AGEM Index returns to growth in September

Casino Review Association of Gaming Equipment Manufacturers agem
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Nine of 13 companies listed on the the Association of Gaming Equipment Manufacturers Index saw their stock price increase in September, with three up by more than 10 percent.


[dropcap]T[/dropcap]he AGEM Index posted a modest increase in September 2016 after relinquishing 8.29 points in August 2016. The composite index stood at 306.85 points at the close of the month, which represents an increase of 20.46 points, or 7.14 percent, when compared to August 2016. The AGEM Index reported a year-over-year increase for the 12th consecutive month, rising 123.51 points, or 67.4 percent, when compared to September 2015.

During the latest period, nine of the 13 global gaming equipment manufacturers reported month-to-month increases in stock price, with three up by more than 10 percent. Three manufacturers reported decreases in stock price during the month, while Galaxy Gaming reported a flat performance.

The broader stock markets reported mixed results in September 2016. The S&P 500 reported a month-to-month decrease of 0.1 percent, falling to 2,168.27. Additionally, the Dow Jones Industrial Average decreased 0.5 percent to 18,400.88, but the NASDAQ increased 1.9 percent during the period to 5,213.22.

Selected positive contributors to the September 2016 AGEM Index included the following: Aristocrat Technologies contributed 6.16 points due to a 4.7-percent increase in stock price;

Konami Corporation reported a 6.57 percent boost and Scientific Games contributed 4.27 points to the overall index.

Selected negative contributors included the following:

Down 2.04 percent, Crane Co contributed negative 0.89 points, while Astro Corp contributed negative 0.01 points due to a 2.16 percent decline in stock price.

The Association of Gaming Equipment Manufacturers (AGEM) produces the monthly AGEM Index that comprises 14 global gaming suppliers throughout the world. A total of nine suppliers are based in the United States and are listed on the NYSE, Nasdaq or OTC market, while two trade on the Australian exchange, one supplier trades on the Athens exchange, one on the Tokyo exchange, and another trades on the Taiwan OTC exchange. The index is computed based on the month-end stock price (adjusted for dividends and splits) of each company and weighted based on approximation of market capitalization. Market capitalizations for manufacturers trading on foreign exchanges have been converted to US dollar-equivalents as of month-end for comparability purposes. The AGEM Index is based on a 100-point value as of January 2005.

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