There. I said it. Six-point-seventy-eight. The price for 1 share of Melco Crown Entertainment (MPEL)... it's lowest closing ever.
For our investor friends who sunk in at the IPO or somewhere else in the slow downward slide of MPEL, we offer our deepest apologies. Hopefully you bought enough during the January single digit dip and sold em during the quasi-bounce in May to make some of it back.
When MGM Mirage sunk below $50, I thought to myself - this is such a buy, I wish I had some extra loot sitting around to dip my toes into it. Since that time, MGM has shed over half of what was left. It closed today at $23.68. I'll bet whomever engineered the Dubai World deal for CityCenter is probably the only guy at MGM Mirage wearing a grin. If MGM goes into the teens - or worse - something is bound to happen... what I don't know. But something.
The gaming sector right now is a complete nightmare, a seemingly bottomless pit that is scaring investors away in droves. The upside of any downturn is the potential to get onto a game that has a lot of potential. WYNN is 6 months from opening Encore, 18 months from opening Encore at Wynn Macau and has begun assembling a team and financing for Wynn Cotai. MPEL is less than a year from opening City of Dreams. MGM Mirage is 18 months from opening CityCenter and is in full swing of Phase II of MGM Grand Macau. LVS has sorted out the problems at Palazzo Las Vegas and is on the verge of opening Four Seasons Macao 16 months from opening hotel row on Cotai, and is gearing up for the debut of Cirque Du Soleil's Zaia at the Venetian Macao.
The whole thing appears to be a gigantic boomerang in the retrograde of its path, where it is unclear whether it's arc will lead to a tremendous catch, or the back of the head.
The crux is knowing when to move your don't bets to the pass line.