Casino-related stocks soar together… Macau reopens to mainland Chinese tourists

Correspondent Bae Bae-yeon = Casino-related stocks listed on the New York Stock Exchange are showing strength. Macau authorities said they would reopen for tourists from mainland China as early as November.

According to investment media, Barrence, on the 26th, Macau's chief executive, Ho Yat Seng, announced at a press conference last weekend that mainland Chinese tourism to Macau could resume as early as November. did.

On the news, Melco Resorts & Entertainment (ADR) (NAS:MLCO) was trading near $6.8 on the New York Stock Exchange on the day, up nearly 30%. Las Vegas Sands (NYS:LVS) is also trading at around $40, up more than 14%. Wynn Resorts (NAS:WYNN) was also up 14% to trade around $68. MGM Resorts International (NYS:MGM) is up 4% to the low of $31.

Melco Resorts & Entertainment (ADR) (NAS:MLCO) is down 48% this year alone and Las Vegas Sands (NYS:LVS) is down 5.8%. Wynn Resorts (NAS:WYNN) is also down 30% this year, while MGM Resorts International (NYS:MGM) is down 33%.

The Standard & Poor's (S&P) 500 is down 22% this year. 무료스포츠중계 JPMorgan analyst Joseph Greff said the news was "the first meaningful travel policy or measures to strengthen travel mobility since the outbreak of COVID-19."

He added that the situation is surprising for investors as well, adding that it is "positive for all stocks based in Macau."

He presented an Overweight rating on Las Vegas Sands (NYS:LVS) and MGM Resorts International (NYS:MGM) and offered 12-month target prices of $44 and $47, respectively. He also offered a neutral rating for Melco Resorts & Entertainment (ADR) (NAS:MLCO) and Wynn Resorts (NAS:WYNN) with price targets of $5 and $69, respectively.

He emphasized that the Las Vegas Sands (NYS:LVS) is his favorite sport. This is because, while the recovery of the tourism market is still in its infancy, not only the resumption of the Macau casino market but also the earnings estimate from the Singapore Marina Bay Sands real estate are positive.

Prior to this, casino companies have struggled over the past few years due to here China's zero-coronavirus policy and bans from mainland tourists to Macau, the world's largest gambling hub. In July, due to the outbreak of COVID-19 again, Macau closed almost all businesses for two weeks.

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