[ET Net News Agency, 25 September 2020] HSBC Global Research lowered its target price
for Wynn Macau (01128) to HK$11.8 from HK$15 and downgraded its rating to "hold" from
buy".
The research house cut its FY2020 GGR growth rate forecast to -80% (from -64%). HSBC
thinks near-term uncertainty in both supply and demand, especially from high-end segments,
will cap the recovery pace.
HSBC said raising its junket commission to match its peers on Cotai helped in defending
market share amid COVID as evident in Wynn's 1H results. However, premium positioning and
higher exposure to VIP could introduce more uncertainty on the road of recovery. The key
challenge lies in how to defend market share amid new openings in FY2021. It cut FY2020-21
EBITDA by 1,092% and 34%, due to HSBC's new market growth assumptions. (KL)
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01128 WYNN MACAU
Nominal 
7.370 +0.040 (+0.546%) Research Report
25/09/2020 14:55
{I-bank focus}HSBC downgrades Wynn Macau (01128) to HK$11.8
| Remark: | Real time quote last updated: 18/04/2024 17:59 |
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