Why Is Wynn (WYNN) Down 9.5% Since Last Earnings Report?

It has been about a month since the last earnings report for Wynn Resorts (WYNN). Shares have lost about 9.5% in that time frame, underperforming the S&P 500.

Will the recent negative trend continue leading up to its next earnings release, or is Wynn due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its latest earnings report in order to get a better handle on the important catalysts.

Wynn Resorts Q2 Earnings & Revenues Beat on Palace Strength

Wynn Resorts reported second-quarter 2026 results, with earnings and revenues beating the Zacks Consensus Estimate. The top and bottom lines increased on a year-over-year basis.

Management highlighted healthy demand across the business, including a monthly Adjusted Property EBITDAR record in Las Vegas during May and strong performance in Macau. Wynn Palace led the quarter’s growth, with revenues rising 21.1% and Adjusted Property EBITDAR increasing 28.2% year over year.

WYNN’s Q2 Earnings & Revenues

In the second quarter, the company reported adjusted earnings per share of $1.24, beating the Zacks Consensus Estimate of $1.01 by 22.8%. In the prior-year quarter, Wynn Resorts reported adjusted earnings of $1.09 per share.

Quarterly operating revenues of $1.86 billion surpassed the consensus mark of $1.84 billion by 0.9%. The top line increased 6.9% from $1.74 billion reported in the year-ago quarter.

Wynn Palace Operations

In the second quarter, Wynn Palace’s operating revenues amounted to $653.4 million compared with $539.6 million in the prior-year quarter. Casino revenues increased 25.9% year over year to $564.4 million, while food and beverage revenues rose 4.4% to $31.8 million.

Rooms and entertainment, retail and other revenues declined 6% each to $36.2 million and $21.1 million, respectively. Adjusted Property EBITDAR increased to $201.5 million from $157.2 million, with the margin improving to 30.8% from 29.1%.

In the VIP segment, table games turnover declined 32% year over year to $2.77 billion. The VIP table games win rate was 2.97% compared with 2.86% in the prior-year quarter and remained below the property’s expected range of 3.1% to 3.4%.

Mass-market table drop increased 3% to $1.9 billion, while table games win rose 36.9% to $563.3 million. The mass-market table games win percentage improved to 29.7% from 22.3%. RevPAR declined 5.7% to $216, while occupancy was 98.9%.

WYNN’s Wynn Macau Operations

In the second quarter, Wynn Macau generated operating revenues of $351.1 million compared with $343.8 million reported in the prior-year quarter. Casino revenues increased 2.5% to $300.7 million, while entertainment, retail and other revenues rose 8.7% to $12.7 million.

Rooms and food and beverage revenues declined 3.8% and 1.5% to $20.9 million and $16.8 million, respectively. Adjusted Property EBITDAR declined 1% to $95.5 million from $96.5 million.

VIP table games turnover fell 56.4% year over year to $428.1 million. The VIP win rate declined to 2.58% from 3.41% and remained below the expected range.

Mass-market table drop rose 8.3% to $1.75 billion, and table games win increased 6.9% to $300.2 million. Slot machine handle advanced 18%, while slot machine win climbed 38.6%. RevPAR declined 3.3% to $208.

Wynn Resorts’ Las Vegas Operations

In the second quarter, operating revenues from Las Vegas Operations totaled $643.2 million compared with $638.6 million in the prior-year quarter. Casino revenues increased 6.5% to $158.1 million, while room revenues edged up 0.1% to $208.1 million.

Food and beverage revenues rose 0.4% to $195.7 million. Entertainment, retail and other revenues declined 6.9% to $81.2 million. Adjusted Property EBITDAR decreased 8.3% to $215.2 million, with the margin contracting to 33.5% from 36.8%.

Table drop increased 4.8% year over year to $638.2 million, while table games win rose 14.8% to $152.7 million. The table games win percentage improved to 23.9% from 21.8%.

RevPAR increased 2.5% to $501, while the average daily rate rose 4.9% to $575. Occupancy declined to 87.1% from 89.2% in the year-ago quarter.

WYNN’s Encore Boston Harbor

In the second quarter, Encore Boston Harbor’s operating revenues amounted to $209.3 million compared with $215.7 million in the prior-year quarter. Casino revenues fell 5.9% to $152.1 million.

Rooms and food and beverage revenues increased 9.7% and 7.4% to $25.1 million and $20.1 million, respectively. Entertainment, retail and other revenues declined 3.9% to $12 million.

Adjusted Property EBITDAR decreased 12.2% to $56.1 million from $63.9 million. The table games win percentage fell to 18.1% from 21.3%.

RevPAR increased 9.6% to $412, while the average daily rate rose 9.9% to $445. Occupancy was 92.7% compared with 92.9% in the prior-year quarter.

Wynn Resorts’ Q2 Operating Performance

In the second quarter, Adjusted Property EBITDAR totaled $568.3 million compared with $552.4 million in the year-ago quarter. The consolidated margin declined to 30.6% from 31.8%.

Operating income increased to $297.6 million from $264.6 million reported in second-quarter 2025. Net income attributable to Wynn Resorts rose to $140.1 million from $66.2 million reported in the prior year quarter.

WYNN’s Cash Position and Capital Returns

As of June 30, 2026, cash and cash equivalents totaled $1.57 billion, excluding $527.4 million of short-term investments held by Wynn Macau. Total current and long-term debt outstanding was $10.72 billion.

The company repurchased 741,098 shares for $75 million during the quarter. Wynn Resorts also declared a cash dividend of 25 cents per share, payable Aug. 28, 2026. Wynn Al Marjan Island is expected to open in September 2027.

How Have Estimates Been Moving Since Then?

Since the earnings release, investors have witnessed a downward trend in estimates review.

VGM Scores

Currently, Wynn has a nice Growth Score of B, however its Momentum Score is doing a bit better with an A. Following the exact same course, the stock was allocated a grade of A on the value side, putting it in the top quintile for this investment strategy.

Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

Estimates have been broadly trending downward for the stock, and the magnitude of these revisions looks promising. Notably, Wynn has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

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This article originally published on Zacks Investment Research (zacks.com).

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