Genting SP/ Genting HK

Genting SP/ Genting HK: Macau gross gaming revenue (GGR) +48% yoy to MOP 20.1b in Mar. On a sequential basis, GGR +1% mom despite the absence of Chinese New Year in Feb. Goldman expects 2Q GGR to be steady qoq, before picking up again in July during the summer season. Says channel checks indicate no sign of a deceleration in GGR amid tightening policies in China…

Data is positive for Genting SP, and to a certain extent, Genting HK., given that both share the same key driver as the Macau casinos -China’s wealthy.
On the back of negative environmental conditions plaguing popular Asian destinations like Japan and Thailand, the Street has recently reiterated GENS as Buy, on expectations that tourism flows would now spillover into Spore and the Philippines. Recent TP range btwn $2.30-2.85.

GENHK has 2 Buys (TP $0.54-0.56) and 1 Sell (TP $0.37).