Stocks to watch at the open

Echo Entertainment and Reef Casino will be falling over themselves to build new Queensland casinos, while Premier Investments has been upgraded by Citi.

Echo Entertainment Group (EGP) and Reef Casino Trust (RCT)

To encourage tourism, Queensland may issue up to three new casino licenses.

Applications will be accepted to redevelop a riverfront site in Brisbane, which Echo Entertainment Group already operates. The only other casino operator in the northern state is Reef Casino Trust, managing Cairns’ casino.

There is potential for two more Casino licenses to be issued, in addition to the Brisbane redevelopment.

Echo is down 32% over the past twelve months. Reef Casino Trust has fared much better, gaining 20% over the same period.  

Premier Investments (PMV)

Retailer Premier Investments has been upgraded to neutral from sell at Citi. The retailer is down 9%t over the past month, closing at $7.83 yesterday.

After reporting in September analyst concerns were focused on the potential for future sales growth as Premier has undertaken heavy cost cutting to improve the bottom line. Improving consumer confidence should help Premier’s share price from current levels.

Current analysts prices targets compiled by Bloomberg range from $8.34 to $10.  

InvestSMART FORUM: Come and meet the team

We're loading up the van and going on tour from April to June, with events on the NSW central & north coast, the QLD mid-north coast and in Perth, Adelaide, Melbourne, Sydney and Canberra. Come and meet the team and take home simple strategies that you can use to build an investment portfolio to weather any storm. Book your spot here.

Want access to our latest research and new buy ideas?

Start a free 15 day trial and gain access to our research, recommendations and market-beating model portfolios.

Sign up for free

Related Articles