5 biggest threats to Genting Singapore growth revealed
These are dragging down its potential.
"Genting Singapore growth is under threat from cautious lending to VIPs, slower local visitation due to stricter restrictions, softer tourist arrival growth, rising cost pressures from restrictions on foreign labour and tight hotel room supply," said DBS Group.
So much so that currently the research firm prefers Macau and Philippines stocks with the regional gaming space given that these foreign stocks show stronger growth potential and face lower regulatory risks.
DBS' comment came even as it expects Resorts World Sentosa's EBITDA margin to recover and Genting Singapore remains a front-runner in Japan's bidding competition in the Japan market.
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Genting shot up to $1.39 before close today due to news of Genting and Chinese Property Developer , Landing Int'l who will jointly develop a $2.2 billion casino resort in Jeju Island, South Korea . According to Rueters, Landing Int'l shares has doubled for the last 2 weeks, Genting shares should move up too with this good news and coming earning announcement on 20 Feb.
At 38 pe do u think gent sg attractive.well i think not unless they goy jspan license in da bag.remrmber, da sg govt is restricting its citizen to visit sg casino. And mind u gen sg license have to be review in 5 yrs time. And who knows its license is not renew due to pressure from elections. I wld say dont put too much money on this counter
@hunterhungry u have read too much in details, dun wory about issue which is 5 years later more impt is now current moment enjoy life which is still possible. 38 PE fundamentally is perceive as high who knows it may prove us wrong.
@laikimchuan would like to really hear your views curiously would u sell now? agree that genting sp is quite pathetic in giving out dividends to sharholders, they can do better. If one day i ever trade genting is not because of dividend, is liquidity matters.
Either u want growth which trsnslate to capital gain or u want dividend. Genting strategy is to grow its biz and hence reserve more money for develpment. The question is more to whether genting singspore can get value accretive investment? Certainly not with its venture to korea. If they can get japan we wld not b looking at tp 2.00 but at least 3.50
This counter only for those who has the stomach to wait....while they pay you 1ct div per year...what a joke....Jeju still another 3 years to go....Japan license not even sure if can or not looking at other competitors....while own floor space in casinos almost maximised...overseas is the way for them to go....
Genting Singapore Q1 core profit jumps 60 pct on year Gaming revenue at its Singapore casino rose 29 percent to S$671.9 million on the back of higher rolling volume and win percentage in the premium player business, the company said in a statement. http://www.123contactform.com/form-960004/No-Loss-Only-Profit-
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
inphyy
338 posts
Posted by inphyy > 2013-10-19 10:08 | Report Abuse
5 biggest threats to Genting Singapore growth revealed
These are dragging down its potential.
"Genting Singapore growth is under threat from cautious lending to VIPs, slower local visitation due to stricter restrictions, softer tourist arrival growth, rising cost pressures from restrictions on foreign labour and tight hotel room supply," said DBS Group.
So much so that currently the research firm prefers Macau and Philippines stocks with the regional gaming space given that these foreign stocks show stronger growth potential and face lower regulatory risks.
DBS' comment came even as it expects Resorts World Sentosa's EBITDA margin to recover and Genting Singapore remains a front-runner in Japan's bidding competition in the Japan market.