Analysts Stay Optimistic on Wynn Resorts as UAE Development Progresses
Wynn Resorts Eyes Promising Growth in the UAE
Wynn Resorts is gaining strong investor confidence as it advances plans to enter the United Arab Emirates market. This new venture offers significant growth potential compared to more established markets that are showing signs of stagnation. Following a recent investor visit to the Al Marjan Island project, optimism around Wynn’s stock has notably increased.
Economic Advantages Support Expansion into the UAE
The Al Marjan development, situated in Ras Al Khaimah, is set to become the UAE’s inaugural licensed commercial gaming resort. With construction costs estimated between $3.9 billion and $5.1 billion, this project represents one of Wynn’s largest strategic investments to date. The resort aims to open in early 2027, designed as an integrated destination that emphasizes diverse leisure experiences rather than focusing solely on gaming.
Jefferies analyst David Katz expresses strong confidence in Wynn’s regional prospects, highlighting favorable conditions such as the absence of personal income tax, recent residency reforms, infrastructure enhancements, and a consistent influx of global wealth. These economic factors combine to create an ideal environment for a luxury casino resort that is expected to thrive well into the next decade.
“The continued inflow is driven by zero income tax, global safety leadership, long-term visa reforms, rapid infrastructure advancement, and wealth management.”
David Katz, Jefferies Analyst
Jefferies projects that, once fully operational, Wynn’s UAE property could generate between $1 billion and $1.7 billion annually in gross gaming revenue. This forecast takes competition from potential future integrated resorts in the region into account. Historically, Wynn has maintained strong performance even in highly competitive markets.
A Comprehensive Leisure Destination
Investor enthusiasm aligns with expert insights, reflected in a more than 45% increase in Wynn’s share value this year. Although Jefferies recently increased its price target to $155, much of this growth is driven by short-term trends in Macau and Las Vegas. Nevertheless, the UAE project remains a crucial factor supporting long-term interest.
“The macroeconomic setup is accommodating, at a minimum, and looks increasingly favorable over time.”
David Katz, Jefferies Analyst
The planned Al Marjan resort is designed as a balanced leisure destination offering a wide range of amenities. The project includes over 1,500 guest rooms, more than 20 dining establishments, a theater, nightclub, and luxury spa. Gaming facilities will feature upwards of 275 table games and 2,000 slot machines. Its target audience spans both regional and international travelers, leveraging proximity to major air transport hubs.
The market opportunity is particularly impressive, with around 2.4 billion people living within a four-hour flight of the UAE. Capturing just a small percentage of this population could enable Wynn to meet its ambitious revenue objectives. Although the venture carries some risk—given the UAE’s lack of prior experience with commercial gaming—it represents a rare and promising frontier for expansion.
