Party Gaming Plc., owner of poker website Party Poker, is up over 160% since the November low. The stock was up 7%+ in London today as the company indicated that it is optimistic that it will be allowed to re enter the U.S. market.
The company withdrew from the U.S. in 2006 as the UIGEA was passed, and its stock got hammered.
The overall growth rate of online poker has cooled. Party’s revenues grew only 3% in the just-reported quarter. If they do in fact get back into the U.S. market, the revenue acceleration will be breathtaking. I’m not entirely sure how much of that has been priced in.
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