August Performance: Macau's gross gaming revenue (GGR) rose by 12.2% year-over-year in August, reaching 22.2 billion patacas (approximately $2.8 billion), surpassing analysts' expectations of 12% growth and marking the highest revenue since the pandemic began.
Factors Driving Growth: The increase in revenue was significantly influenced by a major music awards ceremony hosted by Tencent Music Entertainment, which attracted a large audience. Additionally, there is a noted improvement in demand for high-end hotels, benefiting casino operators.
Year-to-Date Revenue Trends
First Eight Months of 2025: For the first eight months of 2025, Macau's GGR has increased by 7.2%, totaling 160.1 billion patacas.
Future Projections
September Forecast: Bank of America anticipates a GGR increase of 6% to 9% year-over-year for September, although a decline of 15% to 18% from August is expected due to seasonal trends.
Q4 Outlook: The outlook for Q4 is challenging, with tough comparisons anticipated for Macau casinos. Conversely, J.P. Morgan predicts sustained double-digit GGR growth in the upcoming months, extending at least until the first quarter of 2026.
National Day Holiday Impact: The upcoming week-long National Day holiday in China, starting in early October, is seen as a critical test for the gaming sector.
Casino Stocks Overview
Key Players: Notable Macau-related casino stocks include Wynn Macau, Wynn Resorts, Sands China, Las Vegas Sands, MGM China, MGM Resorts, Galaxy Entertainment, SJM Holdings, Melco Resorts & Entertainment, and Studio City International.
Wall Street analysts forecast MLCO stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for MLCO is 11.21 USD with a low forecast of 9.50 USD and a high forecast of 12.55 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
4 Analyst Rating
Wall Street analysts forecast MLCO stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for MLCO is 11.21 USD with a low forecast of 9.50 USD and a high forecast of 12.55 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
3 Buy
1 Hold
0 Sell
Strong Buy
Current: 6.340
Low
9.50
Averages
11.21
High
12.55
Current: 6.340
Low
9.50
Averages
11.21
High
12.55
Texas Capital
David Bain
initiated
$11.50
2026-01-23
New
Reason
Texas Capital
David Bain
Price Target
$11.50
AI Analysis
2026-01-23
New
initiated
Reason
Texas Capital analyst David Bain initiated coverage of Melco Resorts with a Buy rating and $11.50 price target.
Texas Capital
NULL -> Buy
initiated
$11.50
2026-01-23
New
Reason
Texas Capital
Price Target
$11.50
2026-01-23
New
initiated
NULL -> Buy
Reason
Texas Capital initiated coverage of Melco Resorts with a Buy rating and $11.50 price target. The firm says the company's "unique" non-gaming offerings and premium mass focus aligns it with record Macau visitation and a "K shaped" China economy. Macau's gross gaming revenue growth should remain above 10% for most of the first half of 2026, the analyst tells investors in a research note.
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BofA
Neutral
maintain
$9
2025-11-26
Reason
BofA
Price Target
$9
2025-11-26
maintain
Neutral
Reason
BofA raised the firm's price target on Melco Resorts to $9.50 from $9 and keeps a Neutral rating on the shares. Based on management's comments during the Q3 earnings call that the company expects to resume its quarterly dividend by year-end 2026, the firm now projects dividend per ADS of 7c in FY26 and 30c in FY27, the analyst tells investors.
JPMorgan
NULL -> Overweight
maintain
$11
2025-11-10
Reason
JPMorgan
Price Target
$11
2025-11-10
maintain
NULL -> Overweight
Reason
JPMorgan raised the firm's price target on Melco Resorts to $11 from $10.50 and keeps an Overweight rating on the shares.
About MLCO
Melco Resorts & Entertainment Ltd is a Company engaged in the development and operation of resort facilities. The Company is engaged in the operation of casinos in Macau and Philippines. The Company operates three casinos based in Macau, namely, City of Dreams, Altira Macau and Studio City. In addition, the Company is engaged in the operation of hotels in Macau and Manila.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
