Wynn Resorts (NASDAQ:WYNN) Sets New 1-Year Low on Analyst Downgrade

Key Points

• Wynn Resorts shares hit a new 52-week low, trading as low as $73.07 after Citigroup cut its price target from $135 to $103, while maintaining a buy rating.
• Despite the downgrade, analyst sentiment remains positive: the stock has a consensus “Moderate Buy” rating and an average price target of $131.18, well above its recent trading price.
• The company reported quarterly EPS of $1.24, beating estimates of $0.99, while revenue rose 6.9% year over year to $1.86 billion. Wynn also paid a quarterly dividend of $0.25 per share.

Shares of Wynn Resorts, Limited (NASDAQ:WYNN - Get Free Report) hit a new 52-week low on Tuesday after Citigroup lowered their price target on the stock from $135.00 to $103.00. Citigroup currently has a buy rating on the stock. Wynn Resorts traded as low as $73.07 and last traded at $74.96, with a volume of 2,027,800 shares traded. The stock had previously closed at $75.15.

Several other equities analysts have also commented on WYNN. Mizuho lowered their price objective on Wynn Resorts from $133.00 to $125.00 and set an "outperform" rating for the company in a research report on Tuesday, July 28th. Wolfe Research initiated coverage on shares of Wynn Resorts in a research report on Wednesday, September 2nd. They issued an "outperform" rating and a $128.00 target price on the stock. Morgan Stanley reiterated an "overweight" rating and issued a $128.00 price target on shares of Wynn Resorts in a research note on Wednesday, July 22nd. Weiss Ratings reiterated a "hold (c)" rating on shares of Wynn Resorts in a research note on Monday, September 21st. Finally, UBS Group lowered their price target on shares of Wynn Resorts from $145.00 to $138.00 and set a "buy" rating for the company in a research report on Friday, September 11th. One equities research analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating and two have issued a Hold rating to the company's stock. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $131.18.

Institutional Trading of Wynn Resorts

A number of institutional investors and hedge funds have recently modified their holdings of the business. Envestnet Asset Management Inc. grew its position in Wynn Resorts by 56.6% during the second quarter. Envestnet Asset Management Inc. now owns 20,324 shares of the casino operator's stock valued at $1,973,000 after buying an additional 7,348 shares during the period. State Street Corp raised its position in Wynn Resorts by 2.6% in the second quarter. State Street Corp now owns 3,047,930 shares of the casino operator's stock worth $295,924,000 after acquiring an additional 77,416 shares during the period. Tidal Investments LLC bought a new position in Wynn Resorts in the second quarter worth approximately $278,000. Nykredit A S bought a new position in Wynn Resorts in the second quarter worth approximately $307,000. Finally, VIRGINIA RETIREMENT SYSTEMS ET Al bought a new position in Wynn Resorts in the second quarter worth approximately $495,000. Institutional investors own 88.64% of the company's stock.

Wynn Resorts Trading Down 0.3%

The company's 50 day moving average price is $89.80 and its two-hundred day moving average price is $97.27. The firm has a market cap of $7.72 billion, a PE ratio of 18.60, a PEG ratio of 0.90 and a beta of 0.96.

Wynn Resorts (NASDAQ:WYNN - Get Free Report) last issued its quarterly earnings data on Tuesday, August 4th. The casino operator reported $1.24 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.99 by $0.25. Wynn Resorts had a net margin of 6.05% and a negative return on equity of 46.52%. The firm had revenue of $1.86 billion during the quarter, compared to the consensus estimate of $1.83 billion. During the same quarter in the previous year, the firm posted $1.09 EPS. The company's revenue for the quarter was up 6.9% compared to the same quarter last year. Equities research analysts expect that Wynn Resorts, Limited will post 4.55 earnings per share for the current fiscal year.

Wynn Resorts Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, August 28th. Investors of record on Friday, August 14th were given a dividend of $0.25 per share. The ex-dividend date was Friday, August 14th. This represents a $1.00 annualized dividend and a yield of 1.3%. Wynn Resorts's payout ratio is 24.81%.

Wynn Resorts Company Profile

Wynn Resorts, Ltd. is a developer and operator of luxury integrated resorts that combine casino gaming, hotel accommodations, fine dining, entertainment, retail, and convention facilities. Its properties are designed to serve leisure travelers, convention visitors, and gaming customers.

The company operates Wynn and Encore resorts in Las Vegas, Nevada; Wynn Macau and Wynn Palace in Macau; and Encore Boston Harbor in Everett, Massachusetts. These properties offer casino floors, guest rooms and suites, restaurants, spas, theaters and other amenities, with operations serving customers from the United States, China and international markets.

Wynn Resorts was founded in 2002 by Steve Wynn, who previously helped develop major casino resorts in Las Vegas and Macau.

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