MACAU SLOWS IN WEEK 2 OF NOVEMBER

Table revs thru the 14th were HK$7.4BN.  Normalizing the rest of the month, including slots, would produce 35-39% YoY growth for November.

 

 

Table revs slowed down  in November, averaging a still respectable HK$498MM per day in the 2nd week from HK$562MM in the 1st week.  We believe the monthly run rate for total gaming revenues including slots slipped to HK$16-16.5 billion. At this level, November would represent 35-39% growth YoY, the lowest rate since August 2009.

 

The Macau Grand Prix starts this Thursday. While the event may encourage the Mass to come out and gamble away on the peninsula, VIP volumes may fall as players stay at home to avoid the road restrictions that makes it inconvenient to move around.  Thus, daily revenue for the coming week may continue to be soft.

 

Driven by low hold, LVS continues to underperform with a measly 12.9% share, way below its trailing 3-mth average of 19%.  It looks like SJM has taken significant share from WYNN; comparing the 2nd week with the 1st week, SJM gained 3.8% points to 34.6% share and WYNN lost 6.4% points to 12.3%.  Confirming its recent uptrend, Melco has been able to sustain its above-average share.

 

MACAU SLOWS IN WEEK 2 OF NOVEMBER - macau1


Another French Revolution?

"Don't be complacent," writes Hedgeye Managing Director Neil Howe. "Tectonic shifts are underway in France. Is there the prospect of the new Sixth Republic? C'est vraiment possible."

read more

Cartoon of the Day: The Trend is Your Friend

"All of the key trending macro data suggests the U.S. economy is accelerating," Hedgeye CEO Keith McCullough says.

read more

A Sneak Peek At Hedgeye's 2017 GDP Estimates

Here's an inside look at our GDP estimates versus Wall Street consensus.

read more

Cartoon of the Day: Green Thumb

So far, 64 of 498 companies in the S&P 500 have reported aggregate sales and earnings growth of 6.1% and 16.8% respectively.

read more

Europe's Battles Against Apple, Google, Innovation & Jobs

"“I am very concerned the E.U. maintains a battle against the American giants while doing everything possible to sustain so-called national champions," writes economist Daniel Lacalle. "Attacking innovation doesn’t create jobs.”

read more

An Open Letter to Pandora Management...

"Please stop leaking information to the press," writes Hedgeye Internet & Media analyst Hesham Shaaban. "You are getting in your own way, and blowing up your shareholders in the process."

read more

A 'Toxic Cocktail' Brewing for A Best Idea Short

The first quarter earnings pre-announcement today is not the end of the story for Mednax (MD). Rising labor costs and slowing volume is a toxic cocktail...

read more

Energy Stocks: Time to Buy? Here's What You Need to Know

If you're heavily-invested in Energy stocks it's been a heck of a year. Energy is the worst-performing sector in the S&P 500 year-to-date and value investors are now hunting for bargains in the oil patch. Before you buy, here's what you need to know.

read more

McCullough: ‘My 1-Minute Summary of My Institutional Meetings in NYC Yesterday’

What are even some of the smartest investors in the world missing right now?

read more

Cartoon of the Day: Political Portfolio Positioning

Leave your politics out of your portfolio.

read more

Jim Rickards Answers the Hedgeye 21

Bestselling author Jim Rickards says if he could be any animal he’d be a T-Rex. He also loves bonds and hates equities. Check out all of his answers to the Hedgeye 21.

read more

Amazon's New 'Big Idea': Ignore It At Your Own Peril

"We all see another ‘big idea’ out of Amazon (or the press making one up) just about every day," writes Retail Sector Head Brian McGough. "But whatever you do, DON’T ignore this one!"

read more