NasdaqGS:WYNN

Stock Analysis Report

Executive Summary

Wynn Resorts, Limited owns and operates destination casino resorts.


Snowflake Analysis

Reasonable growth potential second-rate dividend payer.


Similar Companies

Share Price & News

How has Wynn Resorts's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: WYNN has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-3.2%

WYNN

-1.6%

US Hospitality

-1.0%

US Market


1 Year Return

-2.9%

WYNN

4.0%

US Hospitality

18.0%

US Market

Return vs Industry: WYNN underperformed the US Hospitality industry which returned 4% over the past year.

Return vs Market: WYNN underperformed the US Market which returned 18% over the past year.


Shareholder returns

WYNNIndustryMarket
7 Day-3.2%-1.6%-1.0%
30 Day-8.0%-3.2%0.6%
90 Day7.4%4.6%7.9%
1 Year-0.3%-2.9%6.7%4.0%20.4%18.0%
3 Year44.9%36.1%33.4%24.5%48.0%38.5%
5 Year-0.09%-10.2%44.9%29.4%72.2%53.3%

Price Volatility Vs. Market

How volatile is Wynn Resorts's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Wynn Resorts undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: WYNN ($127.95) is trading below our estimate of fair value ($356.55)

Significantly Below Fair Value: WYNN is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: WYNN is poor value based on its PE Ratio (111.1x) compared to the Hospitality industry average (23.7x).

PE vs Market: WYNN is poor value based on its PE Ratio (111.1x) compared to the US market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: WYNN is poor value based on its PEG Ratio (2.8x)


Price to Book Ratio

PB vs Industry: WYNN is overvalued based on its PB Ratio (7.1x) compared to the US Hospitality industry average (2.2x).


Next Steps

Future Growth

How is Wynn Resorts forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?

40.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: WYNN's forecast earnings growth (40.2% per year) is above the savings rate (1.7%).

Earnings vs Market: WYNN's earnings (40.2% per year) are forecast to grow faster than the US market (14.2% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: WYNN's revenue (6.6% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: WYNN's revenue (6.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: WYNN's Return on Equity is forecast to be high in 3 years time (38.5%)


Next Steps

Past Performance

How has Wynn Resorts performed over the past 5 years?

12.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: WYNN has high quality earnings.

Growing Profit Margin: WYNN's current net profit margins (1.9%) are lower than last year (8.5%).


Past Earnings Growth Analysis

Earnings Trend: WYNN's earnings have grown by 12.5% per year over the past 5 years.

Accelerating Growth: WYNN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: WYNN had negative earnings growth (-78.5%) over the past year, making it difficult to compare to the Hospitality industry average (-8.2%).


Return on Equity

High ROE: WYNN's Return on Equity (18.7%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Wynn Resorts's financial position?


Financial Position Analysis

Short Term Liabilities: WYNN's short term assets ($2.1B) exceed its short term liabilities ($1.9B).

Long Term Liabilities: WYNN's short term assets ($2.1B) do not cover its long term liabilities ($9.7B).


Debt to Equity History and Analysis

Debt Level: WYNN's debt to equity ratio (572.5%) is considered high.

Reducing Debt: WYNN's debt to equity ratio has reduced from 3550% to 572.5% over the past 5 years.

Debt Coverage: WYNN's debt is not well covered by operating cash flow (13%).

Interest Coverage: WYNN's interest payments on its debt are not well covered by EBIT (2.3x coverage).


Balance Sheet

Inventory Level: WYNN has a high level of physical assets or inventory.

Debt Coverage by Assets: WYNN's debt is not covered by short term assets (assets are 0.2x debt).


Next Steps

Dividend

What is Wynn Resorts's current dividend yield, its reliability and sustainability?

3.13%

Current Dividend Yield


Upcoming Dividend Payment

TodayFeb 22 2020Ex Dividend DateFeb 25 2020Dividend Pay DateMar 06 202010 days from Ex DividendBuy in the next 2 days to receive upcoming dividend

Dividend Yield vs Market

Notable Dividend: WYNN's dividend (3.13%) is higher than the bottom 25% of dividend payers in the US market (1.45%).

High Dividend: WYNN's dividend (3.13%) is low compared to the top 25% of dividend payers in the US market (3.73%).


Stability and Growth of Payments

Stable Dividend: WYNN's dividend payments have been volatile in the past 10 years.

Growing Dividend: WYNN's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (347.2%), WYNN's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: WYNN's dividends in 3 years are forecast to be covered by earnings (57.7% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.6yrs

Average management tenure


CEO

Matt Maddox (43yo)

2yrs

Tenure

US$17,129,183

Compensation

Mr. Matthew Ode Maddox, also known as Matt, has been Chief Executive Director and Executive Director at Wynn Macau, Ltd since February 7, 2018. Mr. Maddox has been Chief Executive Officer of Wynn Resorts L ...


CEO Compensation Analysis

Compensation vs Market: Matt's total compensation ($USD17.13M) is above average for companies of similar size in the US market ($USD10.79M).

Compensation vs Earnings: Matt's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Matthew Maddox
CEO & Director2yrsUS$17.13m0.38% $54.5m
Craig Billings
President0.8yrsUS$7.50m0.073% $10.4m
Ellen Whittemore
Executive VP1.6yrsUS$2.29m0.023% $3.3m
Robert Amerine
Vice President – Corporate Finance0yrsno datano data
Scott Moore
Chief Marketing Officer1.1yrsno datano data
Erik Hansen
Chief Sustainability Officer1.7yrsno datano data
Michael Weaver
Chief Communications Officer1.1yrsno datano data
Rose Huddleston
Senior Vice President of Human Resources for North America0yrsno datano data
Linda Chen
President of Wynn International Marketing5.1yrsUS$4.33m0.22% $31.0m
Ian Coughlan
President of Wynn Macau Limited3.4yrsno data0.12% $16.8m

1.6yrs

Average Tenure

52yo

Average Age

Experienced Management: WYNN's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Matthew Maddox
CEO & Director2yrsUS$17.13m0.38% $54.5m
Linda Chen
President of Wynn International Marketing5.1yrsUS$4.33m0.22% $31.0m
Philip Satre
Non-Executive Chairman1.3yrsUS$425.47k0.013% $1.8m
Betsy Atkins
Independent Director1.8yrsUS$728.08k0.0047% $676.6k
Richard Byrne
Independent Director1.5yrsUS$338.56k0.0035% $502.8k
Winifred Webb
Independent Director1.8yrsUS$723.94k0.0047% $676.6k
Jay Johnson
Independent Director3.5yrsUS$470.66k0.0049% $696.5k
Patricia Mulroy
Independent Director4.3yrsUS$549.73k0.0071% $1.0m
Clark Randt
Director4.3yrsUS$364.65k0.0073% $1.0m
Margaret Myers
Independent Director1.8yrsUS$735.57k0.0047% $676.6k

1.8yrs

Average Tenure

63.5yo

Average Age

Experienced Board: WYNN's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Wynn Resorts, Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Wynn Resorts, Limited
  • Ticker: WYNN
  • Exchange: NasdaqGS
  • Founded: 2002
  • Industry: Casinos and Gaming
  • Sector: Consumer Services
  • Market Cap: US$14.243b
  • Shares outstanding: 106.83m
  • Website: https://www.wynnresorts.com

Number of Employees


Location

  • Wynn Resorts, Limited
  • 3131 Las Vegas Boulevard South
  • Las Vegas
  • Nevada
  • 89109
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WYNNNasdaqGS (Nasdaq Global Select)YesCommon Stock 0.01USUSDOct 2002
WYNN *BMV (Bolsa Mexicana de Valores)YesCommon Stock 0.01MXMXNOct 2002
WYRDB (Deutsche Boerse AG)YesCommon Stock 0.01DEEUROct 2002
WYNNSWX (SIX Swiss Exchange)YesCommon Stock 0.01CHCHFOct 2002
0QYKLSE (London Stock Exchange)YesCommon Stock 0.01GBUSDOct 2002
W1YN34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH REPR 2 COMBRBRLDec 2019

Biography

Wynn Resorts, Limited owns and operates destination casino resorts. As of February 20, 2019, the company’s Wynn Palace segment had approximately 424,000 square feet of casino space, which offered 320 table games and 1,041 slot machines, private gaming salons, and sky casinos; a luxury hotel towers with 1,706 guest rooms, suites, and villas; 13 food and beverage outlets; 106,000 square feet of retail space; 37,000 square feet of meeting and convention space; recreation and leisure facilities comprising a gondola ride, health club, spa, salon, and pool; and public attractions, such as performance lake and floral art displays. Its Wynn Macau segment had approximately Wynn Macau square feet of casino space that offers 317 table games and 810 slot machines, private gaming salons, sky casinos, and a poker pit; 2 luxury hotel with a total of 1,008 guest rooms and suites; 11 food and beverage outlets; 59,000 square feet of retail space; 31,000 square feet of meeting and convention space; recreation and leisure facilities, including a 2 health clubs, spas, a salon, and a pool; and Chinese zodiac-inspired ceiling along with gold prosperity tree and dragon of fortune attractions. The company’s Las Vegas Operations segment had approximately 192,000 square feet of casino space, which provide 243 table games and 1,811 slot machines, private gaming salons, a sky casino, a poker room, and a race and sports book; 2 luxury hotel towers with a total of 4,748 guest rooms, suites, and villas; 33 food and beverage outlets; 160,000 square feet of retail space; 290,000 square feet of meeting and convention space; 3 nightclubs and a beach club; recreation and leisure facilities, including swimming pools, private cabanas, 2 full service spas and salons, and a wedding chapel; and Le Rêve-The Dream, a water-based theatrical production and a theater presenting entertainment productions and various headliner entertainment acts. The company was founded in 2002 and is based in Las Vegas, Nevada. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/22 00:50
End of Day Share Price2020/02/21 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.