Yesterday’s news that there may soon be a vaccine to help stop the spread of the coronavirus pandemic has reportedly proved a boon for the price of shares in some of the biggest publicly-listed casino operators in Nevada.
According to a Monday report from the Las Vegas Review-Journal newspaper, investors reacted to the revelation from pharmaceutical giant Pfizer Incorporated that its coming coronavirus vaccine is more than 90% effective at countering the highly-contagious ailment by sending the value of single shares in Wynn Resorts Limited up by 27.7% to as high as $102.60.
The newspaper reported that this was followed by a 14.9% improvement for the value of individual shares in MGM Resorts International as they closed the day to be worth $25.68. There was also purportedly a 9.2% boost for Las Vegas Sands Corporation to $59.99 while rivals Boyd Gaming Corporation and Red Rock Resorts Incorporated each experienced 3% surges to see the price of their single shares worth $36.50 and $23.17 respectively.
Amanda Belarmino is an assistant professor at the University of Nevada Las Vegas’ College of Hospitality and she reportedly declared that a vaccine against coronavirus ‘is the thing that will finally make travel and entertainment a part of daily lives once again’. She purportedly furthermore pronounced that local casino operators have seen their shares struggle to reach pre-pandemic pricing despite being allowed to partially re-open their Las Vegas properties in June following a 78-day shutdown.
Belarmino reportedly told the newspaper…
“While the day we re-opened was exciting, the day we are able to re-open fully due to the availability of the vaccine will be the single most exciting day in our history.”
Echoing these sentiments and David Katz from financial services firm Jefferies reportedly told the Las Vegas Review-Journal that the prospect of a vaccine against coronavirus ‘is clearly terrific’ news for casino firms such as MGM Resorts International and Caesars Entertainment Incorporated. Although the industry may now have to wait up to six months for the inoculation to be rolled out nationwide, he purportedly proclaimed that pent-up demand ‘is going to show up big’ once a sense of normalcy does return.
Katz reportedly declared…
“When there’s a concert or event or football game in the stadium fans can attend, people are going to show up huge.”