[ad_1]
Wynn Resorts is planning a global expansion that warrants investor interest, according to UBS. Analyst Robin Farley upgraded shares of the casino operator to buy from neutral and raised his price target by $46 to $147, which suggests 19.3% potential upside for the stock. Farley’s is bullish on Wynn’s Al Marjan Island resort, a 70-story hotel tower in the United Arab Emirates that is scheduled to open early 2027. The company has invested roughly $5 billion into the UAE project . “We raise Macau estimates and upgrade WYNN to Buy from Neutral predicated on those higher estimates and a more bullish view on WYNN’s Al Marjan resort, a view we believe the market will come to share after WYNN’s December investor day,” Farley wrote in note to clients, adding that his recent trip to the UAE transformed his view on the prospects for the resort. “We anticipate that WYNN being the only gaming operator in the UAE should provide a meaningful head start in capturing loyalty among ultra high net worth international customers,” the analyst added. WYNN 1Y mountain Wynn resorts stock performance. UBS believes Wynn could be giving a much too conservative forecast for its new resort, and expects the resort to yield closer to the high end of expectations in 2029. Farley noted that more higher-end properties, such as this under-construction resort, have been the ones winning market share since the Covid pandemic. “We believe that as a premium operator, WYNN can defend or gain market share, which is a contrast to consensus expectations that WYNN will lose market share,” the analyst said. Wynn CEO Craig Billings told CNBC in March that the company is focused on the affluence and population in the UAE, and that Wynn plans to expand to London in the future given that many customers in the UAE spend time in London. Shares, which are up about 43% year to date, gained more than 1% following the upgrade.
[ad_2]
Source link
