Macau | Major gaming operators stock value recover from Hainan scare

After an investor scare caused by reports on Tuesday that Hainan would open a type of cashless gaming operations, stock values from Macau's six major gaming operators showed signs of clear recovery

Macau (MNA) – The Stock value of Macau’s six major gaming operators rebounded following a scare caused by recent reports claiming the opening of limited gaming operations in Hainan.

On June 19, a Bloomberg report claiming that resorts in Hainan could soon be operating forms of cashless gaming prompted an investor scare leading to a general fall in stock value for the six gaming operators in the city.

According to a note from Union Gaming, the scare led to stocks from Macau casino operators dropping a collective 3.7 per cent on the Hong Kong Stock Exchange (HKEX) on Tuesday – equivalent to a US$4.3 billion (MOP34.76 billion) loss of market capitalisation.

This Thursday, as of 10.30am Hong Kong time, the stock values of the six operators showed clear signs of recovery, with the Managing Director, Head of Asia Equity Research of Union Gaming, Grant Govertsen, having previously said that Hainan currently ‘represents no threat to Macau from virtually any point of view.’

Macau News Agency (MNA) has compared stock value changes from Tuesday to Thursday, with stock information from the HKEX showing the lowest stock value point from each gaming operator and its recovery until today.

Galaxy Entertainment Group stock went from HKD62.30 at 4:00pm on June 19 to HKD64.65HKD at 10.30am on June 21, while Sands China stock increased from HKD43.25 at 4:00pm on June 19 to HKD44.55 at 10.30am on June 21.

Meanwhile, Melco International Development Ltd. went from HKD23.40 at 2.30pm on June 19 to HKD25.95 at 10.30am on June 21, with Wynn Macau Ltd. stocks rising from a HKD26.45 low at 4:00pm on June 19 to HKD27.30 by 10.30am as of today.

Also, MGM China Holdings Ltd. stocks rose from HKD20.00 at 2.30 pm on June 19 to HKD20.80 at 10.30 am on June 21, with stocks from local gaming operator SJM Holdings Limited, S.A. rising from a HKD9.71 low at 3.30pm on June 19 to HKD10.62 at 10.30am as of today.