Why Casino Stocks Are Falling Today
Shares of Las Vegas Sands (NYSE: LVS), Wynn Resorts (NASDAQ: WYNN), and Melco Resorts & Entertainment (NASDAQ: MLCO) all fell more than 10% at the open Monday and traded down more than 5% throughout the afternoon. All three companies have significant exposure to Macau, a casino hotbed that is feeling the brunt of China's efforts to contain the coronavirus outbreak.
We are in the middle of China's Lunar New Year holiday, which traditionally has been a time of increased travel and crowds at Macau's casinos. But the number of mainland Chinese visitors to Macau reportedly fell by 80% on Sunday, compared to the equivalent day of last year's holiday, and for the first three days of the holiday arrivals are down more than 60%.
Image source: Getty Images.
Source Fool.com
