NEW YORK (TheStreet) -- Shares of Wynn Resorts Ltd. (WYNN) finished the day in the green, up by 5.05% to $98.67 at the close on Tuesday afternoon, as casino stocks got a jolt from China's decision to ease visa restrictions to mainland tourists traveling to the Macau gaming district.
Tourists holding passports from mainland China may now stay seven days in Macau, up from the current five day limitation, China's Xinhua News agency said, Bloomberg reports.
"High-frequency gamblers across segments can now visit twice every 30-days vs. twice every 60 days," UBS Securities Anthony Wong said in a note, Bloomberg added.
Last year, China's government began restricting the length of time tourists from the mainland may spend in the gambling hub as part of its anticorruption and cheating crackdown.
The anticorruption initiative has kept many high stakes players away from the gambling tables and the Macau district has faced a year of consecutive monthly revenue declines.
On Tuesday, Macau initiated a full smoking ban in casinos, which is anticipated to further hurt Macau, Bloomberg noted.
Separately, TheStreet Ratings team rates WYNN RESORTS LTD as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate WYNN RESORTS LTD (WYNN) a HOLD. The primary factors that have impacted our rating are mixed-some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. Among the primary strengths of the company is its expanding profit margins over time. At the same time, however, we also find weaknesses including deteriorating net income, weak operating cash flow and feeble growth in the company's earnings per share."