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In doing my research this weekend, I came across two enticing gaming companies. They both are selling at significantly under their growth rates, are priced at very reasonable valuations and look like good gambles at current price levels.

Ameristar Casinos (NASDAQ:ASCA) -

Ameristar Casinos, Inc. operates as a gaming and entertainment company in the United States. The company develops, owns, and operates casino, and related hotel, food and beverage, entertainment, and other facilities. It primarily offers slot plays, as well as a range of table games, including blackjack, craps, roulette, and poker.

(Business Description from Yahoo Finance)

4 reasons Ameristar Casinos is a bargain at under $20 a share:

· The company is showing significantly increasing earnings growth. It earned $.83 in FY2010, is expected to make $1.81 in FY2011 and analysts have it tagged for 2.31 in EPS in FY2012.

· The stock goes for less than 3 times operating cash flow and yields 2.1%.

· It has a five year projected PEG of just .33 and goes for 55% of trailing annual revenues.

· The median analysts' price target on ASCA is $24 and ISI Group just initiated it as "Buy".

Las Vegas Sands (NYSE:LVS) -

Las Vegas Sands Corp., together with its subsidiaries, owns, develops, and operates various integrated resort properties primarily in the United States, Macau, and Singapore. It owns and operates The Venetian Resort Hotel Casino, The Palazzo Resort Hotel Casino, and The Sands Expo and Convention Center in Las Vegas, Nevada; and the Sands Macao, The Venetian Macao Resort Hotel, the Plaza Casino, and the Four Seasons Hotel Macao, Cotai Striptm in Macau, the People's Republic of China.

(Business Description from Yahoo Finance)

4 reasons Las Vegas Sands is worth considering at $46 a share:

· The company is rapidly increasing EPS. It made $.98 in FY2010, is expected to earn $1.99 in FY2011 and analysts have it notching 2.55 in EPS in FY2012.

· The median analysts' price target on Las Vegas Sands is $58.50. Credit Suisse has an "Outperform" rating and a $60 price target on LVS.

· The company has the best positioned casino assets of any U.S. based firm and has a five year projected PEG of just .6.

· Argus, Stifel Nicolaus and UBS all upgraded the stock in the last nine months and consensus earnings estimates for FY2011 and FY2012 have risen over the past three months.

Disclosure: I have no positions in any stocks mentioned, but may initiate a long position in ASCA over the next 72 hours.

Source: 2 Casino Stocks Worth Considering