Wynn Resorts, Limited Beat Analyst Estimates: See What The Consensus Is Forecasting For This Year

Investors in Wynn Resorts, Limited (NASDAQ:WYNN) had a good week, as its shares rose 9.1% to close at US$106 following the release of its full-year results. Revenues were US$6.5b, approximately in line with whatthe analysts expected, although statutory earnings per share (EPS) crushed expectations, coming in at US$6.32, an impressive 529% ahead of estimates. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we gathered the latest post-earnings forecasts to see what estimates suggest is in store for next year.

View our latest analysis for Wynn Resorts

Taking into account the latest results, the most recent consensus for Wynn Resorts from 14 analysts is for revenues of US$7.14b in 2024. If met, it would imply a notable 9.3% increase on its revenue over the past 12 months. Statutory earnings per share are forecast to tumble 29% to US$4.59 in the same period. In the lead-up to this report, the analysts had been modelling revenues of US$6.96b and earnings per share (EPS) of US$4.61 in 2024. So it looks like there's been no major change in sentiment following the latest results, although the analysts have made a slight bump in to revenue forecasts.

It may not be a surprise to see thatthe analysts have reconfirmed their price target of US$120, implying that the uplift in revenue is not expected to greatly contribute to Wynn Resorts's valuation in the near term. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. The most optimistic Wynn Resorts analyst has a price target of US$147 per share, while the most pessimistic values it at US$96.00. This shows there is still a bit of diversity in estimates, but analysts don't appear to be totally split on the stock as though it might be a success or failure situation.

These estimates are interesting, but it can be useful to paint some more broad strokes when seeing how forecasts compare, both to the Wynn Resorts' past performance and to peers in the same industry. One thing stands out from these estimates, which is that Wynn Resorts is forecast to grow faster in the future than it has in the past, with revenues expected to display 9.3% annualised growth until the end of 2024. If achieved, this would be a much better result than the 7.1% annual decline over the past five years. Compare this against analyst estimates for the broader industry, which suggest that (in aggregate) industry revenues are expected to grow 9.9% annually. So while Wynn Resorts' revenues are expected to improve, it seems that it is expected to grow at about the same rate as the overall industry.

The Bottom Line

The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. There was also an upgrade to revenue estimates, although as we saw earlier, forecast growth is only expected to be about the same as the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

With that in mind, we wouldn't be too quick to come to a conclusion on Wynn Resorts. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for Wynn Resorts going out to 2026, and you can see them free on our platform here..

We don't want to rain on the parade too much, but we did also find 4 warning signs for Wynn Resorts (2 make us uncomfortable!) that you need to be mindful of.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.