Wall Street Bets is a roundup of recent notes from analysts covering the gambling industry.
Bullish on United Arab Emirates gaming
Chad Beynon of Macquarie wrote December 8 about the United Arab Emirates market.
“While the UAE is a complex market of different emirates, sourced guests, and policies, the broader market is extremely deep with ex-pat wealth having a propensity to spend and an eagerness for a new offering,” Beynon wrote. “UAE’s population (~10 million people, 8 million+ expats) – spurred by golden visas, no income tax, among other factors – has made the region a top destination to live globally. From an inbound standpoint, with 75% of the world’s population within an eight-hour flight, the region is quite accessible, relatively easy to enter, and very accommodating, all of which we think should bode well for increased international demand. With global luxury (hotels, retail, tourism) booming, we believe Wynn Al Marjan will be opening (1Q27) at an opportune time.”
Wynn Resorts in the UAE
Jefferies’ David Katz also looked at the Gulf region, in particular Wynn Resorts in the UAE.
“We come away from the Dubai/RAK/Wynn Al Marjan Island meetings/tours incrementally positive on the opportunity and, therefore, on Wynn shares, given the increased detail,” Katz wrote December 14. “The key success factors for integrated resorts – macro, governance, infrastructure – are generally favorable by historical measures. Given our Wynn Al Marjan price value of $21/share, coupled with more modest current Macau and Las Vegas setups, we increase our valuation to $155 from $146 and reiterate Buy.”
Virginia historical racing machines
Dan Politzer of J.P. Morgan, in a December 12 note, examined the historical racing machine market in Virginia.
“November HRM GGR of $49.8 million was +10.8% year-over-year, or +11.7% year-over-year on a same-store basis, adjusting for Little Rose/Dumfries (which closed August 20th), and Roseshire/Henrico (opened on September 29th). 4QTD GGR is tracking +21% year-over-year and +9% year-over-year on a same-store basis. We note Churchill Downs is the 100% owner of all Virginia HRM properties. November 2025 had nine weekend days, while November 2024 had 10 weekend days.
Global gaming rating in neutral
Fitch Ratings on December 10 released its sector outlook for global gaming in 2026 as ‘neutral.’ “This reflects modest growth across key markets despite rising uncertainty from weaker economies, regulatory changes and digital channel expansion.
‘Regional dynamics are divergent: Most North American issuers benefit from strong balance sheets and steady deleveraging, with Las Vegas revenues stabilizing and regional gaming growing in low single digits. Europe, the Middle East, and Africa companies face fiscal pressure and gaming regulations but will see continued growth driven by igaming and online sports betting. Macau’s recovery continues with mid-single-digit growth expected, while Singapore, Malaysia and Australia face more muted demand amid macroeconomic headwinds.”
“Overall gaming credit quality has improved, which should help companies navigate the uncertainty of weaker economies, regulatory changes, new supply, and the impact of igaming and online sports betting,” says Fitch Senior Director John Kempf.
