Gaming provider stocks rise slightly in June

Gaming provider stocks rise slightly in June

The AGEM Index increased by 4.53 points, to 407.41. Macau’s casino operators also saw an increase in their stock prices.

The Association of Gaming Equipment Manufacturers (AGEM) index showed a slight recovery in June compared to its performance last May.

The index increased by 4.53 points in June to 407.41. That’s a 1.1 per cent rise from May, which in turn saw a monthly uptick of 26.84 points.

Announcing the results AGEM said, “six of the 13 AGEM Index companies reported stock price increases amid ongoing uncertainty about the global economy and the effects of the Covid-19 pandemic.”

Taiwan’s Astro Corp. saw monthly growth of 48.3 per cent and a year-on-year rise of 30.5 per cent in its stock.

However, AGEM also noticed some Asian providers had seen falls in stock price. Aristocrat Leisure Limited has seen a 0.9 per cent fall since May and 17 per cent since June 2019 due to the Australian dollar strengthening against the U.S. dollar. Ainsworth Game Technology’s fell by 3.3 per cent compared to May, and 34.3 per cent compared to June 2019.

Tokyo’s Konami also saw its stock prices drop, down 5.2 per cent since May, and 28.9 per cent since last year.

AGEM said: “All three major U.S. stock indices increased as the Dow Jones Industrial Average grew by 1.8 per cent and the S&P 500 grew by 1.7 per cent. Additionally, the NASDAQ grew by 6.0 per cent on the month.”

Macau News Agency reported that casino operator’s stock has been experiencing growth since the enforcement of Hong Kong’s national security law.

In spite of recurring tensions between China and the US, as well as travel restrictions in place due to the pandemic, the Hang Seng Index rose by 20 per cent since then. Gaming operator’s stocks prices were part of this growth and reached a peak on July 6 before slipping.

On July 6 Sands China reached a price of HK $32.60 (US$4.2), MGM reached HK$10.34 (US$1.33); Wynn Macau US$14.70; SJM Holdings HK$9.24 (US$1.19); Galaxy Entertainment Group US$55.45 and Melco Resorts & Entertainment’s US$17.34.

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