GENM Reward vs Risk - Big Potential Gain in year 2020 & beyond
Big opportunity to buy now since Genting Malaysia (GENM) is way undervalued PE 10, proven mgmt, 6% dividend payout, has theme for market sentiment to growth big, big visitors tourist for coming Visit Msia 2020 with upcoming outdoor theme park.. Empire US casino new mgmt restructuring done for better future, core business EBITDA turn to black, school holiday at Nov/Dec + coming CNY celebration holiday.. i dont know what is the risk beside expected provision for Empire US casino which already factor-in in current share price already. Drop from 4.00 to 3.10, now back to 3.26.. Big opportunity for year 2020 & moving many years to come.. stable, persistence and proven mgmt, blue chip counter.. what else we want to start invest?
i believe worst is over for GENM. Share price had bottom out, slowly will climb back up as times goes. Reward vs Risk is very high especially when OTP open in July 2020 as scheduled. If announce earlier than that.. it will be a fast rebound stock in year 2020.
Once OTP open, more visitors and tourists arrive, business profit and earning start to flow in, growing revenues, better profit margin, earning growing, highly predictable and sustainable business, then market revised back to previous normal PE 20. That's more than double earning vs current share price in FY2021 later.
Huge Opportunity !
Dont miss this Golden Opportunity!!!
Here are the source of news & analysts reports for reference:
Mgmt restructuring change in US. Genting gets ex-Wynn exec DeSalvio for NY operations
Dec 17, 2019 Newsdesk Industry Talk, Latest News
Genting gets ex-Wynn exec DeSalvio for NY operations
Malaysia-based gaming conglomerate Genting group has appointed Bob DeSalvio (pictured) as president of Genting New York state, where he will oversee operations of the group’s two casino resorts there: Resorts World Catskills and Resorts World Casino New York City.
The Monday announcement was the first major move since the operator of Resorts World Catskills – Empire Resorts Inc – was acquired in November by entities controlled by Malaysian gaming dynasty the Lim family. According to previous regulatory filings, the move was part of an exercise to take loss-making Empire Resorts private.
Mr DeSalvio stepped down in October as president of Encore Boston Harbor, fewer than five months after the opening of Wynn Resorts Ltd’s newest property.
Monday’s release quoted Lim Kok Thay, founder of the Genting group, as saying: “Bob DeSalvio has a proven track record creating and implementing successful marketing and growth strategies in the gaming and hospitality industries.”
Mr Lim added: “Bob’s operational expertise combined with his unique ability to recognise industry trends and adapt to fast-evolving consumer demands will help accelerate growth at Resorts World Catskills and Resorts World Casino New York City.”
Before Encore Boston Harbor, Mr DeSalvio spent eight years as president of Sands Casino Resort Bethlehem, at the time part of Las Vegas Sands Corp’s portfolio.
According to the release, Mr DeSalvio also served in executive marketing roles for more than 20 years in several casino properties across the United States.
The statement also quoted Mr DeSalvio as saying: “Resorts World Casino New York City and Resorts World Catskills represent the future of gaming and hospitality in New York State … It’s an honour to join Genting, which has proven, with the success of Resorts World Casino New York City, that gaming in New York is full of untapped potential, and I am excited to be on the frontlines of the action.”
Ryan Eller, who served as chief executive of Empire Resorts, will step down following a brief transition period, according to the release. Edward Farrell will continue in his role as president of Genting Americas Inc, and will assist Mr DeSalvio with the integration of Resorts World Catskills into Genting’s operations. Scott Molina will remain president of Resorts World Casino New York City, reporting to Mr DeSalvio, said Genting.
A Friday note from Samuel Yin Shao Yang, analyst at Maybank IB Research, said third-quarter and first-nine-month performance of Genting Malaysia had “outperformed” the institution’s expectations “largely due to higher-than-expected VIP win rate.”
The group’s non-gaming business at Resorts World Genting grew by 36 percent, “as the introduction of more attractions” at the complex “continues to be well received,” said Genting Malaysia’s press release.
In the reporting period, the group also recorded a reversal of provision of MYR101.4 million “following the settlement of the litigation associated with the outdoor theme park” at the site.
Tushar Mohata and Alpa Aggarwal of brokerage Nomura said in a Friday note that the outdoor theme park opening date remained scheduled for the third quarter 2020.
Referring to an expected acquisition of a 49 percent stake in U.S.-based casino operator Empire Resorts Inc by Genting Malaysia and other interests controlled by the Genting conglomerate’s founding family the Lims, the Nomura team said that “losses from Empire will affect [Genting Malaysia's] financial-year 2020,” but the theme park opening at Resorts World Genting in Malaysia “should lead to a solid financial year 2021.”
Happy Investing! May the force with you in year 2020