The 10-second takeaway
For the quarter ended March 31 (Q1), Wynn Resorts missed slightly on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue grew and GAAP earnings per share shrank.
Margins shrank across the board.
Wynn Resorts tallied revenue of $1.31 billion. The 15 analysts polled by S&P Capital IQ expected a top line of $1.34 billion on the same basis. GAAP reported sales were 4.2% higher than the prior-year quarter's $1.26 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $1.33. The 20 earnings estimates compiled by S&P Capital IQ predicted $1.40 per share. GAAP EPS of $1.23 for Q1 were 12% lower than the prior-year quarter's $1.39 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 37.1%, 120 basis points worse than the prior-year quarter. Operating margin was 19.8%, 270 basis points worse than the prior-year quarter. Net margin was 10.7%, 310 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $1.40 billion. On the bottom line, the average EPS estimate is $1.65.
Next year's average estimate for revenue is $5.53 billion. The average EPS estimate is $6.07.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 894 members out of 1,244 rating the stock outperform, and 350 members rating it underperform. Among 296 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 228 give Wynn Resorts a green thumbs-up, and 68 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Wynn Resorts is outperform, with an average price target of $143.95.
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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.