©Reuters. Gimme Credit Announces Improved Credit Status of Wynn Resorts (WYNN)
on wednesday, Wynn Resorts Co., Ltd. (NASDAQ:) moved from “Deteriorating” to “Stable” after receiving an upgrade to its outlook from corporate bond research firm Gimme Credit. The upgrade reflects a significant recovery in Macau's gaming sector, which is an important source of revenue for the company. Before the global health crisis, nearly three-quarters of Wynn's EBITDA was generated from operations in the Special Administrative Region of China.
Gimme Credit said Wynn Resorts' leverage has reduced significantly due to improved performance in Macau. Despite continued concerns about the broader economic situation in China, the company's credit metrics are expected to remain stable in the near term. This positive change is due to a dramatic recovery in Macau's total gaming revenue.
Wynn's financial health has improved significantly due to the strong performance of both its Macau and domestic casino operations. Recent financial data shows that the company has made very positive progress compared to its past performance. The post-pandemic surge in travel has been particularly beneficial for Wynn Resorts, known for its luxury accommodations and renowned casino experiences.
Wynn Resorts' ability to take advantage of improving travel trends has been a key factor in improving its credit ratings. The company's outlook suggests that Wynn's financial stability should remain on solid footing as long as Macau's current trajectory continues.
