CALL TO ACTION
The past week’s data was sequentially better but the YoY growth remained very negative, -40% YoY. We do expect easier comps the remainder of the month which could pull the full month GGR decline into the high 30s%.
From a stock perspective, our concern remains with the grind mass segment. Grind mass appears to be stabilizing but at a level lower than anticipated by the Street. Indeed, hotel room demand is waning and promotional activity may be ticking up to entice more spending. Lower grind mass equals lower margins and likely, another round of estimate cuts.
Please see our detailed note: