EVENTS TO WATCH: UPCOMING EARNINGS/CONFERENCES
- CZR 4Q 2013 conference call: 5 pm
- STN 4Q 2013 conference call: 4:30 pm
Monday-Thursday, March 10-13
- 2014 Cruise Shipping Miami Conference
Tuesday, March 12
- MTN FY2Q 2014 conference call: 4:30 pm
Friday, March 14
- Hyatt Investor Day
CZR – a Las Vegas Review Journal story over the weekend was skeptical of CZR’s recently announced strategic asset sales to Caesars Growth Partners and called attention to Caesars Entertainment Corp’s $3.06 billion of maturing debt in 2015 and 2016
Takeaway: We too were perplexed by the recent announcement...seems like a three card monte car
HOT – announced Sheraton will open 35 hotels during next 12 months with a focus on China and Southwest Asia.
Takeaway: A little better than we thought. Hopefully, China doesn't blow up.
Number of cruise passengers in Spain +41% YoY in Jan Hosteltur
According to the monthly report of state ports, Spanish ports in January received a total of 454,040 cruise passengers, representing +41% YoY. The number of cruise ships that passed were 208, an increase of 21.6% YoY.
Takeaway: Positive data point in a market that has struggled the past several years
Massachusetts Update – The Commission will take up the decision of MGM by May 30 if the sole remaining applicant in Western Mass. — MGM Grand — is worthy of a license in Springfield. The commission will then decide whether the Greater Boston casino license will be issued for Everett or Revere – pitting Steve Wynn against Suffolk Downs. A decision is expected by June 30.
Takeaway: Winner's Curse? PENN looks like the highest ROI in MA
Chinese February data
- Chinese new yuan loans CNY 644.5 bn vs Reuters estimate CNY716 bn
- Total social financing CNY 958 bn vs CNY 2.58 tn in January
Takeaway: Macro data from China remains disappointing. The stock market is at the its lowest point since 2009.
Hedgeye remains negative on consumer spending and believes in more inflation. Following a great call on rising housing prices, the Hedgeye Macro/Financials team is turning decidedly less positive.
Takeaway: We’ve found housing prices to be the single most significant factor in driving gaming revenues over the past 20 years in virtually all gaming markets across the US.