QUOTE AND NEWS
Forbes  Jun 23  Comment 
In early trading on Tuesday, shares of Perrigo Company (PRGO) topped the list of the day's best performing components of the S&P 500 index, trading up 3.1%. Year to date, Perrigo Company registers a 14.0% gain.
TheStreet.com  Jun 16  Comment 
NEW YORK (TheStreet) -- Management at IBM should find cloud and mobile strategies or Egan-Jones will lower the company's ratings, Egan-Jones CEO Sean Egan told TheStreet TV on Tuesday. "Where the action is, where the growth is, where the...
Market Intelligence Center  Jun 16  Comment 
After closing Monday at $102.79, Wynn Resorts Ltd (WYNN) presents an attractive opportunity to get a 6.28% return in just 94 days, which is an annualized return of 24.39% (for comparison purposes only). To enter this trade, sell one Sep. '15...
TheStreet.com  Jun 8  Comment 
NEW YORK (TheStreet) -- The stock price of casino operator Wynn Resorts  finished Monday's trading day down almost 6%. Indeed Wynn's stock figured into TheStreet's Move of the Day. Shares slumped after a note from Sterne Agee analyst...
Forbes  Jun 8  Comment 
In early trading on Monday, shares of Sealed Air (SEE) topped the list of the day's best performing components of the S&P 500 index, trading up 2.1%. Year to date, Sealed Air registers a 16.8% gain.
TheStreet.com  Jun 8  Comment 
NEW YORK (TheStreet) -- Shares of Wynn Resorts were down 4.9% to $103.79 on Monday following a note from analyst firm Sterne Agee that suggests gaming revenue in Macau is falling in June so far. In a note to investors, Sterne Agee CRT analyst...
Motley Fool  Jun 6  Comment 
Why is Jim Cramer speculating that MGM Resorts and Wynn Resorts could be headed for a merger?
TheStreet.com  Jun 4  Comment 
NEW YORK (TheStreet) -- Shares of Las Vegas-based casino operator Wynn Resorts  ended Thursday's trading day up over 7%, making it TheStreet's Move of the Day.  The reason was merger speculation. TheStreet's Jim Cramer, portfolio manager of...




 

Wynn Resorts, Limited (NASDAQ: WYNN) develops and operates luxury casino resorts. The company serves Las Vegas, Nevada and Macau, China. In Las Vegas, the company owns the Wynn Las Vegas and Wynn Las Vegas Encore properties while in Macau, the company owns Wynn Macau and Wynn Macau Encore.[1] All of these properties are marketed as luxury resorts[2] and, in Las Vegas, WYNN likes to position its resorts as the most expensive in the city.[3] In 2010, the company earned $4.18 billion in revenue and $316 million in net income.

Company Overview

Business Segments[4]

  • Las Vegas (31% of total revenue, 70% of assets, 57% of costs)
  • Wynn Macau (69% of total revenue, 30% of assets, 43% of costs)

Business Growth[5]

Fiscal Year ended December 31, 2010

  • Revenue increased to $4.18 billion from $3.05 billion in 2009.
  • Net income increased to $316 million from $39.1 million in 2009.

Trends and Forces

Wynn has big exposure to the Macau gaming market

Due to the company's big investments in Macau, the company is both receptive of booms in the emerging markets and susceptible to the busts.The Macau gaming market is largely dependent on the Chinese market and economy. If the market worsens as it had in the 2008-2010 recession, Wynn Resorts could see its bottom line affected accordingly.

Wynn insists on keeping full-time staff employed

During downturns, Wynn's plan is to preserve employment includes pay cuts, reduced work weeks for its employees and suspend 401(k) matching. CEO Steve Wynn believes that eliminating job security worries amongst its employees is paramount to maintaining strong human capital, a driver of the consumer's experience at any Wynn casinos.[6]

Government Regulation and Gaming Laws

Macao's gaming laws and gaming taxes are relatively young and have few precedents, making them quite vulnerable to sudden change. China has a large and affluent middle class, but for many years travel and currency restrictions made it difficult and undesirable for visitors to come to Macao. While the Chinese government relaxed many of these restrictions when it first granted gaming licenses and ended its state-run gaming monopoly, there is no sign that this deregulation trend will continue.[7]

Competition

Wynn Resorts faces intense competition in both Las Vegas and Macau. The company’s primary competitors include Las Vegas Sands and MGM Mirage, both of which operate in the Las Vegas and Macau markets. Wynn Resorts also faces competition from privately-held Harrah’s Entertainment, Boyd Gaming, and Native American casinos.

  • Las Vegas Sands: Like Wynn, LVS has properties in Las Vegas, Macau, Bethlehem in Pennsylvania and Singapore.[8]
  • MGM Mirage: Operates casino resorts, golf courses, and golf clubs in the United States. MGM has a strategic alliance with the Mashantucket Pequot Tribal Nation, owner of Foxwoods Casino Resort in Ledyard, Connecticut.
  • Boyd Gaming: Owns and operates casinos in Nevada, Illinois, Louisiana, Mississippi, Indiana, and New Jersey in addition to pari-mutuel jai alai facility in Florida, two travel agencies, and an insurance company.
  • Harrah's Entertainment: A gaming company that owns and operates under the Harrah's, Caesars and Horseshoe brand names.[9] It also owns the London Clubs International family of casinos and the World Series of Poker.

References

  1. Wikinvest SEC Filings: 2010 10-K WYNN, Page 3
  2. John Dobosz (February 26, 2009). Going All In For Wynn. Forbes.
  3. Oskar Garcia (February 20, 2009). Wynn Resorts to post 4Q earnings on Tuesday. Forbes.
  4. Wikinvest SEC Files: 2010 10-K WYNN, Page 102-103
  5. Wikinvest SEC Files: 2010 10-K WYNN, Item 6: Selected Financial Data
  6. Wynn Resorts Ltd. Q3 2008 Earnings Call Transcript. Seeking Alpha (October 30, 2008).
  7. MacauCasinoWorld.com: History.
  8. Wikinvest: Las Vegas Sands
  9. Corporate Profile. Harrah's Entertainment.


Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki