Ameristar Casinos initiated with "hold"

09/26/06 - KeyBanc Capital Markets

NEW YORK, September 26 (newratings.com) - Analyst Dennis I Forst of KeyBanc Capital Markets initiates coverage of Ameristar Casinos Inc (ASCA) with a "hold" rating.

In a research note published yesterday, the analyst mentions that although the company has a robust track record, its lack of diversified gaming assets and growth strategy are areas of concern. Ameristar Casinos has successfully retained its market position so far, but its margins are beginning to come under pressure on account of competition, the analyst says.