Lyon released a research report saying that considering that the endogenous growth in Macau's average daily gaming revenue this year is showing signs of slowing down, the annual forecast for Macau's gaming revenue for this year and next two years was lowered by 1%. The forecast for 2025 is that gaming revenue will increase 4% year on year to MOP 2,35.8 billion, and the growth rate is expected to rise back to 10.4% to MOP 2,60.2 billion in 2026.
The bank said it would lower the adjusted EBITDA forecasts for the gaming industry in Macau by 2.5% and 4% for 2025 and 2026, respectively, to an increase of 8% and 10.2%. The bank kept the investment ratings of the seven gaming operators unchanged. Next year, the top choices were Sands China (01928) and Galaxy Entertainment (00027). The target prices were raised to HK$27.3 and HK$46.6 respectively, giving them the same rating of “outperforming the market”. At the same time, it is optimistic about Aobo Holdings (00880) as its market share continues to expand.
