Macau Gaming Below Views So Far this Month - Wells Fargo
Tweet Send to a Friend
Get Alerts WYNN Hot Sheet
Price: $137.86 --0%
Rating Summary:
19 Buy, 6 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 0 | Down: 2 | New: 2
Rating Summary:
19 Buy, 6 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 0 | Down: 2 | New: 2
Trade WYNN Now!
Based on a very early read of Macau gaming revenue, July is not shaping up to be a very good month. Analysts at Wells Fargo said July is tracking below expectations so far.
"We believe Macau table gaming revenue paced at HK$739MM/day over the first eight days of July, up 2% on a disappointing June result, and 3% below the year-to-date average," the analyst said.
They note, however, that this is a "very early read" and the results will likely fluctuate through the month.
Still, extrapolating last week's results out for a full month would imply just 0-5% year-over-year growth for July, which would clearly disappoint against Street estimates of roughly 7% and fuel incremental investor fears of potential negative 2nd-half comps.
The firm is maintaining their Macau theme of "growth slowing, risks increasing."
The comments have implications for Macau gaming stocks including: Wynn Resorts Ltd. (Nasdaq: WYNN), Las Vegas Sands Corp. (NYSE: LVS), MGM Resorts International (NYSE: MGM) and Melco Crown Entertainment Limited (Nasdaq: MPEL).
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
"We believe Macau table gaming revenue paced at HK$739MM/day over the first eight days of July, up 2% on a disappointing June result, and 3% below the year-to-date average," the analyst said.
They note, however, that this is a "very early read" and the results will likely fluctuate through the month.
Still, extrapolating last week's results out for a full month would imply just 0-5% year-over-year growth for July, which would clearly disappoint against Street estimates of roughly 7% and fuel incremental investor fears of potential negative 2nd-half comps.
The firm is maintaining their Macau theme of "growth slowing, risks increasing."
The comments have implications for Macau gaming stocks including: Wynn Resorts Ltd. (Nasdaq: WYNN), Las Vegas Sands Corp. (NYSE: LVS), MGM Resorts International (NYSE: MGM) and Melco Crown Entertainment Limited (Nasdaq: MPEL).
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
You May Also Be Interested In
- UPDATE: Viropharma, Inc. (VPHM) Said to Attract Acquisition Interest - Reuters
- UPDATE: MannKind Corp. (MNKD) Crashes
- Tesla (TSLA) Ramps Higher (GM)
Create E-mail Alert Related Categories
Analyst Comments, Trader TalkRelated Entities
Wells Fargo
Login with Facebook
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
