Zhi Tong Cai Jing·2026-03-03 05:49Core Viewpoint - Morgan Stanley's report indicates that Macau's gaming revenue (GGR) in February increased by 4% year-on-year to MOP 20.6 billion, with an average daily revenue of MOP 737 million, surpassing market and the bank's expectations [1] Group 1: Revenue Performance - The last week of February saw a significant increase in daily revenue to approximately MOP 1 billion, driven by strong demand from high-end customers, contrasting with the relatively subdued performance during the Lunar New Year holiday [1] - For the first two months of the year, GGR has grown by 14% year-on-year, recovering to 86% of pre-pandemic levels, consistent with the strong growth observed in the second half of the previous year [1] Group 2: Market Outlook - The bank believes that the GGR performance in March will not catalyze stock prices in the industry, as investor focus has shifted towards profit margins and EBITDA growth [1] - Initial signs of quarterly improvement have been observed, but the bank advises maintaining selectivity in investment choices [1] Group 3: Company Ratings and Targets - The bank is most optimistic about Galaxy Entertainment (00027), with a target price of HKD 52; followed by Sands China (01928) and MGM China (02282), with target prices of HKD 22 and HKD 18 respectively [1] - Wynn Macau (01128) has a target price of HKD 8, all these stocks are rated as "Buy" [1] - SJM Holdings (00880) and Melco International Development (00200) are rated as "Sell," with target prices of HKD 2 and HKD 3.5 respectively [1]