Benefiting from the good news that Macau's gambling revenue in March increased by 15% year-on-year and exceeded market expectations, gambling stocks collectively rose on April 2nd. Among them, Melco International Development's stock price surged 18% after the performance announcement, becoming the leading gainer of the day. Goldman Sachs simultaneously released a research report, maintaining a "buy" rating for Galaxy Entertainment, Sands China, MGM China, and Melco Resorts & Entertainment. To be honest, as soon as the March data came out, market confidence immediately returned, and capital voting with their feet is more effective than anything.
Goldman Sachs: Dividend yield of 6% to 7% is attractive
In the research report, Goldman Sachs pointed out that the current dividend yield of Macau gambling stocks is about 6% to 7%, which has high allocation value under the current interest rate environment. The bank believes that with the continuous recovery of the mass market business and the gradual implementation of non-gambling elements, the profitability and cash flow of Macau gambling enterprises will remain robust. The "buy" rating maintained for the four companies covers the main participants in the Macau market, showing Goldman Sachs's optimistic attitude towards the overall industry prospects.
Market reaction: Melco leads the rise, sector follows
The sharp rise in Melco International Development not only drove its own stock price but also pulled up the entire gambling sector. Analysts believe that the March data confirmed the resilience of Macau's gambling demand, especially the performance of the high-end mass market and VIP rooms exceeded expectations. As the "May Day" Golden Week approaches, market expectations for gambling revenue in April and May are also heating up. In the future, the progress of non-gambling investments and dividend policies of various gambling enterprises will become the focus of investors' attention. For more Macau gambling market dynamics, continue to follow PASA official website.
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This article is from "PASA-Global iGaming Leader" gambling industry news channel:https://t.me/pasa_news
Original in-depth gambling channel:https://t.me/gamblingdeep
Free data report: @pasa_research
PASA Matrix: @pasa002_bot
PASA official website: https://www.pasa.news
