This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

World Poker Tour Bets on Web Gambling

"They were never going to make a ton of money producing [World Poker Tour] shows and selling those," says Clinton Morrison, an analyst with Feltl & Co. "That was really an effort to establish a presence in a valuable brand. The place to really leverage that brand is in the online market."

One issue WPT faces with its new online site is that the company will not accept bets from U.S. gamblers because of the murky legality. The U.S. Justice Department has said that online gambling is illegal in the U.S. Some companies dispute this notion, but WPT isn't taking any chances. Neither is Playboy (PLA), which recently announced it would launch an online gambling room but not allow U.S.-based play.

Estimates from analysts and online gambling companies say about 50% of online gaming bets come from U.S. consumers.

Thus, in essence, WPT's new Web site is missing out on half of the total market. But if the company can get just a small piece of that market, the growth could be impressive, proponents of the stock say.

Last year, the online gaming market made $13 billion, according to Global Betting and Gaming Consultants. Assuming half of that originates from the U.S., that leaves about $6.5 billion that WPT could capture.

"Everyone believes that the biggest growth opportunities are in the international market," says Steve Lipscomb, founder and CEO of WPT Enterprises. "The market is very ripe for branded sites to have a significant piece of the market."
2 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $111.80 2.10%
FB $93.36 0.96%
GOOG $643.98 0.75%
TSLA $221.69 -2.20%
YHOO $32.33 -0.12%


Chart of I:DJI
DOW 17,084.29 +33.54 0.20%
S&P 500 2,013.43 +15.91 0.80%
NASDAQ 4,836.1350 +25.3470 0.53%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs