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Analysts Remain Positive on IGT

Recent questions regarding the background of Patti Hart, CEO of slot manufacturer International Game Technology, have not dulled investor confidence in the executive or the company she heads.

Minor issues raised concerning Hart’s résumé—it lists her college degree as being in marketing and economics, when it was really a degree in business administration with a concentration in marketing and economics—were raised by Third Point Capital LLC along with complaints about her performance on the board of directors for Yahoo, Inc., when Third Point was seeking representation on the Yahoo board.  Hart subsequently resigned from the Yahoo board, but her credentials and performance were immediately praised and supported by IGT Chairman Phil Satre.

According to a report in Casino City Times, the issues have had no negative effect on the investment community, which remains positive on IGT’s prospects. The publication quoted Stifel Nicolaus Capital Markets gaming analyst Steven Wieczynski, who noted “several encouraging trends” in support of the firm’s “favorable long-term view on IGT shares.”

Part of that favorable view relates to IGT’s recent acquisition of Double Down Interactive, and its development of a cloud-based system for server-based gaming. “The long-term prospects of IGT’s cloud offerings are particularly compelling, as they are designed to serve as a value-add mechanism for operators and casino patrons alike,” Wieczynski said. “IGT hopes to have a full cloud product available by G2E this year. Pricing terms have still not been finalized.”