{"id":8120,"date":"2020-07-14T22:45:58","date_gmt":"2020-07-14T22:45:58","guid":{"rendered":"https:\/\/focusgn.com\/asia-pacific\/?p=8120"},"modified":"2026-04-24T03:38:38","modified_gmt":"2026-04-24T06:38:38","slug":"analysts-bet-on-macaus-fast-recovery","status":"publish","type":"post","link":"https:\/\/focusgn.com\/asia-pacific\/analysts-bet-on-macaus-fast-recovery","title":{"rendered":"Analysts bet on Macau’s fast recovery"},"content":{"rendered":"\n

Analysts believe gross gaming revenue could recover to 25 per cent of pre-pandemic levels in the short term.<\/p>\n\n\n\n\n\n\n\n

Macau.- Several analysts have said they expect Macau gaming revenue to recover in the next few months.<\/p>\n\n\n\n

Chelsey Tam, Morningstar\u2019s senior equity analyst, has said investors would be wise to invest in Macau gaming companies right now, when the sector is undervalued.<\/p>\n\n\n\n

She said “After Covid-19 is under control, we are very confident that the sector will have room to catch up to our fair value estimates.\u201d<\/p>\n\n\n\n

She warned, however that the recovery could be delayed or halted by any new spike in Covid-19 cases in the region causing travel restrictions to be enforced again.<\/p>\n\n\n\n

Union Gaming analyst John DeCree, meanwhile, said Wynn Resorts would be the operator to lead the recovery in the region, raising its rating from \u201chold\u201d to \u201cbuy\u201d.<\/p>\n\n\n\n

According to Casino.org, he said: \u201cWe expect the initial recovery will be in the premium mass and VIP segments and anticipate a flight to asset quality for both investors and consumers.\u201d<\/p>\n\n\n\n

DeCree also said Hong Kong was expected to eventually lift travel restrictions, boosting Macau\u2019s tourism income. After mainland China, Hong Kong accounts for the largest amounts of visitors in the city, but the health code system to allow quarantine-free travel has been delayed over a recent spike in positive Covid-19 cases<\/a><\/em><\/strong>.<\/p>\n\n\n\n

This week, casino stocks jumped<\/a><\/em><\/strong> after Guangdong authorities cleared Macau residents with recent negative Covid-19 test results to enter nine cities without having to go through a 14-day quarantine.<\/p>\n\n\n\n

IAG reported that Guangdong accounted for 46 per cent of mainland China\u2019s visitors and up to 35 per cent of gross gaming revenues (GGR) last year. As a result Credit Suisse analysts Kenneth Fong, Lok Kan Chan and Rebecca Law believe Macau\u2019s GGR could recover to 15 – 25 per cent of pre-pandemic levels in the short term.<\/p>\n\n\n\n

JP Morgan\u2019s DS Kim, Derek Choi and Jeremy An have said GGR could grow to between 20 and 25 per cent of 2019 levels, to between MOP$150 million and MOP$200 million (US$18.7 million to US$25 million) per day in the coming month. They also believe China could grant visas for travellers from outside Guangdong to go to Macau in the near future.<\/p>\n","protected":false},"excerpt":{"rendered":"

Analysts believe gross gaming revenue could recover to 25 per cent of pre-pandemic levels in the short term.<\/p>\n","protected":false},"author":2,"featured_media":8125,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"is_press_release":false,"is_interview":false,"is_opinion":false,"focusai_summary":"Analysts project Macau's Gross Gaming Revenue (GGR) could recover to 15-25% of pre-pandemic levels in the short term, driven by eased travel restrictions from Guangdong. Equity analysts from Morningstar, Union Gaming, Credit Suisse, and JP Morgan recommend investment in Macau gaming companies, with Wynn Resorts identified as a potential leader in the premium mass and VIP segments. The recovery's sustainability remains contingent on further relaxation of travel policies from Hong Kong and other mainland China regions.","focusai_entities":"Chelsey Tam, Morningstar, John DeCree, Union Gaming, Wynn Resorts, Casino.org, IAG, Kenneth Fong, Lok Kan Chan, Rebecca Law, Credit Suisse, DS Kim, Derek Choi, Jeremy An, JP Morgan","focusai_location":"Macau, Hong Kong, Guangdong, China","focusai_target_profile":"ceo_executive (0.9), regulator (0.7), operator_casino (0.9), marketing_crm (0.7), investor_analyst (1.0), supplier_vendor (0.7), journalist_researcher (0.8)","focusai_suggestions":[{"label":"Policy Impact on GGR?","query":"What specific policy changes are anticipated from mainland China and Hong Kong that could further accelerate Macau's GGR recovery beyond the current 25% projection?"},{"label":"Competitive Landscape Shift?","query":"How might the 'flight to asset quality' impact the competitive landscape among Macau's concessionaires, particularly for operators beyond Wynn Resorts, in the premium mass and VIP segments?"}],"footnotes":""},"categories":[16338,163,158],"tags":[725,12415,257],"class_list":["post-8120","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-east-asia-news","category-finance-news","category-slider-home","tag-ggr","tag-guangdong","tag-macau"],"_links":{"self":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/8120","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/comments?post=8120"}],"version-history":[{"count":3,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/8120\/revisions"}],"predecessor-version":[{"id":8134,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/8120\/revisions\/8134"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media\/8125"}],"wp:attachment":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media?parent=8120"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/categories?post=8120"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/tags?post=8120"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}