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Whether Lakes is expensive today depends on how you look at it. Last month, at about $17 per share and with a $180 million market cap, Lakes traded at a modest premium to book value. The company, which develops and manages Native American casinos, currently generates all of its revenues from the World Poker Tour -- which is to say, not much thus far. Last year, Lakes made $4.3 million in revenues, losing $0.37 per share.

But two things have since driven up Lakes' share price.

First, the company was essentially cleared to break ground on a casino near Sacramento, possibly in the second half of this year. To illustrate how valuable these deals can be, Lakes earned $5.71 per share in 1998 with four casino management deals, which have since expired. It has four new management deals in place, the holdup being that the other three -- one near San Diego, one near Chicago, and another large project possibly somewhere in Massachusetts -- are also awaiting approval for construction to begin.

Clearly, this can be lucrative business. Others that have management contracts to run Native American casinos. The second driver is the World Poker Tour, the success of which helped propel Lakes from a 52-week low of $5 per share and which is expected to be profitable this year. A few weeks ago, Lakes reported a book value of $167 million, or $14.66 per share.