GDEN

Golden Entertainment Inc

Consumer


Presented:01/12/2016
Price:$10.10
Cap:$0.19B
Current Price:$29.77
Cap:$0.84B

Presented

Date01/12/2016
Price$10.10
Market Cap$0.19B
Ent Value$0.28B
P/E Ratio643.31x
Book Value$8.53
Div Yield0%
Shares O/S19.06M
Ave Daily Vol22,347
Short Int0.26%

Current

Price$29.77
Market Cap$0.84B
Golden Entertainment, Inc. develops, finances, manages and owns casino properties. The company operates through the following segments: Rocky Gap, Indian Casino Projects and Other. The Rocky Gap segment includes a hotel, gaming facility, an event and conference center, spa, restaurants and the only Jack Nicklaus signature golf course in Maryland. It is also involved in other business activities, including the investment in non-Indian casinos in Ohio and Florida. The Indian Casino Projects segment is engaged in the development, financing, and management of gaming-related properties for the Shingle Springs Tribe and the Jamul Tribe. The Other segment includes the short-term investments and the investment in Rock Ohio Ventures, LLC's casino and racino developments in Ohio, as well as Turfway Park in Florence, Kentucky; and an investment in Dania Entertainment Center, LLC's Dania Casino & Jai Alai in Dania Beach, Florida. Golden Entertainment was founded in 1998 and is headquartered in Las Vegas, NV.

Publicly traded companies mentioned herein: Golden Entertainment Inc. (GDEN) and Penn National Gaming (PENN).

Highlights

The presenter is long shares of Golden Entertainment, the largest distributed gaming operator in Nevada. Distributed gaming refers to routes that feature video poker and slot machines in venues such as convenience store and gas station locations throughout the state; Golden has about 40% share of this market in Nevada. The company is also the largest operator of so-called taverns in Vegas, with about 10% share, which similarly offer video/ slot games in bar/ restaurant locations operated by the company. Both are high return on capital businesses. 

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Idea Discussion

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