The Canadian financial press was bullish on Internet poker stocks
this week article on Internet poker stocks, urging Canadian investors
to "Ante up on poker stocks!"
Analysts are bullish on makers of online gambling software led by Toronto-based CryptoLogic Inc. largely because of the booming online poker industry. CryptoLogic beat analysts' expectations for the third quarter this year with earnings of US$2.9-million, up 32% year over year. The company said it made more than 15% of earnings from its poker business, up 55% from the previous quarter.
The company runs the fourth biggest network of online poker sites in the world, and reports that more than 3,000 players can be found on its international networks at any given time.
"Online poker is the fastest-growing segment in the history of interactive gambling, and Cryptologic has a great seat at the winning table," CEO Lewis Rose is quoted as saying.
Investors, too, are excited about poker stocks. CryptoLogic shares (CRV/TSX) are up 76% to $27.40 since January, and 52% since it reported third-quarter earnings.