Trump Entertainment Resorts (NASDAQ: TRMP) shares soared more than 20% on Friday after the company disclosed that "The Strategic Committee has recently received preliminary and conditional indications of interest from parties proposing to acquire the Company. There can be no assurance that any of these indications of interest will result in a sale of the Company or any other transactions."
Given that the company had already announced that it was for sale and already jumped on that news, the shares may have gotten ahead of themselves today. But the storyline that interests me is this: If the casinos are sold, is it possible that the Trump name will be removed?
With the ratings of The Apprentice continuing to show weakness in the latest season (even after a move to L.A. to spice things up), I would argue that the Trump name may be suffering from overexposure. His huge ego may have finally turned off the public, and his book with Robert Kiyosaki is probably the worst thing I've ever read.
I just wonder whether the Trump name has much value anymore. There's no question that everyone knows it, but what is the average person's impression of Trump?
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Reader Comments (Page 1 of 1)
5-19-2007 @ 9:31AM
Lill Hawkins said...
Trump's name has value. Never underestimate that.
Lill
5-19-2007 @ 12:19AM
Steve said...
I didn't even realise they had a book out together. The thing about hese kind of announcements, is that Trump is the king of self promotion to increase a sale price. Is this another example of it?
http://www.imitrust.com/thepit
5-19-2007 @ 1:31AM
fkay said...
He is so obnoxious; self promoter; struts around like a peacock; and with all this he thinks he looks handsome with that stupid hair. And he tries to convince everyone that he has more money than he really has. That's what got him mad at Rosie she inferred that he was broke.
5-19-2007 @ 12:26PM
Michael Schneider said...
Most likely the name would change although there are examples - Wrigley Field- where the former owner's name is so associated with the organization that it stays.
There are some somewhat vintage items about leisure stocks and the comeback of Atlantic City at http://www.Barreloworld.com. Generally, there has been a huge effort to upgrade there. And the Donald's casinos have been refurbished- just like when you sell a house or car you get it in the best condition you can. it doesn't really matter much that some people don't like Donald Trump. His brand image is of being larger than life as a builder and businessman and developer- it doesn't include his being like the good humor man.
5-21-2007 @ 1:09PM
Joe Simiriglio Jr said...
I see Trump stock as a penny stock when you include the casino side of the business. I value the stock as a real-estate buy at $5.00 per share, not one penny more. Trump casino's cannot compete, they are behind in upgrades to the gaming floor, their eateries are behind the other casino's, and their operational debt to large to overcome. I believe the fire sale will begin soon. Any investment group who puts out any dollars above $5.00 a share is crazy and just asking for a very big tax writeoff. Investors in the stock today should be dumping the shares before the shares do a major cave in. I don't believe Trump Casino's will earn any profit during the summer season. I don't see the company not falling into bankruptcy, before the end of the 4th quarter. Get out now, while the stock is above $10.00, or look out for a free fall.
I don't own any stock in Trump, never have and never will.