The analysts said Wynn's primary earnings could be materially hurt if Macau's government tightens restrictions around gambling licenses.
Jefferies lowered its price target on Wynn to $83 a share from $104. Analysts David Katz, Cassandra Lee and Farshid Javar maintained their hold rating on the stock.
For full year 2023 analysts at Jefferies estimate a 24% dip in revenue from Macau.
Shares of the Las Vegas company at last check dropped 0.4% to $84.
The public statement by Macau government officials released on Wednesday, indicated a policy shift that "is likely most negative for VIP revenues, which accounted for roughly half of WYNN's Macau gaming revenue prepandemic," the note said.
On Wednesday, Macau government officials released a document outlining that regulators could revise rules for next year's auction of gambling licenses to possibly include government supervision of the companies' day-to-day operations.
Jefferies further attributed the cut in price target to the ongoing Covid overhang and Macau's zero tolerance toward coronavirus, which could lead to a choppy economic recovery.
Jefferies expects Wynn Resorts to generate $3.86 billion in overall revenue and $732.8 million in adjusted Ebitda.
The analysts also lowered their adjusted-Ebitda forecasts for fiscal 2022, to $1.44 billion, and fiscal 2023, to $1.55 billion.