USC-Col 2006-Honors Finance/Econ Grad MD

Gaming Stocks Still a Poor Bet - Barron's

I have to agree with the analysis in the article somewhat. Casinos make money primarily off of hoping that 55% or higher lose within the casinos. Skilled patrons and others similiar aren't a factor. They would just win either way. However in a economic downfall, how could you bring 10,000 dollars to a casino and spend hoping you win. You would hope they invest their money in a financial insittuion, but those aren't bet for fun. Those bets you hope everyone knows what they are doing, you profit by having a good retirement, or make bucks by the stock doing well, retain money by tax-advantaged strategies, and so on. So placing a bet in a stock including casino, at a time like this wouldn't make sense. Their will always be casinos. I just don't think a complete casino sell-off will be a good idea. For instance, If i'm stuck in the moutains, a casino their would be a great idea to go to. If I'm stuck in a hometown, and I need any access money possible, then a casino would be a bad idea. It has nothing to do with sin stocks I think. Because those are relative to what somene's religious and not moral or ethical beliefs. Spending money hoping to earn access money is never unethical or immorral. It's just plain not smart if given the wrong person and the wrong circumstances.