at what price do you buy in?, page-109

From an AFR article, that doesn't mean much considering their vendetta against APT but for what it's worth:

While the selloff has thrown up a lot of opportunities in the cyclical space across energy, resources and industrials, there are also some defensive sectors that offer outstanding value.

The gaming sector in particular is offering some compelling investment characteristics. The sector might not be everyone's cup of tea from an environmental, social and governance perspective, but there's no denying the resilience of earnings through economic volatility.

It's not clear why the sector has been treated so harshly, but trading occurring through exchange traded funds might be a reason. Consumer discretionary as a sector is not perceived as being defensive and US casino peers with much greater exposure to Macau have been impacted by a softening in the volatile junket market.

<p>We like Star Group which is trading on an enterprise value to
earnings before interest, tax depreciation and amortisation multiple of
less than 8 times. This is too cheap for a casino that has finished some
significant capital investment on the Gold Coast and is nearing
completion of upgrades in Sydney. Recent trading of the core portfolio
has been solid and disruption in Sydney appears minimal.</p><p>Tabcorp
is also offering significant value with merger synergies with Tatts
still to come and a lotteries business that is growing strongly with a
new jackpot structure which is as defensive as it gets.</p><p>Of them
all though, Aristocrat Leisure offers the best longer-term growth
opportunity. It continues to achieve strong ship share in its core slot
business with Lightning Link and Dragon Link dominating casino floors.</p><p>There
are some questions marks over recent acquisitions in Big Fish and
Plarium, but further investment in the digital and social gaming space
opens up new demographics and a further avenue for growth. Trading on a
forward price to earnings ratio of near 16 times, which is a discount to
the broader industrials market, it is too cheap given its track record
of strong growth.</p><p><em>Sean Fenton is a portfolio manager at Tribeca Investment Partners</em></p>