Stock Analysis | Wynn Resorts Outlook - A Strong Technical Outlook and Analyst Support

Market Snapshot: A Bullish Setup for Wynn Resorts

Takeaway: Wynn Resorts (WYNN.O) is showing a strong technical outlook with a high internal diagnostic score of 8.01, suggesting investors should pay attention to rising opportunities.

News Highlights: Mixed Signals from the Sector

Recent news affecting the hospitality and restaurant sectors includes:

• Trump’s Tariff Moves: Proposed tariffs on Canada, Mexico, and China may raise costs for commodities like beer and fruits, potentially impacting restaurants. This could weigh on consumer spending but is more of a macroeconomic concern than a direct threat to Wynn Resorts.
• Industry Growth: Hyatt and InterContinental Hotels & Resorts are expanding their footprint, signaling optimism in the luxury and lifestyle hospitality market. This supports a broader trend of industry growth, which bodes well for Wynn’s position in the sector.
• Restaurant Aid: DoorDash’s $200,000 in grants to small restaurants impacted by wildfires shows increased focus on supporting local businesses. While not directly relevant to Wynn, it highlights a resilient consumer and hospitality ecosystem.

Analyst Views & Fundamentals: Strong Consensus and Mixed Fundamentals

Average Rating Score: 4.40 (simple mean)

Weighted Rating Score: 3.85 (performance-weighted)

Rating Consistency: Analysts show a mix of opinions, with some “Strong Buy” ratings alongside “Buy” ratings. Despite the dispersion, the overall direction of analyst expectations aligns with the recent positive price movement of 5.22%.

Fundamental Highlights:

• Net income-Revenue: -0.86% (value: -0.8586)
• Total profit (YoY growth rate): -48.68% (value: -48.6839)
• Long-term debt to working capital ratio: 140.89% (value: 140.8868)
• Annualized net profit margin on total assets: 2.47% (value: 2.468)
• Net profit attributable to parent company shareholders (YoY growth rate): -45.75% (value: -45.7505)

While the technical and analyst signals are encouraging, the fundamentals highlight some pressure, especially on profit margins and debt levels. Investors should weigh these factors when considering entry or exit points.

Money-Flow Trends: Institutional Buying Outpaces Retail

Money-flow analysis reveals a positive overall trend with strong inflows at the institutional level. The block inflow ratio is 64.69%, while large and extra-large investors are showing strong inflow trends. Notably, the extra-large inflow ratio is 69.43%, indicating that big money is showing confidence.

However, retail and small-cap flows are weaker, with small-inflow ratio at 49.80% and a negative small-trend. This suggests that while institutional money is building positions, retail investors remain cautious.

Key Technical Signals: Strong Bullish Momentum

Wynn Resorts is showing robust technical indicators, with 4 bullish signals and 0 bearish signals over the last five days. Key indicators include:

• WR Overbought: 8.29 (internal diagnostic score) – a strong bullish signal indicating the stock is near overbought levels.
• MACD Golden Cross: 8.17 – a strong bullish signal often associated with trend reversals to the upside.
• Ex-Dividend Date: 7.79 – showing a bullish bias due to expected post-event demand for the stock.

Recent chart patterns include multiple WR Overbought signals from May 14 to May 22 and the MACD Golden Cross on May 22. These signals indicate a strong upward trend with high momentum.

Key Insights: The technical side is strong, and it is suggested to pay attention to rising opportunities. The overall trend is supported by multiple bullish indicators and a strong score of 8.01.

Conclusion: A Watchlist Pick with Strong Momentum

Wynn Resorts is showing a compelling mix of strong technical signals, institutional inflows, and analyst support, despite some fundamental headwinds. While the fundamentals remain mixed, the stock’s recent performance and technical strength make it a stock to watch closely.

Actionable Takeaway: Investors may want to consider a measured entry into Wynn Resorts on a pull-back, especially given the strong technical setup and positive analyst ratings. Keep an eye on upcoming earnings and the broader hospitality recovery for further confirmation of the trend.