Analyst expects Wynn UAE resort to open in 2027 despite geopolitical concerns

Brokerage Texas Capital Securities said it continues to expect Wynn Al Marjan Island, a USD5.1 billion integrated resort in the United Arab Emirates (UAE), to open in 2027 despite recent geopolitical developments affecting investor sentiment toward operator Wynn Resorts Ltd.

Analyst David Bain said in a recent note that tensions in the region may have slowed market momentum for Wynn Resorts, which owns a 40% stake in the UAE project. However, he said the events are unlikely to affect the resort’s long-term financial outlook and maintained expectations for a 2027 launch.

Wynn Resorts, which operates Wynn Macau, previously indicated that the UAE property could open in spring 2027. The company said in May that the opening schedule could face a “modest delay” due to regional uncertainties, including concerns related to tensions between the United States and Iran.

Texas Capital Securities said the project could potentially deliver stronger earnings and valuation growth over the long term, despite short-term market concerns.

The brokerage, however, lowered its second-quarter forecasts for Wynn Resorts’ Las Vegas operations, citing weaker-than-expected June performance and challenging year-on-year comparisons. It described the company as a “victim of its own success” following strong previous results but maintained that Wynn Las Vegas continues to outperform competitors.

In the same report, Texas Capital Securities also commented on a potential takeover of MGM Resorts International, another Macau casino operator through MGM China Holdings Ltd. The brokerage said investors appear to believe a deal could be completed at a higher valuation following a takeover offer from People Inc.

It added that MGM’s Japan integrated resort project, MGM Osaka, could provide additional long-term earnings potential when it opens in 2030.