. Well, maybe they were 90s-style recession proof, but this is entirely different. (Just ask Kirk Kerkorian).
My own theory is that all the casino stocks move in unison with the projected size of Wall Street Bonuses. (But the effect is stronger for the Atlantic City properties).
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First #8 goes ATM on #7
i wouldn’t worry, its only down about 97% in the last 12 months. I think Sheldon is only down about $25 billion or so.
Down 97% YOY. Sheldon Adelson has some problems!
In July, with the stock down nearly 80% YOY, stockholders would have thought the worst was over. But no, they were going to lose almost 90% of what they had left!
Still (barely) a better investment than Bear, Lehman, Wamu…
@2
Yeah. We only have 3% to go.
The casinos just consolidated a few years back and may have to unload some of the poor performers. I am sure some SWF’s may be interested.
Hank will buy them.
whats up with vegas declaring the phillies of game 5? if you picked the phillies to win the series do you get paid on that since they have technically won 4 games now? anybody else see this article?
http://www.lvrj.com/sports/33433179.html
EP, you need to incorporate Asian markets in that theory as well. Heck, IIRC, MGM Grand changed their lion entrance because Asian patrons wouldn’t walk through it.
Speaking of Atlantic City, who is buying a case of “Soprano’s Wine?” I can’t wait!!!
@3 Couldn’t happen to a more deserving person.
Sheldon Adelson:
Right wing nut case, promoting extreme Zionism and interested in starting WW3.
Sheldon’s got a margin call, Oye Vey.
I don’t think he can refer to himself as Sheldon Adelson III anymore (as in the 3rd richest man in america)
@7 – They didn’t win the game. It’s been suspended. It will resume play tomorrow.
@14, did you read the article that was attached?
According to the Vegas books, Philly won.
While pure-play casinos may hold up relatively well (key word: “relatively”) in a recessionary environment, nothing within a 1/2 mile + of the strip can legitimately be referred to as such.
I’m sure the Foxwoods, Turningstones and Mohegan Sun’s aren’t nearly as screwed since they depend less on lavish shopping, entertainment, etc, and are certainly far cheaper to get to and stay at than their vegas brethren.
As for Atlantic City, anyone wanna roadtrip down there and check out the Borgata Water Club?
thanks 16, dont think 14 was understanding the post.
The economic “hold” from casinos during the 1990′s wasn’t legit. Basically, gaming revenue was flat during the recession – however, this misses the fact that a massive gaming buildout occurred in the Southeastern US during the same period. Strip out the new build, look on a same-store basis and you’ll see it’s basically a consumer discretionary segment.
@16,18 – Couldn’t get the link to work. My browser is picky. They actually called the game? Can they do that?
@20, here is the full story:
‘House rules’ apply; run line, totals refunded
By MATT YOUMANS
REVIEW-JOURNAL
Despite what appeared to happen Monday night in Philadelphia, the Tampa Bay Rays lost Game 5 of the World Series. At least in the view of Nevada sports books, the Phillies won 2-1.
The game was suspended because of rain in the middle of the sixth inning with the score tied 2-2. The Rays had tied it in the top of the sixth when Carlos Pena’s two-out single scored B.J. Upton.
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However, even though the suspended game is scheduled to be completed today, the betting result is final.
According to Nevada gaming rules — often referred to as “house rules” — the final score of an official game is determined by reverting to the last completed inning. The Phillies led 2-1 after the fifth.
Las Vegas sports books are paying off Game 5 side bets on Philadelphia, which was about a minus-170 favorite. Wagers on totals and run-line bets are being refunded because rules stipulate that at least 81/2 innings must be played.
“We’re just following the regular baseball rules. This is a very common rule,” Las Vegas Hilton sports book director Jay Kornegay said. “We can’t make exceptions.
“There was no special disclaimer for World Series games, or any playoff games for that matter, that your bet would continue if the game was suspended. It’s one of those unfortunate misunderstood rules of baseball betting.”
Kornegay expects some bettors to be confused about the rules, but he said there should be no controversy.
“There will be some upset people,” he said. “It’s unfortunate because it could be one of the worst bad beats you can get if the Rays come back and beat the Phillies. But it’s not a bad beat yet.”
Kornegay said the Hilton will post a proposition bet today on the conclusion of Game 5. The Phillies, who have an advantage because they still get to bat in the sixth inning, will be money-line favorites and the wagers will be paid “whenever the game is finished,” Kornegay said.
Today’s weather forecast in Philadelphia calls for more rain, so another delay is possible.
It is anticipated that Tampa Bay will send rookie left-hander David Price to the mound when the game resumes. Philadelphia also will go with a reliever after ace Cole Hamels pitched six innings Monday.
@21 – Thanks.
does nobody here sports bet? the called game rule is normal for most bookmakers. actually mine has it at 7 innings not 8 1/2
@11
The New Yorker had a great article about him a few months back. Very Machiavellian of him to screw his own children out of dinero.
What’s the avg debt load for casinos? People need cash to gamble, or a job.
http://www.weeklyta.blogspot.com
hi guys,
i’m looking for a condo preferably new construction like in chelsea.
i heard you can score sweet deals – like 2300 – 2500 per sqauare ft.
any info?
i fiure that shit has to be worth like doube by next year.
@26 – go back from whence you came!
Gaming, as in legalized private taxation of people who can’t do math, is highly recession-resistant. However, LV is still paying for that whole “Let’s become a family destination” crap. The casinos aren’t just casinos anymore, they have Cirque du Soleil and God knows what going on which were fairly profitable in good times but, being pure consumer entertainment and not a high-margin can’t-lose Pavlovian printing press, aren’t faring so well in downturns. Also, they are highly overbuilt in that there are only so many people who can’t do math who can afford to go to LV at any one time.
Gaming in Asia is INSANE, btw, and anybody with half a brain is trying to get in on that shit.
not as cheap nowwwwwwwwwwwwwwwww