The 3 Biggest Risks with Melco Crown's Stock

Updated

Investors always need to consider the risks of an investment, and Melco Crown has a few things investors need to consider. The company hasn't yet been approved for gaming tables at Studio City, we don't know the impact of its Philippines resort, and with that in mind the stock's 14 times enterprise value/EBITDA ratio is very expensive. Gaming analyst Travis Hoium covers how we should look at these risks in the video below.

This being a more speculative investment, is it worth the risk for smaller investors? The Motley Fool answers this question and more in our most in-depth Melco Crown research available for smart investors like you. Thousands have already claimed their own premium ticker coverage, and you can gain instant access to your own by clicking here now.


The article The 3 Biggest Risks with Melco Crown's Stock originally appeared on Fool.com.

Fool contributor Travis Hoium manages an account that owns shares of Wynn Resorts. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Advertisement