Analysts had forecast PBL would slump as much as 10 percent following the death of Australia's richest man at 68, with his successor James still tainted by a disastrous foray into the telecoms market before the tech crash of 2001.
But the market proved to be in a forgiving mood, with PBL down just 21 cents or 1.26 percent at 16.40 dollars (11.87 US) amid speculation James, 38, will break up the media and gaming empire.
"(It's) a reasonable vote of confidence in James as an individual," CMC Markets analyst David Land said.
It was the first chance the market had to react to the Packer's death on Monday following public holidays which closed the Australian Stock Exchange early in the week.
EL and C Baillieu Stockbroking director Richard Morrow said the response was muted.
"The market at this stage seems to have taken Mr Packer's death in its stride," Morrow said. "The turnover is quite heavy as you would expect, but the share price is only down less t "It probably mirrors the idea that the organisation has been very well prepared."
Media reports Wednesday said James Packer, 38, was likely to sell PBL's Nine Network television station in order to focus the business on casinos and online gaming.
While his father regarded Nine as PBL's crown jewel, James wanted to concentrate on gambling earnings, which have increased 43 percent over the past five years, the Australian newspaper reported.
Nine's overheads have increased in recent years as it attempts to fend off a strong challenge from the rival Seven network for the mantle of Australia's top commercial television network.
Packer's son is believed to be more interested in gaming and new technology ventures, despite getting his fingers burned in the One.Tel telecoms venture, which collapsed in 2001 with debts of almost one billion dollars.
Packer's unofficial biographer Paul Barry wrote in the Sydney Morning Herald that James was determined to leave his mark on the company.
"James may not have his father's uncanny instinct but he has a good team of people around him and has already taken the important (and successful) decision to concentrate on casino and Internet gambling," Barry wrote.
"With Kerry gone, Channel Nine may be sold, but it was probably on the block anyway."
James has recently helped expand PBL's gambling interests, including a joint venture with British online betting agency Betfair, developing new gaming complexes in Macau with businessman Stanley Ho and bidding for a casino resort in Singapore.
The Australian said he may sell PBL's media interests and then privatise the remaining gambling business because he is uncomfortable with the public scrutiny that comes from heading a listed company.