Time New York: Tue 16 Jul 00:52 am  |  Save 15% on H&R Block Online

  
caticonslite_bm_alt

Bear of the Day: Caesars (CZR)

Zacks

The market has sort of lulled investors to sleep as of late. A very tight range met with low trading volume made for a very boring week. That’s likely to change as earnings season gets into full swing. Traders will quickly be reacting to earnings reports, using guidance to try and figure out the next big thing. Today’s Bear of the Day is a stock that has seen some negative earnings estimate revisions as of late. It may be one to avoid heading into this next season.

I’m talking about Zacks Rank #5 (Strong Sell) Caesars Entertainment (CZR). Caesars Entertainment Corporation, through its subsidiaries, provides casino-entertainment and hospitality services in the United States and internationally. The company operates 39,000 slot machines and 2,700 table games, as well as other games comprising keno, poker, and race and sports books; and approximately 180 buffets, restaurants, bars, nightclubs, and lounges located throughout its casinos, as well as banquets and room service. As of December 31, 2018, it had 50 casinos, including 37 casinos in the United States and 13 casinos internationally with approximately 3 million square feet of gaming space and 40,000 hotel rooms.

The reason for the negative Zacks Rank lies in a series of negative earnings estimate revisions. Over the last sixty days, four analysts have cut their estimates for the current quarter while six have followed suit for the current year. The negative moves have pushed down our Zacks Consensus Estimates down from a loss of 9 cents to a loss of 17 cents for the current quarter, while the current year number is off from a 10-cent loss to a 42 cent-loss.


Investors looking for other stocks in the same industry should dig a little further on two Zacks Rank #2 (Buy) stocks. Both Las Vegas Sands (LVS) and PlayAGS (AGS) currently have this Zacks Rank.

Radical New Technology Creates $12.3 Trillion Opportunity

Imagine buying Microsoft stock in the early days of personal computers… or Motorola after it released the world’s first cell phone. These technologies changed our lives and created massive profits for investors.

Today, we’re on the brink of the next quantum leap in technology. 7 innovative companies are leading this “4th Industrial Revolution” – and early investors stand to earn the biggest profits.

See the 7 breakthrough stocks now>>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

To read this article on Zacks.com click here.

Zacks Investment Research
<-- You can share this post with your network,
or give us your opinion and leave a comment.
Be sure to check our RSS feeds for updates.