cryp getting crushed today...

meow_meow · #1 08-09-2005, 10:50 AM

on news that Betfair may dump their client in favour of an in-house solution.
Which begs the question - anyone know what proportion of crypto's traffic comes from Betfair? (never mind that poker only accounts for about a third of cryto's revenues).

kiffl · #2 08-09-2005, 12:40 PM

I think Crytologic is getting very atractive in the $15 range. Betfair can't count for that much of their trafic.

laserboy · #3 08-09-2005, 01:14 PM

FWIW, they are ranked 18/33 traffic wise among Crypto sites and 5/9 among Crypto poker sites, according to Online Casino City.

http://online.casinocity.com/poker/betfair-poker/

And as you stated, only a fraction of their revenues come from online poker in the first place. It seems they contribute a relative pittance in revenues compared to the 20% haircut in market cap today.

Sniper · #4 08-09-2005, 06:31 PM

Motley Fool came out to defend their Hidden Gems pick... by their (very rough) analysis Betfair accounts for somewhere between 3-9% of CRYP total revenue.

Here's the link...
Cryptologic gets dealt a bad hand

TGoldman · #5 08-18-2005, 01:40 PM

CRYP continues take a beating. This stock is starting to look like a good value play now. Anyone disagree?

Sniper · #6 08-18-2005, 04:14 PM

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This stock is starting to look like a good value play now.

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Is this based on anything other than.. the stock price is down? If so, I'd be interested to hear your analysis.

As an aside I heard that they released some earnings guidance today, talking about a slow summer.

TGoldman · #7 08-18-2005, 05:39 PM

[ QUOTE ]
[ QUOTE ]
This stock is starting to look like a good value play now.

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Is this based on anything other than.. the stock price is down? If so, I'd be interested to hear your analysis.

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It's based on the fact that they're now trading at a P/E multiple of about 16. The "business and software solutions" sector has an average P/E of 25 and the "gaming activities" sector has an average P/E of 48. It looks cheap compared to their competitors, but it gets better. They have no debt and $6.27 in cash reserves per share. With a current share price of $18.5, that means over 30% of their share price may be discounted as a "free cash rebate" upon purchase. I don't see any of their competitors with that strong of a balance sheet. Now, I didn't know that about their earnings guidance for summer quarter. That is bad news, but I think the market has been unfairly harsh to this stock resulting in very attractive valuations.

Sniper · #8 08-19-2005, 12:48 PM

Does anyone have any idea what rake% cryp gets from the sites using its software?

TGoldman · #9 08-23-2005, 12:00 PM

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Does anyone have any idea what rake% cryp gets from the sites using its software?

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I asked this question to the investor relations department and recieved this in response...

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Due to confidentiality with licensees (and also competitive) reasons, we can't speak to these percentages. The majority of CryptoLogic's revenue is of a recurring nature or more than 90% of our total revenue. This is why we focus on a select group of major international customers, who have the trusted brand, established player base and marketing commitment to thrive in a global, competitive online gaming environment. The more games, tools and services we can provide our licensess, the more we can help them attract and retain loyal players and grow a profitable online business, which we benefit from that growth.

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