Gala Coral’s increased online revenue in its first year with Playtech as supplier was cancelled out by a more than doubling of marketing expenditure, as online EBITDA dropped 9 percent to £25m.
Analysts at Eilers Research believe Caesars Interactive Entertainment (CIE) will retain its leadership in the nascent social casino sector for the third quarter of 2013.
Credit Suisse analysts believe that despite three profit warnings this year, Ladbrokes has the potential to announce further downgrades as the firm’s troubled digital division continues to weigh on results.
Investec analysts expect Sportech to drive growth in its American venture by expanding the group’s land-based footprint in Connecticut and California and developing its online and mobile eBet product.
Macquarie analysts have upgraded their third-quarter estimates and price targets on leading casino giants MGM Resorts, Las Vegas Sands and Wynn Resorts on the back of healthy growth in Las Vegas and Macau gaming.
Credit Suisse analysts believe that shares in Aristocrat Leisure remain overvalued, though the Australian slot supplier is expected to increase its share of a somewhat stagnant North American gaming machine market and has made strong strides in social casino since the end of last year.
Analysts at Panmure Gordon believe that Sportech’s “excellent” commercial relations with racetracks across the U.S. will afford the firm a major opportunity to provide online and mobile horserace wagering solutions to state operators.
Morgan Stanley analysts believe that the success enjoyed by Paddy Power and William Hill in Australia and Italy underpin the core strengths of the pair’s online divisions, serving to highlight the “growing international expansion aims of the European bookies”.
Union Gaming analysts have raised their price target on Pinnacle Entertainment by 20 percent to $25 following the firm’s recently concluded acquisition of Ameristar Casinos, but remain neutral on the stock due to the stagnant U.S. regional casino market.
Wells Fargo analysts remain bullish on the growth trajectory of Multimedia Games after slot managers at G2E raved about the manufacturer’s flagship TournEvent product, which has still to penetrate 35 casino operators out of an addressable market of 50.