Wynn Resorts (NASDAQ:WYNN) was selected as a top pick at Wells Fargo ahead of earnings, with Macau and Las Vegas rebounds expected to support upside for shares.
Equity analyst Daniel Politzer told clients that upcoming earnings could serve as “a positive catalyst for Macau stocks” as positive forecasts for post-COVID tourism bolster the sector. For Las Vegas, GGR in March outpaced pre-pandemic levels by 20% with further upside available in coming months.
“WYNN is our top pick, with a clear path to upward estimate revisions,” Politzer wrote. “Macau’s recovering, WYNN’s maintaining share, and the question is becoming when, not if, WYNN returns to ’19 EBITDA.”
He reiterated an Overweight rating on the stock and hiked his price target to $134 from a prior $128.
Read more on recent data on Macau’s ongoing recovery.