Wynn Resorts Ltd (WYNN) stock analysis

P/E above its 5-year median

Wynn Resorts's P/E of 24.4 is above its own 5-year median of 20.5.

P/E below the industry

Wynn Resorts's P/E of 24.4 is below the Hotels and Motels median of 25.4.

EV/EBITDA below its 5-year median

Wynn Resorts's EV/EBITDA of 10.1 is below its 5-year median of 12.5.

P/S below the industry

Wynn Resorts's price-to-sales of 1.21 is below the Hotels and Motels median of 1.59 (book value is negative, so we use sales).

Trading above fair value

The share price of $85.06 is above our fair value estimate of $84.93.

Margin of safety under 20%

The price is 0.2% above fair value, so there is no margin of safety.

Revenue growing 10%+ a year

Revenue grew 23.9% a year over the last three fiscal years.

EPS growth over 3 years

Needs positive EPS three years ago and today.

Earnings acceleration

Needs positive net income now, a year ago and five years ago.

Growing slower than the industry

Revenue grew 2.2% over the last twelve months; the Hotels and Motels median is 3.9%.

Company guidance

No outlook found in earnings releases from the last twelve months.

Gross margin trend

This company does not report gross profit.

Return on equity

Needs positive equity and five years of results.

Return on capital over 10%

Return on invested capital was 10.6%, above the 10% that usually covers the cost of capital.

Return on equity against the industry

Needs positive equity.

Earnings over 5 years

Needs positive net income five years ago and in the latest year.

Net margin above its 5-year average

Net margin was 5.2% over the last twelve months, against a 5-year average of -1.7%.

Net margin below the industry

Wynn Resorts's net margin of 5.2% is below the Hotels and Motels median of 5.7%.

Debt level

Needs debt and equity figures.

Debt trend

Needs a balance sheet from five years ago with positive equity.

Debt not well covered by cash flow

Operating cash flow over the last twelve months equals 11.4% of total debt; we look for at least 20%.

Interest not well covered

Operating income covers interest expense 1.7 times; we look for at least 5.

Short-term assets don't cover short-term debts

Current assets are 0.91 times current liabilities.

Elevated bankruptcy risk

The Altman Z-score is 1.03; above 3 is the safe zone and below 1.8 the distress zone.

Pays a dividend

Wynn Resorts paid dividends worth 1.2% of the share price over the last twelve months.

Yield below Treasuries

The 1.2% yield is below the 4.7% on a 1-year Treasury.

Yield below the top quarter

The top quarter of US dividend payers yield 3.8% or more; Wynn Resorts yields 1.2%.

Dividend stability

Fewer than five years of dividend history.

Covered by earnings

Dividends take 50.1% of net income.

Covered by free cash flow

Dividends take 36.7% of free cash flow.