Casino construction postponed due to Coronavirus
A number of construction and expansion projects in Macau have been stopped or delayed because of the Coronavirus crisis.
Macau.- A number of casino construction and expansion projects have been delayed or stopped due to Coronavirus crisis, Morningstar analyst Chelsea Tam has reported.
The delayed projects include Galaxy Macau phases 3 and 4, the Londoner, the Grand Lisboa Palace and Studio City’s second phase, Tam said.
“This is a good opportunity for long-term investors to go bargain hunting in the Macau gaming coverage,” she added.
“MGM China, Wynn Macau, Melco Resorts, SJM Holdings, and Sands China are undervalued.”
According to other analysts, although they remain cautious about casino stocks in the short term and price volatility, they remain optimistic of a sharp bounce back once the outbreak is under control.
“We believe the virus is only a temporary step backwards for the Chinese economy and does not change our positive longer-term sector view especially as economic data was improving before the [virus],” Jefferies analysts wrote in a recent note.
