{"id":274419,"date":"2023-05-22T15:22:51","date_gmt":"2023-05-22T20:22:51","guid":{"rendered":"https:\/\/www.casino.org\/news\/?p=274419"},"modified":"2023-05-23T12:24:50","modified_gmt":"2023-05-23T17:24:50","slug":"las-vegas-strip-still-durable-says-stifel-analyst","status":"publish","type":"post","link":"https:\/\/www.casino.org\/news\/las-vegas-strip-still-durable-says-stifel-analyst\/","title":{"rendered":"Las Vegas Strip Showing No Recession Signs, Says Analyst"},"content":{"rendered":"

There are concerns about the strength of the US economy, and those worries will only be amplified if a resolution on the debt ceiling isn\u2019t reached. But for now, there are no signs of macroeconomic distress on the Las Vegas Strip.<\/p>\n

\"Las
A section of the Las Vegas Strip, seen above. An analyst is bullish on shares of Sin City operators. (Image: Eater Vegas<\/em>)<\/figcaption><\/figure>\n

Stifel analyst Steven Wieczynski and team recently returned from meetings in Las Vegas with a dozen Strip operators, regional casino companies, and gaming device manufacturers. In a new report to clients, the analyst observed that the level of current Strip demand is “amazing,” and the major operators’ management teams are seeing little negative change in consumer behavior.<\/p>\n

Comps toughen beginning in 2Q23, though this should be well understood by investors now. If the market was going to soften you would also start to see discounted room nights and an uptick in promotional spend, both of which are not currently taking place,\u201d<\/strong> wrote the analyst.<\/p><\/blockquote>\n

MGM Resorts International (NYSE: MGM) and Caesars Entertainment (NASDAQ: CZR)<\/a> are the two largest Strip operators. Management commentary on recent earnings conference calls confirmed first-quarter strength in Las Vegas and evidence that that momentum seeped into the early stages of the current quarter.<\/p>\n

MGM, Wynn Among Most Optimistic<\/h2>\n

Of the dozen companies the Stifel analysts met with, the most optimistic were MGM, Las Vegas Sands (NYSE: LVS) and Wynn Resorts (NASDAQ: WYNN) among casino operators, and International Game Technology (NYSE: IGT)<\/a> and PlayAGS (NYSE: AGS) among device makers.<\/p>\n

\n

Sands isn\u2019t a Las Vegas story, and while Wynn is often viewed through the lens of Macau, its Sin City properties contributed mightily to the operator\u2019s solid first-quarter results. Regarding MGM, that company could derive long-term benefits from the Oakland Athletics moving to Las Vegas, due in part to its portfolio of 35,000 Strip hotel rooms.<\/p>\n<\/div>\n

\u201cMGM stands to benefit from the development: 1) the MGM Grand has a large-scale parking garage that is currently under-utilized, which could generate significant revenues on MLB game days, given attendance is expected to be comprised of mostly local residents, 2) the Excalibur could be a prime candidate for redevelopment, with outsized returns in a few years given its proximity to the proposed site,\u201d add Wieczynki.<\/p>\n

For its part, Wynn management told the Stifel team that its group bookings for 2023 are on a record pace, and advance reservations for 2024 indicate those records will be topped<\/strong>.<\/p>\n

The operator is notching bullish results on the Strip, even though Chinese customers haven\u2019t returned in mass. But there\u2019s been an increase in international visitation, thanks to Canadian and Mexican clients.<\/p>\n

Caesars Enhancements Could Pay Dividends<\/h2>\n

Caesars is the second-largest operator on the Strip, behind only MGM. But the former\u2019s expansion and refurbishment plans in other markets could pay off<\/a> over the long term. Those include the debut of a regional casino in Danville, Va.<\/p>\n

\n

Additionally, the company is pouring $400 million into enhancing its Atlantic City venues and a comparable amount into Harrah\u2019s New Orleans. Wieczynski estimates the operator will realize 10% to 15% return on investment in New Orleans, as that venue is primed to become a high-end destination that will eventually bear the Caesars brand.<\/p>\n<\/div>\n

\u201cIn Atlantic City, the $400M of market-wide CapEx investment required by regulators has almost concluded, and management indicated they have installed the company\u2019s most top property-level management team, which should facilitate more effective yield maximization in the region,\u201d concluded the analysts.<\/p>\n

Caesars runs three Boardwalk venues.<\/p>\n","protected":false},"excerpt":{"rendered":"

There are concerns about the strength of the US economy, and those worries will only be amplified if a resolution on the debt ceiling isn\u2019t reached. But for now, there are no signs of macroeconomic distress on the Las Vegas Strip. Stifel analyst Steven Wieczynski and team recently returned from meetings in Las Vegas with […]<\/p>\n","protected":false},"author":46,"featured_media":261686,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[62,10,81886],"tags":[81897,81903,23],"acf":[],"yoast_head":"\nLas Vegas Strip Still Durable, Says Stifel Analyst<\/title>\n<meta name=\"description\" content=\"Las Vegas Strip equities could offer more upside, says analyst.\" \/>\n<meta name=\"robots\" content=\"noindex, follow\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Las Vegas Strip Still Durable, Says Stifel Analyst\" \/>\n<meta property=\"og:description\" content=\"Las Vegas Strip equities could offer more upside, says analyst.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.casino.org\/news\/las-vegas-strip-still-durable-says-stifel-analyst\/\" \/>\n<meta property=\"og:site_name\" content=\"Casino.org\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/Casino.OrgNews\" \/>\n<meta property=\"article:published_time\" content=\"2023-05-22T20:22:51+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-05-23T17:24:50+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2023\/02\/strip3.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"800\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Todd Shriber\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@etfgodfather\" \/>\n<meta name=\"twitter:site\" content=\"@Casino_Org\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Todd Shriber\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.casino.org\/news\/las-vegas-strip-still-durable-says-stifel-analyst\/\",\"url\":\"https:\/\/www.casino.org\/news\/las-vegas-strip-still-durable-says-stifel-analyst\/\",\"name\":\"Las Vegas Strip Still Durable, Says Stifel Analyst\",\"isPartOf\":{\"@id\":\"https:\/\/www.casino.org\/news\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.casino.org\/news\/las-vegas-strip-still-durable-says-stifel-analyst\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.casino.org\/news\/las-vegas-strip-still-durable-says-stifel-analyst\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2023\/02\/strip3.jpg\",\"datePublished\":\"2023-05-22T20:22:51+00:00\",\"dateModified\":\"2023-05-23T17:24:50+00:00\",\"author\":{\"@id\":\"https:\/\/www.casino.org\/news\/#\/schema\/person\/f4cecf70a5032bc4e60eb73fc86d4a85\"},\"description\":\"Las Vegas Strip equities could offer more upside, says analyst.\",\"breadcrumb\":{\"@id\":\"https:\/\/www.casino.org\/news\/las-vegas-strip-still-durable-says-stifel-analyst\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.casino.org\/news\/las-vegas-strip-still-durable-says-stifel-analyst\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.casino.org\/news\/las-vegas-strip-still-durable-says-stifel-analyst\/#primaryimage\",\"url\":\"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2023\/02\/strip3.jpg\",\"contentUrl\":\"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2023\/02\/strip3.jpg\",\"width\":1200,\"height\":800,\"caption\":\"Part of the Las Vegas Strip. Mexico, Canada and the UK combined for 60% of international visits to Las Vegas in 2022.(Image: Eater Vegas)\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.casino.org\/news\/las-vegas-strip-still-durable-says-stifel-analyst\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"News\",\"item\":\"https:\/\/www.casino.org\/news\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Financial\",\"item\":\"https:\/\/www.casino.org\/news\/financial\/\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"Las Vegas Strip Showing No Recession Signs, Says Analyst\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.casino.org\/news\/#website\",\"url\":\"https:\/\/www.casino.org\/news\/\",\"name\":\"Casino.org\",\"description\":\"Latest Casino and Gaming News\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.casino.org\/news\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.casino.org\/news\/#\/schema\/person\/f4cecf70a5032bc4e60eb73fc86d4a85\",\"name\":\"Todd Shriber\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.casino.org\/news\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2023\/03\/cropped-11-96x96.png\",\"contentUrl\":\"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2023\/03\/cropped-11-96x96.png\",\"caption\":\"Todd Shriber\"},\"description\":\"Todd Shriber is a senior news reporter covering gaming financials, casino business, stocks, and mergers and acquisitions for Casino.org. Todd got his start in financial markets as a reporter with Bloomberg News. Later, he became a trader at a Southern California-based long\/short hedge fund, where he specialized in the trading sector and international ETFs leading up to and during the financial crisis. He joined Casino.org in 2019. Currently, Todd analyzes, researches, and writes on ETFs for various web-based publications and financial services firms. Shriber has been featured and quoted in Barron's, CNBC.com, and The Wall Street Journal. His work can also be found on Benzinga, ETF Daily News, ETF Trends, MarketWatch, Fox Business, and Nasdaq.com. He currently resides in Las Vegas, where he enjoys golf and taking his black lab to the dog park. He's also an avid sports fan and likes to wager on college football and the NBA. You can also find him at the three-card poker and roulette table, even though he knows better. Contact Todd at todd.shriber@casino.org.\",\"sameAs\":[\"https:\/\/muckrack.com\/todd-shriber\",\"https:\/\/www.linkedin.com\/in\/toddshriber\/\",\"https:\/\/x.com\/etfgodfather\"],\"url\":\"https:\/\/www.casino.org\/news\/author\/todd-shriber\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Las Vegas Strip Still Durable, Says Stifel Analyst","description":"Las Vegas Strip equities could offer more upside, says analyst.","robots":{"index":"noindex","follow":"follow"},"og_locale":"en_US","og_type":"article","og_title":"Las Vegas Strip Still Durable, Says Stifel Analyst","og_description":"Las Vegas Strip equities could offer more upside, says analyst.","og_url":"https:\/\/www.casino.org\/news\/las-vegas-strip-still-durable-says-stifel-analyst\/","og_site_name":"Casino.org","article_publisher":"https:\/\/www.facebook.com\/Casino.OrgNews","article_published_time":"2023-05-22T20:22:51+00:00","article_modified_time":"2023-05-23T17:24:50+00:00","og_image":[{"width":1200,"height":800,"url":"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2023\/02\/strip3.jpg","type":"image\/jpeg"}],"author":"Todd Shriber","twitter_card":"summary_large_image","twitter_creator":"@etfgodfather","twitter_site":"@Casino_Org","twitter_misc":{"Written by":"Todd Shriber","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/www.casino.org\/news\/las-vegas-strip-still-durable-says-stifel-analyst\/","url":"https:\/\/www.casino.org\/news\/las-vegas-strip-still-durable-says-stifel-analyst\/","name":"Las Vegas Strip Still Durable, Says Stifel Analyst","isPartOf":{"@id":"https:\/\/www.casino.org\/news\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.casino.org\/news\/las-vegas-strip-still-durable-says-stifel-analyst\/#primaryimage"},"image":{"@id":"https:\/\/www.casino.org\/news\/las-vegas-strip-still-durable-says-stifel-analyst\/#primaryimage"},"thumbnailUrl":"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2023\/02\/strip3.jpg","datePublished":"2023-05-22T20:22:51+00:00","dateModified":"2023-05-23T17:24:50+00:00","author":{"@id":"https:\/\/www.casino.org\/news\/#\/schema\/person\/f4cecf70a5032bc4e60eb73fc86d4a85"},"description":"Las Vegas Strip equities could offer more upside, says analyst.","breadcrumb":{"@id":"https:\/\/www.casino.org\/news\/las-vegas-strip-still-durable-says-stifel-analyst\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.casino.org\/news\/las-vegas-strip-still-durable-says-stifel-analyst\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.casino.org\/news\/las-vegas-strip-still-durable-says-stifel-analyst\/#primaryimage","url":"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2023\/02\/strip3.jpg","contentUrl":"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2023\/02\/strip3.jpg","width":1200,"height":800,"caption":"Part of the Las Vegas Strip. Mexico, Canada and the UK combined for 60% of international visits to Las Vegas in 2022.(Image: Eater Vegas)"},{"@type":"BreadcrumbList","@id":"https:\/\/www.casino.org\/news\/las-vegas-strip-still-durable-says-stifel-analyst\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"News","item":"https:\/\/www.casino.org\/news\/"},{"@type":"ListItem","position":2,"name":"Financial","item":"https:\/\/www.casino.org\/news\/financial\/"},{"@type":"ListItem","position":3,"name":"Las Vegas Strip Showing No Recession Signs, Says Analyst"}]},{"@type":"WebSite","@id":"https:\/\/www.casino.org\/news\/#website","url":"https:\/\/www.casino.org\/news\/","name":"Casino.org","description":"Latest Casino and Gaming News","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.casino.org\/news\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/www.casino.org\/news\/#\/schema\/person\/f4cecf70a5032bc4e60eb73fc86d4a85","name":"Todd Shriber","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.casino.org\/news\/#\/schema\/person\/image\/","url":"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2023\/03\/cropped-11-96x96.png","contentUrl":"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2023\/03\/cropped-11-96x96.png","caption":"Todd Shriber"},"description":"Todd Shriber is a senior news reporter covering gaming financials, casino business, stocks, and mergers and acquisitions for Casino.org. Todd got his start in financial markets as a reporter with Bloomberg News. Later, he became a trader at a Southern California-based long\/short hedge fund, where he specialized in the trading sector and international ETFs leading up to and during the financial crisis. He joined Casino.org in 2019. Currently, Todd analyzes, researches, and writes on ETFs for various web-based publications and financial services firms. Shriber has been featured and quoted in Barron's, CNBC.com, and The Wall Street Journal. His work can also be found on Benzinga, ETF Daily News, ETF Trends, MarketWatch, Fox Business, and Nasdaq.com. He currently resides in Las Vegas, where he enjoys golf and taking his black lab to the dog park. He's also an avid sports fan and likes to wager on college football and the NBA. You can also find him at the three-card poker and roulette table, even though he knows better. Contact Todd at todd.shriber@casino.org.","sameAs":["https:\/\/muckrack.com\/todd-shriber","https:\/\/www.linkedin.com\/in\/toddshriber\/","https:\/\/x.com\/etfgodfather"],"url":"https:\/\/www.casino.org\/news\/author\/todd-shriber\/"}]}},"_links":{"self":[{"href":"https:\/\/www.casino.org\/news\/wp-json\/wp\/v2\/posts\/274419"}],"collection":[{"href":"https:\/\/www.casino.org\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.casino.org\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.casino.org\/news\/wp-json\/wp\/v2\/users\/46"}],"replies":[{"embeddable":true,"href":"https:\/\/www.casino.org\/news\/wp-json\/wp\/v2\/comments?post=274419"}],"version-history":[{"count":2,"href":"https:\/\/www.casino.org\/news\/wp-json\/wp\/v2\/posts\/274419\/revisions"}],"predecessor-version":[{"id":274450,"href":"https:\/\/www.casino.org\/news\/wp-json\/wp\/v2\/posts\/274419\/revisions\/274450"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.casino.org\/news\/wp-json\/wp\/v2\/media\/261686"}],"wp:attachment":[{"href":"https:\/\/www.casino.org\/news\/wp-json\/wp\/v2\/media?parent=274419"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.casino.org\/news\/wp-json\/wp\/v2\/categories?post=274419"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.casino.org\/news\/wp-json\/wp\/v2\/tags?post=274419"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}