Casino Stocks to Buy: Wynn Resorts (WYNN)
No stranger to gambling, Wynn Resorts, Limited (NASDAQ:WYNN) is a powerhouse among casino stocks. It owns two gaming centers in Macau, and is of course a renowned presence on the Las Vegas Strip. It’s quite a dynamo in the financial markets as well. For 2016, WYNN turned in a highly respectable 25% in what has been a rough sector in the past few years.
But in order for companies like WYNN to get back to their previously lofty highs, something dramatic had to occur. The legalization of Japan casinos is exactly the card that WYNN was hoping to be dealt. Shortly after the Japanese government made the critical concession, CEO Steve Wynn remarked: “To us, the opportunity is thoroughly Japanese and thoroughly delicious.”
He has every right to be excited. WYNN stock has seen its revenues hit a peak of $5.6 billion in 2013, only to see it shrink to a little over $4 billion. That’s roughly a 29% loss in a span of two years. But with Japan casinos forecasted to generate $25 billion in sales, that’s the equivalent of four Las Vegas Strips that sprouted out of nowhere.
For WYNN, that could very well be a lifesaver, making it one of the more enticing casino stocks to buy.