Macau sector slides after June GGR disappoints

|By:, SA News Editor

The Macau sector sold off in Hong Kong this morning, while in the U.S. premarket session Wynn Resorts (NASDAQ:WYNN) is down 3.79% and Las Vegas Sands (NYSE:LVS) is off 3.29%.

Union Gaming analyst Grant Govertsen notes that Macau casino business volume decelerated sharply in the last week of June. "We're surveying the market to see if there was a universal root cause, but at this point we're not concerned. Keep in mind that Macau has bad weeks all the time and one bad week doesn't make a trend," notes Govertsen.

He also points out the sector ran into a tough comparable from a year ago when June GGR was up 26%, but only attributes a small fraction of the revenue miss to World Cup fascination.

Macau casino stocks: Wynn Macau (OTCPK:WYNMF, OTCPK:WYNMY), Sands China (OTCPK:SCHYY, OTCPK:SCHYF), MGM China (OTCPK:MCHVF, OTCPK:MCHVY, MGM), Galaxy Entertainment (OTCPK:GXYEF), SJM Holdings (OTCPK:SJMHF, OTCPK:SJMHY), Melco Resorts & Entertainment (NASDAQ:MLCO).

Related ETF: BJK.

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