Investing in Macau: 24 Million to 25 Million Visitors Expected in 2007...
By Ian Cooper
We’ve been bullish on Macau and related-gaming stocks since early 2006; the year Macau visitor growth soared some 12% thanks to the explosively growing casino development. And there’s even more reason to be excited as between 24 million and 25 million visitors are now expected to rain down on the casino boomtown.
Plus, keep in mind that 1.3 billion people live within a three-hour flight of Macau, and another 100 million people are within a three-hour drive of the new gambling mecca. It’s such an explosive region that “From January through November, Macau casinos took in $6.485 billion from slots and table games, beating the Vegas' $6.079 billion… according to Macau's Statistics and Census Service and the Nevada Gaming Control Board,” as quoted by USAToday.com.
Better still, the Street expects for Macau gaming revenue, which nailed $7 billion in 2006, to grow another $10 to $15 billion by 2010. With that in mind, some of the Macau-related stocks we like are PacificNet (PACT), Transact Technologies (TACT), and Melco PBL Entertainment (MPEL), a joint venture between Melco and Australia’s Publishing & Broadcasting.
Quite honestly, Macau is one of the safest bets to take these days, in my opinion.
Take care,
Ian L. Cooper, Editor, Early Alert Trader
| |