The 10-second takeaway
For the quarter ended June 30 (Q2), Wynn Resorts met expectations on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue grew. Non-GAAP earnings per share grew. GAAP earnings per share dropped.
Margins dropped across the board.
Wynn Resorts reported revenue of $1.33 billion. The 22 analysts polled by S&P Capital IQ hoped for a top line of $1.34 billion on the same basis. GAAP reported sales were 6.3% higher than the prior-year quarter's $1.25 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 $1.51. The 24 earnings estimates compiled by S&P Capital IQ predicted $1.57 per share. Non-GAAP EPS of $1.51 for Q2 were 9.4% higher than the prior-year quarter's $1.38 per share. GAAP EPS of $1.28 for Q2 were 6.6% lower than the prior-year quarter's $1.37 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%, much worse than the prior-year quarter. Operating margin was 20.6%, 70 basis points worse than the prior-year quarter. Net margin was 9.7%, 130 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $1.34 billion. On the bottom line, the average EPS estimate is $1.57.
Next year's average estimate for revenue is $5.41 billion. The average EPS estimate is $6.73.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 901 members out of 1,231 rating the stock outperform, and 330 members rating it underperform. Among 266 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 216 give Wynn Resorts a green thumbs-up, and 50 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 $150.67.
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