Out Fox The $treet

With all the discussion heating up regarding the legalizing of online gambling, most investors have probably missed that skill based gambling is already legal in most states. Betting on fantasy sports and other skilled based games is legal in nearly all states and has a preferential carve-out on the Federal level under the Unlawful Internet Gambling Enforcement Act of 2006. According to Forbes contributor Marc Edelman, daily fantasy sports are insulated from federal liability if it meets three conditions as follows: The value of the prizes is not determined by the number of participants. All winning outcomes reflect the relative knowledge and skill of participants. No winning outcome is based on the outcome of the score of games or the single performance of an individual athlete in a single, real-world event. Read the full article at Seeking Alpha.  Disclosure: No positions mentioned. Please review the disclaimer page for more details. 

Nuance Communications, Inc. ( NUAN ) remains a stock long on potential and short on performance. The company reported Q1 2013 results that largely missed estimates and provided disappointing guidance. The stock initially sold off 18% the following day and continues to get cheaper by the day after hitting 52-week lows on Tuesday. While the company continues to disappoint, the market ignores the valuation. A company that earns nearly $2 a year is still a company that generates strong profits regardless of its ability to meet estimates. The company is a leading provider of voice and language solutions for businesses and consumers around the world. Its technologies, applications, and services make the user experience more compelling by transforming the way people interact with devices and systems. Read the full article at Seeking Alpha. Disclosure: No positions mentioned. Please review the disclaimer page for more details.