Poker: A Winning Hand For WTP?

Published on Sunday, November 14, 2004 10:25:03 PM

Poker, anyone? The game has come into America's living rooms through the World Poker Tour show, produced by WPT Enterprises (WPTE ) and aired on the Travel Channel.

Poker on TV isn't the only way to play the game. Some big investors are betting on WPT stock. On Nov. 10 the stock jumped more than 10%, to 9.95, on heavy volume after CEO Lyle Berman presented an upbeat outlook at a small-cap conference in New York. Mario Gabelli, who heads Gabelli Asset Management (GBL ), owns shares. "It's a smart bet," he says, on a young gambling outfit. Poker's popularity is gaining, he adds, in part because of the televised tours, which produce most of WPT's revenues. The tours have the potential to become a big hit in casinos and on the Internet, says Gabelli. He warns that WPT is a speculative bet, and investors "should not go all in."

Business Week has the full story. Click here.