SHFL Upgraded On Gaming Laws, Improving Financials

Analysts at KeyBanc Capital Markets upgraded Shuffle Master Inc (NASDAQ: SHFL) from “hold” to “buy,” while raising their estimates for the company. The target price for SHFL is set to $13.

Shuffle Master has delivered another quarter of better-than-expected results. SHFL is poised to benefit from new table gaming regulations and the eventual improvement of consumer confidence and spending. More stringent cost controls and a strengthening balance sheet will also boost SHFL’s financials, the analysts believe.

KeyBanc Capital Markets has raised its EPS estimates for 1Q10, 2Q10, 3Q10, 4Q10 and FY10 from $0.08 to $0.09, from $0.08 to $0.11, from $0.09 to $0.10, from $0.09 to $0.12 and from $0.33 to $0.42, respectively.