Focus Shifts to Post-COVID-19 Rebound
Amid the recovery in the gambling industry post the COVID-19 pandemic, Wynn Resorts, Limited (NASDAQ: WYNN) shares have garnered attention for potential growth.
Analyst Initiates Positive Coverage
Ben Chaiken from Mizuho Securities initiated coverage of Wynn Resorts with a Buy rating and set a price target of $131, citing upside to market share and EBITDA margins in Macau.
Potential Growth Outlook
As the market recovers, particularly with promising performance from its Peninsula asset, Wynn Resorts is positioned for an optimistic growth trajectory. The company is expected to exhibit better operating leverage in the region.
Las Vegas Market and Real Estate Advantage
Although Wynn’s ADR growth in Las Vegas has surpassed pre-pandemic levels, further robust growth is anticipated. The analyst emphasized potential for a substantial rate premium over the market due to increased corporate/group demand.
Additionally, Wynn’s advantageous position of owning most of its real estate assets (except Boston) provides a strategic edge over competitors and opens up possibilities for future expansion and innovation.
Stock Performance
Wynn Resorts’ shares had climbed 2.58% to reach $109.17 at the time of publication on Thursday, reflecting positive investor sentiment towards the company’s growth prospects.
Keep an eye out for the unfolding narrative, as Wynn Resorts navigates through the dynamic landscape of the post-pandemic gambling industry.