We are removing Melco Crown Entertainment (MPEL), a casino operator in Macau, from our Investing Ideas list today.
MPEL was added to Investing Ideas on March 18th. It closed that day's trading at $20.33. Yesterday, MPEL closed at $28.11.
Hedgeye Gaming, Lodging and Leisure Sector Head Todd Jordan writes, “After a long steep climb, the MPEL engine may be slowing down.”
Jordan writes, “We're still positive on Macau, so it’s difficult to be negative on MPEL. However, MPEL’s recent share losses in the (higher-end) Junket segment are a little disconcerting and could continue. Moreover, MPEL’s mass (segment) share could be at risk as Sands Cotai Central begins its push into premium mass (segment) next year.”
