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大摩：看好澳门博彩行业 首选美高梅中国

Damo: Optimistic about Macau's gaming industry, MGM China is the first choice

Moomoo 24/7 ·  Jan 16 02:08
Morgan Stanley published a research report saying that it is still optimistic about the Macau gaming industry. It believes that the profit prospects of expo companies will outperform the performance of the Chinese consumer market. It also indicates that industry valuations have declined excessively. The key themes of this year's stock selection will be market share trends and the level of corporate operating leverage. The bank pointed out that although Macau's gaming revenue was strong in the first half of last year, due to market concerns that Macau gaming revenue had peaked, it lost momentum in the second half of the year, falling 15% overall, outperforming the Hang Seng Index. It is expected that gambling revenue will record significant growth this year. Midmarket business growth is expected to be strong. It is predicted that mid-term gambling revenue and industry EBITDA will increase by 25% and 34%, respectively. In terms of stock selection, Damo's first choice is still MGM China, which gives it an “increase in weight” rating. In addition to being optimistic about its valuation level, it also believes that its midmarket business performance will beat market expectations, with a target price of HK$13.5. Damo is also optimistic about Wynn Macau and Banking Entertainment. They also give “additional” ratings. The target prices are HK$7.5 and HK$51.5, respectively. As for Sands China, it gave it a “in sync with the big market” rating. It is expected to be influenced by the second phase of development by the Londoners in Macau. The target price is HK$24.
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