Casino Stocks on a Losing Streak

NEW YORK (TheStreet) -- The casino sector is in the red, on mixed news in the casino industry.

Macau, which has become a gambling hub in China, said visitation to the area grew 5.2% in October.

That fact bodes well for casino operators like Wynn Resorts(WYNN) and Las Vegas Sands(LVS), which are looking to Macau to boost business, as U.S. gambling demand remains weak.

Over the weekend Sands raised $2.5 billion in its Hong Kong initial public offering, pricing 1.87 billion shares at HK$10.38 each ($1.34), below its expected range of HK$10.38 to HK$13.88.

"We think the lower end of the range is more a functioning of timing than anything else, as we believe institutional investors were smaller in size than normal given the quickly approaching year end," J.P. Morgan analyst, Joseph Greff, wrote in a note. "That being said, we believe some upside was left on the table."

Shares of Sands are slipping 1.6% to $15.78 in afternoon trading.

One of the biggest movers of the day is Empire Resorts(NYNY), which is plunging 11.2% to $2.14 this afternoon.