WPO Up, Stocks Down

August 28, 2008

It is not really a well known fact that the World Poker Tour is a publicly traded stock. Most people only know them for their WPO events and the popularity that surrounds them and the television shows that air them. However, they are like everyone else, a company, and you have to accept that there will be good days and bad ones.

The company reported their Q2 2008 earnings last Wednesday, and in doing so lost several investors. It was obvious that their investors were not happy with the poker stock as it went down more than 20% after the announcement.

This was the lowest level that the company has ever experienced, and with the stock trading at just 70 cents per share, many are wondering about their future. They have a valuation of $14.34 million, which really is not a lot for them.

One of their biggest problems was the drop in domestic television licensing revenues, and as this is their biggest money maker this was cause for concern. Their overall revenues were only $5.1 million, when last year at this same time they were looking at $7.7 million instead.

With income like this and stock dropping as it has, it can only be assumed that the company is working in the wrong direction, and that unless something changes their days might be numbered.