Hi Flight, I have a margin model, based on a % of T/O in retail...

Hi Flight,

I have a margin model, based on a % of T/O in retail vs professional based on a headline 12% tote take out, against that it applies the odds of all 3 totes against all runners and works out race by race (sampled) what an assumed margin from each race in each class and assuming a rebate for the professionals, race course fees etc

It's pretty comprehensive so you can trust i've done the work to say they I think they doing real well. That doesn't mean it's exact or close but it's more work that most people who use throw away lines like "no use turning over $1m when the cost is $1.1m".

Too many people on this thread just assume they are losing money on each dollar because of BO4, build a model the data is all public, make some base assumptions .... they are getting a decent margin out of this, my model is mid single digit margin but it could be out by a fair bit *either direction* and right now depends on who wins each of the races ... this "outlier" impact gets less when there are more meetings, so again pleasing to see 4 GT races / day now.


Are they guaranteed success, of course not, but with all the facts there the stock is mis priced at $23m. Time will of course tell.