Buy Harrahs Stock?

[Mr.Smith]

With the WSOP there now I am thinking they will have one helluva quarter. Does anyone have any thoughts on buying HET?

I am thinking many in the pro finance world will not anticipate the impact the WSOP is/will have on Harrahs bottom line this year until the numbers actually come out. By all accounts, it has been a fantastic year at the WSOP so far and the TV coverage when it comes should drive the poker craze higher and provide a ton of advertising to Harrahs/Rio.

HET seems like a good stock to own anyway, I have some but am thinking of adding to it.

 

[DNoonan]

I just got back from the RIO where it is being held and it was packed...might have been anyway as it was a holiday weekend, but I also read an article about how downtown was suffering with the WSOP move...so I would assume that HET will benefit, but a) who knows how much and b) is it already built in to the FMV

interesting thought and good luck to you

 

[Horseshoe]

Outside of RIO, I do not find many of there properties to be sexy nor my real cup of tea, but they are without a doubt a smart gaming group, and their moves have generally been solid in the long haul.

 

[WildBill]

Harrahs has over 40 casinos now with EBITDA expected to come in over $1.2 billion this year. In other words the needle barely moves even with the WSOP doing well.

 

[jeffksu]

also...station casino's is going through the roof....eight more in the next eight years...may i suggest to get in NOW......thank me later,,,,,jeffksu

 

[monicus]

HET actually bought Binons and then put it back up for sale just to get title to the WSOP.

The stock is one of the best stocks in the gamng sector to own right now.

PE
HET 21
MGM 28
BYD (Boyd) 32
LVS (Venetian) 41

15% earnings growth. 8% profit margins vs. an industry average of 5%. And it also has a 1.8% yield.

Write some $70 Aug puts and keep the $1.6 either way. If goes below 70 on Aug 19th you own it at 70. In other words you bought it on a pullback.