Profit from Gaming

While the gaming stocks have run up and are very expensive, Perini Corp is dirt cheap.(PCR) Perini Corporation is also involved in construction management, and design-build services to private clients and public agencies worldwide. It also offers general contracting; pre-construction planning; and project management services, including planning and scheduling of the manpower, equipment, materials, and subcontractors required for a project. The company operates in three segments: Building, Civil, and Management Services. The Building segment provides services to various markets, including hospitality and gaming (big project with MGM City Center), sports and entertainment, educational, transportation, healthcare, biotech (R&D Centers), pharmaceutical, and high-tech. The Civil segment specializes in public works construction and the repair, replacement, and reconstruction of infrastructure, primarily in the northeastern and mid-Atlantic United States. This segment also offers contracting services, including construction and rehabilitation of highways, bridges, mass transit systems, and wastewater treatment facilities. The Management Services segment provides construction, design-build, and maintenance services to the U.S. military (In Iraq and Afghanistan) and government agencies, as well as surety companies and multi-national corporations

Perini Corp. said on 11/8/07, third-quarter earnings more than doubled as revenue rose more than expenses. Net income jumped to $24 million, or 87 cents per share from $9.6 million, or 36 cents per share, in the year-ago period. Revenue rose 60 percent to $1.24 billion from $773.3 million. Analysts expected profit of 67 cents per share on revenue of $1.11 billion, according to Thomson Financial.
Perini said the higher revenue and profit came from "the conversion of our substantial building segment backlog into revenues and profit." Building is the largest of the company's three segments, which also include civil and management services units.
Uncompleted construction backlog declined to $7.8 billion from $8.5 billion at the end of last year. The company boosted its full-year profit and revenue targets. Perini now expects profit off $3.30 to $3.45 per share on revenue between $4.4 billion and $4.6 billion. The previous estimate had net income at $2.80 to $3 per share and revenue at $4.1 billion to $4.3 billion. Analysts expect earnings of $3.10 per share on revenue of $4.31 billion. Company has a earnings growth rate of 27%, sales are growing at 61% and has a PE of 14 therefore I believe its extremely undervalued.
The stock has sold off the day after earnings each of the last three reports, its trying to stabilize at the 200 day moving average, which looks like a cheap entry point.