Keith bought MPEL in the Hedgeye Virtual Portfolio at $13.02. According to his model, the TRADE resistance is $14.21 and the TREND support is at $12.96.
Assuming Macau hangs in, better mass volumes should drive higher profitability and continued earnings beats. MPEL continues to gain Mass share with their focus on the premium segment. At the end of April 2012, MPEL garnered a 13.2% market share in mass revenues, an all-time high. Meanwhile, market share losses from the opening of Sands Cotai Central in mid April have been less than expected. MPEL remains one of the cheapest Macau gaming plays, despite their strong operations and fundamentals.
