Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.
Trade-Ideas LLC identified
) as a momo momentum candidate. In addition to specific proprietary factors, Trade-Ideas identified Wynn Resorts as such a stock due to the following factors:
- WYNN has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $224.5 million.
- WYNN has a PE ratio of 28.3.
- WYNN is currently in the upper 30% of its 1-year range.
- WYNN is in the upper 25% of its 20-day range.
- WYNN is in the upper 35% of its 5-day range.
- WYNN is currently trading above yesterday's high.
- WYNN has experienced a gap between today's open and yesterday's close of 0.7%.
'Momo Momentum' stocks are valuable stocks to watch for a variety of reasons including historical back testing and price action. Market technicians refer to such stocks as being in a mark-up phase before a possible distribution period and price decline. Technical analysts and traders frequently find that the factors referenced above tend to create a temporary burst of strong wind in a stock's sail. Nevertheless, all successful traders must excel at maximizing gains while keeping losses to an absolute minimum. For that reason, the holding period on momo momentum stocks must always be a primary consideration, and this part of the puzzle is ultimately at the discretion of each individual's risk tolerance and portfolio risk management skills.
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More details on WYNN:
Wynn Resorts, Limited, together with its subsidiaries, engages in the development, ownership, and operation of destination casino resorts. The stock currently has a dividend yield of 2.6%. WYNN has a PE ratio of 28.3. Currently there are 12 analysts that rate Wynn Resorts a buy, no analysts rate it a sell, and 6 rate it a hold.
The average volume for Wynn Resorts has been 1.1 million shares per day over the past 30 days. Wynn has a market cap of $15.8 billion and is part of the services sector and leisure industry. The stock has a beta of 1.69 and a short float of 8.8% with 4.40 days to cover. Shares are up 38.8% year to date as of the close of trading on Friday.
rates Wynn Resorts as a
. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, increase in net income, expanding profit margins and impressive record of earnings per share growth. Although the company may harbor some minor weaknesses, we feel they are unlikely to have a significant impact on results.
Highlights from the ratings report include:
- WYNN's revenue growth has slightly outpaced the industry average of 0.4%. Since the same quarter one year prior, revenues slightly increased by 7.0%. Growth in the company's revenue appears to have helped boost the earnings per share.
- Powered by its strong earnings growth of 61.26% and other important driving factors, this stock has surged by 53.93% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, although almost any stock can fall in a broad market decline, WYNN should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Hotels, Restaurants & Leisure industry. The net income increased by 62.5% when compared to the same quarter one year prior, rising from $112.04 million to $182.02 million.
- 37.91% is the gross profit margin for WYNN RESORTS LTD which we consider to be strong. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of 13.09% trails the industry average.
- WYNN RESORTS LTD reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, WYNN RESORTS LTD reported lower earnings of $4.81 versus $4.89 in the prior year. This year, the market expects an improvement in earnings ($6.78 versus $4.81).
- You can view the full Wynn Resorts Ratings Report.