Wynn Resorts, Limited (WYNN) Results In Line with Expectations, Positive on Macau

Kenneth Fong and Isis Wong of Credit Suisse AG in Hong Kong noted of Wynn Macau’s second quarter report and earnings call: “Management’s outlook is cautiously optimistic citing stabilising VIP [gambling business] and growing mid-tier mass. A more supportive policy backdrop also helps”. The company’s quarterly revenue was down 26.3% on a year-over-year basis. Wynn Resorts, Limited’s revenue for the quarter was down 26.3% compared to the same quarter previous year. Adjusted earnings per share totaled 74 cents.

The Las Vegas company earned $56.5 million, or 56 cents per share in the quarter that ended June 30, compared to $203.9 million, or $2 a share, during the three-month period a year ago. Of all equities tracked, Wynn Resorts, Limited had the 5th highest net in-flow for the day. The figure accounted for nearly 60 percent of the company’s $1.04 billion in total revenue during the quarter. Vetr lowered Wynn Resorts, Limited from a “buy” rating to a “hold” rating and set a $111.37 price objective on the stock.in a research note on Monday, July 13th. Barclays raised shares of Wynn Resorts, Limited to a “sell” rating in a research note on Thursday, July 16th. The higher estimate for the short term price target is at $190 while the lower estimate is at $100. Four analysts have rated the stock with a sell rating, eleven have issued a hold rating and nine have issued a buy rating to the company.

In other news, Director John J. The company has a market cap of $10,076 million and the number of outstanding shares have been calculated to be 101,537,000 shares. Hagenbuch acquired 5,850 shares of the business’s stock in a transaction dated Wednesday, May 6th. The project will cost $4.1 billion, and it could add up to $1 billion in EBITDA, even in a depressed Macau market. The firm has a 50-day moving average price of $102.20 and a 200-day moving average price of $123.22. The information was disclosed with the SEC in a Form 4 Filing. In the Macau Special Administrative Region of the Peoples Republic of China (Macau) the Company owns and operates Wynn Macau, which includes Encore at Wynn Macau.

Wynn’s thoughts on these and other subjects became known Wednesday as the company announced that second quarter earnings took a beating as a result of sharp decreases both in Macau and Las Vegas of high-end baccarat business by worldwide customers.

Wynn Resorts, Limited is a developer, owner and operator of destination casino resorts.

In addition, the Chinese government-which rules Macau by the same “one country, two systems” arrangement as Hong Kong-tightened its grip on the territory, toughening visa rules for mainland Chinese visitors and increasing oversight of the debit cards many gamblers use. The company saw increases in its nongaming businesses in Las Vegas, including a almost 1 percent hike in hotel revenue, a 8.7 percent increase in entertainment and retail revenue and 4.8 percent jump in other revenue. (In fact, it’s the only game of substance in Macau.) So when Asia struggles, so does baccarat in Las Vegas, which hits Wynn Resorts particularly hard.