Shares of gaming-giant Wynn Resorts, Limited (NASDAQ: WYNN) jumped 21.1% during April, according to data provided by S&P Global Market Intelligence, after getting good news from Macau and Massachusetts. The next big milestone will be when the company reports first-quarter 2019 earnings on Thursday, May 9.
Macau was the biggest news early in April: Gaming revenue fell just 0.4% in the month of March, to $3.2 billion, compared to the 3% decline that analysts were expecting. We don't yet know from an earnings report how Wynn Resorts fared against the competition, but the fact that Macau is stable overall is a good sign.
Image source: Wynn Resorts.
In Boston, Wynn Resorts resolved a dispute with regulators over its handling of Steve Wynn's misconduct allegations with a $35 million fine. The company will keep its gaming license and the resort will open as planned in June.
Amid all of the news in Macau and Boston, Wynn also reportedly began acquisition talks with Crown Resorts and just as quickly shut them down. For now, any deal is on hold, but investors should keep that on the radar because it could be Wynn's first major acquisition ever.
Conditions in early 2019 are incrementally better for Wynn Resorts than they were a few months ago. A cloud over the Massachusetts project is gone, Macau is stable, and the company may be on an acquisition hunt. That stability is helping drive shares higher. Now, investors need to look at earnings to see if Macau's revenue is flowing to Wynn Resorts.
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