Melco Crown (NASDAQ: MPEL ) is the latest gaming company to consider paying a dividend after its board of directors recommended paying both a special and regular dividend. If approved, it would join Wynn Resorts (NASDAQ: WYNN ) and Las Vegas Sands (NYSE: LVS ) as dividend-paying gaming stocks.
This is a huge shift from just a few years ago, when companies were drowning in debt and used junk bonds just to expand operations. But Macau is such a cash machine that it can pay back investors with dividends and investors can rely on the income long-term.
In the following video, Fool contributor Travis Hoium covers what Melco Crown's dividend might look like and why dividends change how investors should look at gaming stocks.
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