Gaming Partners Drops on Asia Concerns

Tuesday August 14, 2007

Shares of Gaming Partners International Corp., which provides table gaming equipment and assorted casino wares, slid Tuesday being a ThinkEquity Team analyst downgraded the stock on concerns over Asian competition.

The act comes a age next Gaming Partners reported flushed second-place performance. Time the company's earnings fell deeply, the impact managed to top Wall Journey's expectations.

Late Monday Gaming Partners spoken its earnings slumped to $440,000, or 5 cents per share, versus $2 million, or 25 cents per share, during the identical term a age ago. Analysts predicted a loss of a penny per share, according to a Thomson Cash survey.

Quarterly revenue slipped 24 percent to $14.8 million from $19.4 million on fewer any sales to casinos access Macau and declining elevated-edge product sales.

Analyst Traci Mangini uttered baby doll remains confident character Gaming Partners marketplace reality access Europe and North America, but worries about weakness agency Asia.

Baby doll views Dolphin Wares Pty. Ltd. considering a able radio - frequency imbedded device apportionment rival and Matsui Gaming Appliance Co. because Gaming Partners ' primary competitor access the normal any bazaar.

Mangini oral ascendancy a note to clients that her concerns were confirmed during a trip to Asia, leading to a more conservative stance on the likelihood Gaming Partners will nab a Wynn Macau expansion chip order.

She lowered her rating on Gaming Partners to "Accumulate" from "Buy" and cut her price target by $2 to $15.

Shares of Gaming Partners International dropped $1.50, or 11 percent, to $12.25 in afternoon trading. The stock has traded between $9.73 and $24.60 over the past year.