Wynn Resorts stock target cut to $113 at Stifel, retains buy rating

Published 07/05/2025, 16:16
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Wednesday, Stifel analysts adjusted the price target for Wynn Resorts (NASDAQ:WYNN) shares, reducing it to $113 from the previous target of $128, while maintaining a Buy rating on the stock. Currently trading at $84.30, the stock sits well below the broader analyst consensus range of $83-$132. According to InvestingPro data, Wynn shows strong financial health with an overall score of "GREAT." The analysts noted that, despite the positive performance in Las Vegas and Boston, where trends remain solid with sustained demand and spending through April, challenges persist in Macau due to various macroeconomic, geopolitical, and governmental factors.

The report from Stifel highlighted that while the situation in Macau continues to be problematic with no immediate resolution in sight, there is confidence that spending levels will normalize swiftly once the overall climate in China improves. This optimism is supported by strong visitation statistics observed when conditions are favorable. Despite challenges, Wynn has maintained solid financial performance with $7.1 billion in revenue and a healthy gross profit margin of 43.5% over the last twelve months.

In their assessment, Stifel has factored in a moderate recession for Wynn Resorts’ operations in the United States and has significantly lowered expectations for the company’s Macau business to remain conservative. Despite the downturn in Macau and the revised price target, Stifel’s stance reflects a belief that Wynn Resorts’ shares are currently trading at a discount that does not adequately value the company’s assets in Macau.

The analysts also pointed out that Wynn Resorts’ management seems to share this perspective, as evidenced by their decision to accelerate share repurchases at current price levels. The combination of these factors has led to a lower but still optimistic price target of $113 for Wynn Resorts’ stock. InvestingPro analysis suggests the stock is currently undervalued, with additional insights available in the comprehensive Pro Research Report, which provides deep-dive analysis of Wynn’s financial health, valuation metrics, and growth prospects.

In other recent news, Wynn Resorts reported its financial results for the first quarter of 2025, revealing earnings per share of $1.07, which fell short of analysts’ forecasts of $1.31. The company’s revenue also missed expectations, coming in at $1.7 billion against the projected $1.75 billion. Despite these results, Wynn Resorts’ Macau operations showed a significant turnover increase of 31%. In addition, the company repurchased 2.36 million shares in the first quarter. Citi analyst George Choi maintained a Buy rating on Wynn Resorts and raised the price target to $101, noting the company’s strong operational trends and increased price expectations for Wynn Macau (OTC:WYNMF). BofA Securities also upgraded Wynn Resorts from Neutral to Buy, setting a new price target of $100 due to anticipated growth from the upcoming Wynn Al Marjan Island project in the UAE. This expansion is expected to diversify Wynn Resorts’ portfolio and reduce its reliance on the Macau market. These developments indicate a positive outlook for Wynn Resorts as it continues its strategic initiatives and expansion efforts.

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