Macau casino revenue for February below estimates

shapecharge/iStock via Getty Images

Macau’s gross gaming revenue rose 6.1% in February to 7.76 billion patacas ($0.96 billion) to follow the consensus estimate of a 7.0% increase. Current COVID restrictions and a strong crackdown on two junket operators had a negative impact on traffic. Macau’s GGR is down 8% year-on-year.

Jefferies is not convinced that a positive turning point for Macau is near.

“February will be Macau’s short-term gaming revenue peak, as Macau is unlikely to ease COVID policies as HK daily cases have yet to peak (likely to worsen) and news reports local outbreaks in Guangdong over the past few days. , the next Chinese national holiday is Labor Day in May. We maintain our expectation of a slow and gradual recovery that will be driven by government policies, so we prefer US names which have clearer visibility, notes analyst David Katz.

Macau Casino Stock: Wynn Macau (OTCPK:WYNMF)Wynn Resorts (NASDAQ:WYNN)Sands China (OTCPK: SCHYY)Las Vegas Sands (NYSE:LVS)MGM China (OTCPK:MCHVF). MGM Resorts (NYSE: MGM)Galaxy Entertainment (OTCPK: GXYEF)SJM Holdings (OTCPK: SJMHF)Melco Resorts & Entertainment (NASDAQ: MLCO)Macau Legend Development Limited (OTCPK: MALDF) and Studio City International (NYSE:MSC).

Last month, Las Vegas Sands (LVS) lost a notch rating at S&P Global.

Comments are closed.