Wynn Resorts (WYNN) Stock Higher on Upbeat Macau Gaming Revenue

Wynn Resorts (WYNN) stock is advancing this afternoon as the first 10 days of July indicate strong Macau gaming revenue.
By Rachel Graf ,

NEW YORK (TheStreet) -- Shares of Wynn Resorts (WYNN) - Get Report are up 5.43% to $94.62 on heavy trading volume late Monday afternoon as the first 10 days of July indicate a positive trend for revenue in China's gambling hub Macau.

"According to our industry sources, based on gaming play for the first 10 days of July, gross gaming revenues in Macau for the month is estimated to be tracking up approximately 8.2% year-over-year," David Katz, an analyst at Telsey Advisory, wrote in a note cited by CNBC.com.

The results are "well ahead of the previous trends" that showed an 11% decline, Katz added.

UBS similarly mentioned a "strong start to July," according to CNBC.com.

But Nomura noted that the numbers for the first 10 days of July included an extra weekend, which skewed results. 

"[A]djusting for the benefit of the extra weekend, daily GGR would have been... [running at] the weak run rate last month," the firm explained.

Separately, TheStreet Ratings team rates the stock as a "hold" with a ratings score of C-.

Wynn Resorts' strengths such as its increase in net income, good cash flow from operations and expanding profit margins. However, as a counter to these strengths, we find that the stock has had a generally disappointing performance in the past year.

You can view the full analysis from the report here: WYNN

TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author. 

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