# Online Gaming Stocks (IGT)



## humble_pie (Jun 7, 2009)

our foxie marina is too persuasive for my own good! i finally snagged my 10 IGT call spreads. I'm in at 6.75. The idea is to be out at 10 some time before jan 2015.

it's a gamble


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## marina628 (Dec 14, 2010)

humble_pie said:


> our foxie marina is too persuasive for my own good! i finally snagged my 10 IGT call spreads. I'm in at 6.75. The idea is to be out at 10 some time before jan 2015.
> 
> it's a gamble


Wish I could understand what you just said lol. Does that mean you think it will fall to $10?


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## marina628 (Dec 14, 2010)

I am up 80% on my last order of BYD


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## humble_pie (Jun 7, 2009)

marina628 said:


> Wish I could understand what you just said lol. Does that mean you think it will fall to $10?


no, not at all

it's a bullish strategy so i would be expecting the stock to rise between now & january 2015.

the $10 upside means that, because these are a pair of opposed options with strikes at $10 & $20, & because their net cost was $6.75, the most i could gain from this exercise would be roughly 3.25, provided it all happens between now & jan 2015.

in a best case scenario, the stock would pop so quickly & so much that i could close the 2 positions & collect 3.25 soon. It's 3.25 per share x 1000 sh.

in a worst case scenario, the stock could decline to such an extent that the paired option net position would become worthless. Even here, the long life of this option spread might offer some cause for joy in the end, after a period of blight.


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## humble_pie (Jun 7, 2009)

marina628 said:


> I am up 80% on my last order of BYD


i looked at boyd carefully also when you first posted your list of 5 & i thought it was a jewel

danged if i can remember why i skipped past it & ended up with the other 2 sisters


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## bflannel (Apr 21, 2013)

I've been looking at BYD recently. I can't see much of a downside to them. One has to think that their market capitalization will only increase as they continue forward. What's the catch?


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## humble_pie (Jun 7, 2009)

the catch is that boyd has nearly doubled in the few short weeks since marina first posted her list of the 5 gaming stocks she was diversifying into. All her picks have done well, but that burst of enthusiasm, which greeted new gaming legislation passed several weeks ago in several US states, is over now.

to put this another way, marina's timing was great!

please look at a 9-year chart for boyd. Stock is now at the peak of its trading band if one excludes the aberrational years from 2004-mid 2007 when byd traded in the $50 range.

several weeks ago, when boyd was much cheaper. the company was reorganizing its operations. There was doubt about the intentions of the majority-owning boyd family. There was concern about the debt.

stock has nearly doubled, but these concerns are still present.


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## bflannel (Apr 21, 2013)

Very helpful reply, thank you.


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## marina628 (Dec 14, 2010)

bflannel said:


> Very helpful reply, thank you.


HP there has just been a small amount of States who passed the online gaming laws to date.We won't see this stock and the others pop and excel until all states have passed it and are actually accepting the bets .I already had these five stocks when I posted that I bought additional $5000 in each and IMO they are still
worth buying at today's price but probably i would plan to hold them until 2016 -2017 when we should see some online betting taking place.UIGEA has a sneaky little bit in there that the first bets cannot take place until at least 10 years after the bill was passed.It was passed in October 2006.


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## humble_pie (Jun 7, 2009)

marina i bow completely to the points u raise!

yes i remember u already had positions to which u were adding.

in boyd, perhaps i'm missing something but it appears to have no strong online casino division or intentions to develop the same? but is online gaming not where the growth is ultimately expected? why u yourself favoured IGT?

also the poster asked for "the catch" & me i am such a worried artichoke investor. Pluck off each leaf individually, if one leaf looks questionable then discard the entire vegetable. The chart in BYD is making me dizzy. I wouldn't be buying boyd right this moment ...


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## marina628 (Dec 14, 2010)

humble_pie said:


> marina i bow completely to the points u raise!
> 
> yes i remember u already had positions to which u were adding.
> 
> ...


The reason I love Boyd is the partnership they have with bwin.party and the fact Borgata will be capture a big share of the New Jersey Online Gaming Market.Boyd is only a minority shareholder but that 10% of the pot is worth alot.They also own some sweet properties in other hot gambling states.


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