After going through the thread and doing my own reading, while I agree that the industry perse has a long runway, specifically for Delta i have a few doubts:
- Footfalls – Tracking the footfalls (whatever the mgmt gave in their transcripts), seems to be ~12L annual out of a total of 100L, how many more people are going to keep coming to drive the volumes? Applying the pareto principle the overall additional market that Delta can service might not large/lucrative.
- Beyond offline business – While they acquired Adda, they havent been able to leverage the brand to acquire more customers, for some time, they had dropped rummy as an active offering and now only with adda.games they are trying to fill these gaps, did the management left a big opportunity slip out of their hands?
- Whats beyond Goa – The other casinos that they have opened dont seem to have moved the needle much with respect to revenues, will Daman also end up in a similar spot (as someone mentioned, Daman is perse not a tourist location)
Will Delta Corp become a value-trap with the story and tailwinds all in its favor, but the company is caught in a limited geographical spread or missing out on the on-line gaming situation given the current execution?
Am i missing something ? or are there too many iffs which needs to align for it to become a multi-bagger from here on?
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