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THE FOOL’S EYE VIEW

Casinos: The house always wins, but the investor may not

The use of leverage can help to boost the returns that these companies generate for shareholders by around 70%. But excessive use of leverage can expose shareholders to unforeseen risks too

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Many casinos have deliberately diversified their businesses to include shopping malls, theatres, hotels, restaurants and bars. But their main source of revenue still comes from games.

IF YOU think of casinos as indoor theme parks for adults, then you probably won't go too far wrong. But instead of rollercoasters and spinning teacups, the thrills that casino customers are likely to experience are slot machines that could, if they are lucky, spit out buckets of change, or howls...

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