<Research>Jefferies: MO GGR Maintains Robust Beginning This Year
Macau GGR Growth: Macau experienced significant growth in gross gaming revenue (GGR) at the beginning of 2026, averaging MOP693 million per day for the week ending January 11, marking an 18% year-over-year increase, with expectations of 15-21% growth for the entire month.
Investor Preferences: Despite the positive GGR data, investors have shifted their focus towards US regional gaming stocks, although Jefferies believes that Macau-based stocks have stronger fundamentals compared to their counterparts.
Broker Recommendations: Jefferies continues to favor stocks such as Wynn (WYNN.US) and Las Vegas Sands (LVS.US) in the US market, along with Galaxy Entertainment (00027.HK) and Sands China Ltd (01928.HK) in Hong Kong.
Short Selling Data: Recent short selling data indicates significant activity in Hong Kong stocks, with Galaxy Entertainment and Sands China Ltd experiencing notable short selling ratios and amounts.
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<Midday Update> HSI Falls 717 Points; HSTI Declines 95 Points; PING AN Drops More Than 4%; BABA Decreases Over 4%
Market Performance: The Hang Seng Index (HSI) fell by 717 points (2.8%) to 25,051, while the Hang Seng Tech Index (HSTI) and the Hang Seng China Enterprises Index (HSCEI) also experienced declines of 2.0% and 2.4%, respectively.
Notable Stock Movements: Major companies like Ping An, Alibaba, and AIA saw significant drops in their stock prices, with Ping An down 4.6% and Alibaba down 4.2%.
Short Selling Activity: High short selling volumes were reported for several stocks, including Alibaba ($1.56B) and Tencent ($1.91B), indicating bearish sentiment among investors.
Gainers and Losers: While many stocks declined, XIAOMI showed a slight increase of 1.5%, and XXF surged by 22.8%, contrasting with significant losses from companies like DALIPAL HLDG and COSCO SHIP ENGY, which dropped over 10%.
Jefferies Reports February GGR for MO Falls Short of Expectations; GALAXY ENT (00027.HK) Maintains Buy Rating
Macau Gaming Revenue: Macau's GGR for February reached MOP20.6 billion, reflecting a 4% year-over-year increase and a 1% month-over-month increase, although it fell short of market estimates.
Broker Insights: Jefferies reported a preference for premium operators like GALAXY ENT and Wynn Resorts, despite the GGR data being below initial market expectations.
Visitor Activity: HSBC Research maintained a Buy rating on GALAXY ENT, citing strong visitor and commercial activity during the Lunar New Year, indicating resilience in travel spending.
Market Performance: The report noted short selling activity of $188.25 million with a ratio of 36.397%, highlighting ongoing market dynamics.
<Full-day Summary> HSI Falls 570 Points; HSTI Declines 148 Points; XIAOMI Drops More Than 5%; MEITUAN Decreases Over 4%; BABA Falls Over 4%; XINYI GLASS, CNOOC, PETROCHINA, OOIL, and CHINA SHENHUA Reach New Highs; Market Turnover Increases
Market Performance: The Hang Seng Index (HSI) fell by 570 points (2.1%) to 26,059, while the Hang Seng Tech Index (HSTI) dropped 148 points (2.9%) to 4,989, with a total market turnover of $357.68 billion.
Declining Heavyweights: Major stocks like Xiaomi, Meituan, and Alibaba experienced significant declines, with Xiaomi down 5% and Alibaba down 4.5%, amidst high short selling ratios.
Gainers in the Market: Xinyi Glass and CNOOC were notable gainers, with Xinyi Glass rising 12.4% to a new high, while CNOOC increased by 5.6%.
Volatile Stocks: Several stocks faced sharp declines, including Guofuhee, which plummeted 19.2%, and Dmall, which fell 13.1%, indicating a volatile trading environment.
JPM Suggests Focused Investment Strategy, Identifies GALAXY ENT as Preferred Choice; February GGR Exceeds Expectations
Macau's GGR Performance: Macau's gross gaming revenue (GGR) for February increased by 4% year-on-year to MOP20.6 billion, exceeding market expectations, with a notable surge in the last week of February driven by high-end customer demand.
Investor Recommendations: JPMorgan advised investors to be selective, favoring GALAXY ENT with a target price of HKD52, while rating SJM HOLDINGS and MELCO INTERNATIONAL DEVELOPMENT as Underweight with lower target prices.
<Research>CLSA: February GGR Exceeds Expectations; Preferred Stocks GALAXY ENTERTAINMENT and MGM CHINA
Macau's GGR Performance: Macau's Gross Gaming Revenue (GGR) for February rose by 4.5% year-on-year to MOP20.6 billion, exceeding market expectations of 1% growth, driven by strong demand towards the end of the month.
Market Analysis: The gaming sector in Macau is currently valued at 10.1 times the projected 2026 EV/EBITDA, with GALAXY ENT and MGM CHINA identified as top picks by CLSA, despite recent short selling activity.
CLSA Projects March GGR in Macau to Increase 9.7% Year-on-Year to MOP21.6 Billion
Macau's GGR Performance: Macau's Gross Gaming Revenue (GGR) for February increased by 4.5% year-on-year to MOP20.6 billion, surpassing a downgraded market forecast of 1% but falling short of CLSA's expectation of 7.4%.
Strong End to February: Despite a weak performance in mid-February, GGR showed a strong average of MOP1.053 billion from February 23 to 28, indicating a positive outlook for March.
March GGR Forecast: CLSA anticipates a 9.7% year-on-year growth in Macau's GGR for March, projecting it to reach MOP21.6 billion, although this is 3% lower than market expectations.
Top Stock Picks: CLSA identifies Galaxy Entertainment and MGM China as its top stock picks, with notable short selling activity reported for both companies.
<Midday Update> HSI Falls 717 Points; HSTI Declines 95 Points; PING AN Drops More Than 4%; BABA Decreases Over 4%
Market Performance: The Hang Seng Index (HSI) fell by 717 points (2.8%) to 25,051, while the Hang Seng Tech Index (HSTI) and the Hang Seng China Enterprises Index (HSCEI) also experienced declines of 2.0% and 2.4%, respectively.
Notable Stock Movements: Major companies like Ping An, Alibaba, and AIA saw significant drops in their stock prices, with Ping An down 4.6% and Alibaba down 4.2%.
Short Selling Activity: High short selling volumes were reported for several stocks, including Alibaba ($1.56B) and Tencent ($1.91B), indicating bearish sentiment among investors.
Gainers and Losers: While many stocks declined, XIAOMI showed a slight increase of 1.5%, and XXF surged by 22.8%, contrasting with significant losses from companies like DALIPAL HLDG and COSCO SHIP ENGY, which dropped over 10%.
Jefferies Reports February GGR for MO Falls Short of Expectations; GALAXY ENT (00027.HK) Maintains Buy Rating
Macau Gaming Revenue: Macau's GGR for February reached MOP20.6 billion, reflecting a 4% year-over-year increase and a 1% month-over-month increase, although it fell short of market estimates.
Broker Insights: Jefferies reported a preference for premium operators like GALAXY ENT and Wynn Resorts, despite the GGR data being below initial market expectations.
Visitor Activity: HSBC Research maintained a Buy rating on GALAXY ENT, citing strong visitor and commercial activity during the Lunar New Year, indicating resilience in travel spending.
Market Performance: The report noted short selling activity of $188.25 million with a ratio of 36.397%, highlighting ongoing market dynamics.
<Full-day Summary> HSI Falls 570 Points; HSTI Declines 148 Points; XIAOMI Drops More Than 5%; MEITUAN Decreases Over 4%; BABA Falls Over 4%; XINYI GLASS, CNOOC, PETROCHINA, OOIL, and CHINA SHENHUA Reach New Highs; Market Turnover Increases
Market Performance: The Hang Seng Index (HSI) fell by 570 points (2.1%) to 26,059, while the Hang Seng Tech Index (HSTI) dropped 148 points (2.9%) to 4,989, with a total market turnover of $357.68 billion.
Declining Heavyweights: Major stocks like Xiaomi, Meituan, and Alibaba experienced significant declines, with Xiaomi down 5% and Alibaba down 4.5%, amidst high short selling ratios.
Gainers in the Market: Xinyi Glass and CNOOC were notable gainers, with Xinyi Glass rising 12.4% to a new high, while CNOOC increased by 5.6%.
Volatile Stocks: Several stocks faced sharp declines, including Guofuhee, which plummeted 19.2%, and Dmall, which fell 13.1%, indicating a volatile trading environment.
JPM Suggests Focused Investment Strategy, Identifies GALAXY ENT as Preferred Choice; February GGR Exceeds Expectations
Macau's GGR Performance: Macau's gross gaming revenue (GGR) for February increased by 4% year-on-year to MOP20.6 billion, exceeding market expectations, with a notable surge in the last week of February driven by high-end customer demand.
Investor Recommendations: JPMorgan advised investors to be selective, favoring GALAXY ENT with a target price of HKD52, while rating SJM HOLDINGS and MELCO INTERNATIONAL DEVELOPMENT as Underweight with lower target prices.
<Research>CLSA: February GGR Exceeds Expectations; Preferred Stocks GALAXY ENTERTAINMENT and MGM CHINA
Macau's GGR Performance: Macau's Gross Gaming Revenue (GGR) for February rose by 4.5% year-on-year to MOP20.6 billion, exceeding market expectations of 1% growth, driven by strong demand towards the end of the month.
Market Analysis: The gaming sector in Macau is currently valued at 10.1 times the projected 2026 EV/EBITDA, with GALAXY ENT and MGM CHINA identified as top picks by CLSA, despite recent short selling activity.
CLSA Projects March GGR in Macau to Increase 9.7% Year-on-Year to MOP21.6 Billion
Macau's GGR Performance: Macau's Gross Gaming Revenue (GGR) for February increased by 4.5% year-on-year to MOP20.6 billion, surpassing a downgraded market forecast of 1% but falling short of CLSA's expectation of 7.4%.
Strong End to February: Despite a weak performance in mid-February, GGR showed a strong average of MOP1.053 billion from February 23 to 28, indicating a positive outlook for March.
March GGR Forecast: CLSA anticipates a 9.7% year-on-year growth in Macau's GGR for March, projecting it to reach MOP21.6 billion, although this is 3% lower than market expectations.
Top Stock Picks: CLSA identifies Galaxy Entertainment and MGM China as its top stock picks, with notable short selling activity reported for both companies.
