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Stock Strategist Industry Reports

No Game-Changer for the Gaming Manufacturers

Despite innovations, lackluster demand for gaming machines persists.

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There are two major objectives for a gaming manufacturer: Build a gaming machine to grab the attention of a gambler and get them to play, and keep the player at the gaming machine as long as possible.

At this year's Global Gaming Expo (G2E), we were able to see how the three major U.S. slot machine makers will try to execute the above two objectives. WMS Industries ( (WMS)), Bally Technologies ( (BYI)), and International Gaming Technologies ( (IGT)) rolled out many new gaming titles, gaming themes, and machine aesthetics at G2E in an effort to push as many units as possible out to gaming operators. With a slowing replacement cycle and moderate new casino floor-space growth, the importance of operational execution, including the optimal development, manufacturing, and selling of gaming machines, has increased immensely for the industry.

Vishnu Lekraj does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.