Sorrento Research downgraded Wynn Resorts (WYNN) from Hold to Sell, citing persistent weakness in Macau’s gaming revenue that it expects to continue through the fourth quarter of 2026. Macau accounts for 52% of Wynn’s EBITDAR. Gross gaming revenue in the region fell 7% year over year in October.
The report also cited intensifying competition, with rivals such as Las Vegas Sands signaling market-share gains. Competitors’ increased promotional spending and new premium offerings could pressure Wynn’s margins and position in the premium market. The analyst said the stock faces further downside risk despite trading at a discount, pointing to sector-wide earnings downgrades and a lack of near-term positive catalysts.