The Zhitong Finance App learned that Goldman Sachs released a research report saying that MGM China (02282) property EBITDA rose 14% quarterly to 2.5 billion yuan in the first quarter, which is the highest range expected by the market. After adjusting the VIP win rate, EBITDA will be higher, reaching 2.67 billion yuan, up 22% from quarter to quarter, thanks to lower operating expenses; the gaming gross profit market share (GGR market share) will increase 0.8 percentage points quarterly to 17.2%. The bank raised the target price from HK$14.4 to HK$16.5, giving it a “neutral” rating.

Goldman Sachs said that management was encouraged by Macau's earlier announcement to relax its travel policy, and saw that its four-month market share was slightly higher than 15.8% in March, continuing to maintain the target market share of about 15%. Although competitors Galaxy Entertainment (00027) and Macau International Holdings (00200) both increased their promotion and investment efforts, MGM China still expects to keep the EBITDA profit margin close to 30%. The bank raised its 2024-26 EBITDA forecast by 11% to 14%.