Wynn Resorts Outlook - Mixed Signals in Technicals and Analyst Ratings

Market Snapshot

Current price trend: Down (-2.27%), with mixed signals from both technical indicators and analysts. Investors are advised to monitor the stock closely for a clearer direction.

News Highlights

Recent developments in the hotel and hospitality sector highlight both opportunities and risks:

• Hyatt’s new soft brand “Unscripted” is expanding its reach to independent hotels, potentially intensifying competition in the luxury and lifestyle segments. This could affect Wynn's positioning in niche markets.
• Choice Hotels is continuing its push into the extended stay segment, with several new Everhome Suites openings. This trend suggests ongoing demand for flexible, cost-effective lodging options, which may impact Wynn’s broader resort offerings.
• European hotels have filed a lawsuit against Booking.com over pricing rules. If successful, this could reshape online booking dynamics and affect Wynn’s digital distribution channels.

Analyst Views & Fundamentals

Analysts are divided in their outlook for Wynn Resorts. The simple average rating is 5.00, while the weighted rating based on historical performance is 1.37, indicating a bias toward caution. These scores do not align with the current price trend (falling -2.27%), suggesting market sentiment is more bearish than analyst expectations.

Key fundamental values and their model scores:

• EV/EBIT: 86.18 (Internal diagnostic score: 0.00) – High valuation multiple suggests a premium on earnings.
• ROA: 0.61% (Internal diagnostic score: 0.00) – Weak asset utilization.
• Net income to Revenue: -85.71% (Internal diagnostic score: 2.00) – Indicates significant cost pressures.
• Gross Profit Margin (GPM): 41.79% (Internal diagnostic score: 3.00) – Solid gross margin, but room for improvement.
• GMAR (Gross Margin to Asset Ratio): 41.79% (Internal diagnostic score: 3.00) – Reflects a mix of profitability and asset efficiency.
• Long-term debt to Working Capital ratio: 140.89% (Internal diagnostic score: 2.00) – High leverage could pose risks in downturns.
• Cash to Market Value (Cash-MV): 60.87% (Internal diagnostic score: 2.00) – Indicates strong liquidity relative to market cap.

Money-Flow Trends

Money flows show mixed signals. Small and medium investors are showing a positive bias, with inflow ratios of 51.13% and 50.74% respectively, while large and extra-large institutional flows are slightly bearish at 51.20% and 49.45%. Overall, retail investors are more optimistic than big-money players, with the overall inflow ratio at 49.80% and block flow at 49.68%.

Key Technical Signals

Recent technical signals are mixed:

• WR Overbought (Internal diagnostic score: 8.37): Suggests a strong bullish signal, though it is overbought and may correct.
• RSI Overbought (Internal diagnostic score: 7.64): Also indicates a bullish bias, though overbought conditions may limit further gains.
• MACD Death Cross (Internal diagnostic score: 1.00): Strong bearish indicator that may signal a trend reversal.
• Dividend Payable Date (Internal diagnostic score: 3.61): May cause short-term volatility due to shareholder activity.

Recent chart patterns:

• 2025-08-28: WR and RSI overbought conditions emerged.
• 2025-09-09: A MACD Death Cross occurred, signaling a bearish shift.

Overall technical trend: Technical neutrality with mixed signals, indicating a wait-and-see stance is appropriate. The recent volatility and mixed momentum suggest a lack of clear direction in the near term.

Conclusion

Wynn Resorts is in a technical limbo with conflicting signals from overbought indicators and a bearish MACD Death Cross. Analyst ratings are mixed and not aligned with the recent price decline. While fundamental metrics show some strength in margins and liquidity, leverage and profitability remain concerns. Given the current internal diagnostic score of 5.15 in technical analysis, we recommend considering a wait-and-see approach, and watching for a potential pullback or breakout in the near term.