Macau casino stocks rise on the back of optimistic prediction

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Tuesday reportedly saw several publicly-listed American casino operators receive a significant boost to their stock price after a prominent equity research firm declared that it expects Macau‘s aggregated gross gaming revenues for October to have increased by as much as 21% year-on-year.

According to a report from American broadcaster CNBC, Nomura Securities International Incorporated made the prediction after declaring that Macau’s VIP and mass-market gaming facilities had seen a ‘noticeable pickup in demand’ over the final ten days of October.

“Our latest consultant checks point to a noticeable pickup in demand following the 19th Party Congress in China with VIP and mass revenues up about 30% and 9% year-on-year respectively,” reportedly read the research from Nomura Securities International Incorporated analyst Harry Curtis.

As a result, CNBC reported that Wynn Resorts Limited, which is responsible for Macau’s Wynn Palace Cotai and Wynn Macau integrated casino resorts, saw the price for its shares rise yesterday by just over 5.5%. There was also a 2% boost for the firm behind the enclave’s MGM Macau property, MGM Resorts International, while Las Vegas Sands Corporation, which runs The Parisian Macao, Sands Macao, The Venetian Macao, Sands Cotai Central and The Plaza Macao properties through its Sands China Limited subsidiary, witnessed a 2.8% uptick.

However, CNBC reported that a Consensus Metrix survey indicated most likely investors believed Macau’s aggregated gross gaming revenues for October would swell by only about 15.9% year-on-year, which would represent a 0.2% decline month-on-month.

Some 7,300 miles to the east and the broadcaster reported that casinos along the famous Las Vegas Strip saw aggregated gross gaming revenues of $567.9 million for September, which was a 4.7% improvement year-on-year, and accounted for 58% of the state’s total. The figures from the Nevada Gaming Control Board moreover purportedly showed that Nevada casinos as a whole won some 3% more during the 30-day period at almost $980 million.

Macau casino stocks rise on the back of optimistic prediction was last modified: November 1st, 2017 by Adam Morgan