Sell Block: Int'l Game Tech's No Gamble
Cramer’s charitable trust recently sold its International Game Technology holdings, thinking casino spending would see a slowdown. Unfortunately, that turned out to be a mistake.
Reporting only an inline quarter with revenues $9.1 million below expectations, Cramer had soured on IGT . Not to mention, the two casino stocks he watches regularly – Wynn Resorts and Las Vegas Sands – had fallen $60 from their highs. The Mad Money host said he thought the worldwide gambling boom was coming to an end.
But then California and Florida voted to allow a total of 23,000 more of the slot machines IGT makes to be installed. Both states should have their shipments by next quarter. The news sent IGT up seven quick points as analysts raced to revise their earnings estimates.
Now, Cramer’s back to being bullish on IGT. He recommended Homegamers buy some if the stock pulls back.
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