Nevada Casino Revenue Rises In November, Gaming Stocks Rise
The Nevada economy has been highly reliant on their gaming industry for several decades. That reliance has, for the most part, been a key for stability in Nevada. When the economic recession hit, however, in 2008, Nevada lawmakers were faced with a dwindling budget for the first time in a long time.
The Nevada gaming industry had been hit hard by the recession. An industry that previously had been immune to the economic hardships of the country, had suddenly found itself as one of the worst off because of a recession. The troubles have lasted well into the next few years, but things finally are starting to look up for Las Vegas casinos.
The Nevada Gaming Control Board released figures this week that show state casinos bringing in $880.1 million in revenue in November. That figure represented an increase of over seven percent from the same period in 2010. In Las Vegas, casinos won $495.3 million, up nine percent from the previous year. The increase in revenue has some analysts believing that the industry may be on its way back to prominence.
"Although the revenue increase was in November, the momentum, coupled with the Department of Justice's ruling in December, should open the door for a complete revival within the gaming industry, not only in Nevada, but all across the US," said Gaming Analyst Steve Schwartz. "The industry will likely see a sharp increase in activity, led by the online casinos that will be open by the end of the year."
The DoJ opinion released in December opened the door for online gambling regulations by state. Nevada and New Jersey have already passed online poker laws, as has the District of Columbia. The online gambling boom that is expected in the coming years, has led investors to start believing once again in US-based gaming company stocks.
On Wednesday, Boyd Gaming stock was up 7.39%, to $7.56 at the close of the day. Boyd Gaming is one of the companies that has already partnered with a foreign online gaming company in anticipation of changing US laws.
Las Vegas Sands, even with CEO Sheldon Adelson being one of the lone gaming CEO's against online gambling regulations in the US, saw its stock rise 2.42%, to $44.85 a share. MGM Resorts stock closed at $11.96, representing an increase of 4.55%. Wynn Resorts, the top performing gaming stock on the US market, closed Wednesday at $111.89, up 4.05%. Wynn stock jumped 4.36% for the day.
Previous Casino Gambling News Articles
Atlantic City Casinos See Revenue Daylight After Nearly Four Years
Macau Shows US States How To Handle Casino Gambling Industry
No Longer The Hilton, Las Vegas Hotel & Casino Starts New Era
Atlantic City Expanding Gambling And Entertainment Relationship
Hollywood Casino To Open February 3rd In Kansas