Sector Snap: Regional play helps some casino cos.

A visit to three Pennsylvania casinos indicates regional operators are benefiting from customers' altered spending habits, a Goldman Sachs analyst said Thursday. Equipment suppliers may also gain from newfound competitive pressures, he added.

In light of the recession, many gamblers have increasingly opted to stay closer to home for their casino jaunts. These local trips can save consumers some cash during the economic downturn, as they likely won't have to spend money on flights or hotel stays. Many consumers have also decided to spend less on food, drinks and the amount they spend on gambling as well.

Analyst Steven Kent said a recent trip to Las Vegas Sands Corp.'s new Sands Casino Resort Bethlehem, the Mount Airy Casino Resort in the Poconos and the Mohegan Sun at Pocono Downs shows such local properties are quite relevant given the current inclination toward "daycations" or "staycations."

These Pennsylvania properties stand out "relative to Atlantic City and in general we expect that high quality regional casinos continue to show robust traffic given their convenience," Kent wrote in a client note.

Casino equipment suppliers may also benefit, as existing regional casino operators may feel pressure to upgrade their products in order to compete with their newer Pennsylvania counterparts, Kent explained.

Shares of Las Vegas Sands fell 29 cents, or 3.7 percent, to $7.63 in morning trading. Over the past year, the stock has traded in a range of $1.38 to $60.07.

Among casino equipment suppliers, International Game Technology's stock was flat at $15.58, while shares of Bally Technologies Inc. dropped 6 cents to $27.23. WMS Industries Inc.'s stock added 2 cents to $29.83.