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Melco Resorts & Entertainment Limited
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$1.6B
Market Cap
9.8
P/E
0.10
PEG
9.8%
ROCE
—
ROE
—
D/E
13.4%
OPM
-60.3%
% from 52W High
13
α RS
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Currency-adjusted total returns for MLCO including FX impact
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📈 Price History
Ratio Health
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About

Melco Resorts & Entertainment Limited develops, owns, and operates casino gaming and resort facilities in Macau, the Philippines, Cyprus, and internationally. It operates through City of Dreams, Studio City, Altira Macau, Mocha, City of Dreams Manila, City of Dreams Mediterranean and Other, Other Operations, and Corporate and Other segments. The company owns and operates City of Dreams, an integrated resort that has gaming tables and gaming machines; suites and villas; food and beverage outlets; retail outlets; a wet stage performance theater; and recreation and leisure facilities, including health and fitness clubs, swimming pools, spas and salons, and banquet and meeting facilities in Cotai, Macau. It also operates Studio City, a cinematically themed integrated resort with gaming facilities, hotel, entertainment, retail, and food and beverage outlets in Cotai, Macau; and Altira Macau, an integrated resort, which offers gaming tables and gaming machines, hotel rooms, dining and casual restaurants, and recreation and leisure facilities in Taipa, Macau. In addition, the company owns and operates Mocha Clubs, which are clubs with gaming machines in Macau; City of Dreams Manila, an integrated resort in the Entertainment City complex in Manila; City of Dreams Mediterranean, an integrated resort in Limassol, Cyprus; and three satellite casinos in Nicosia, Ayia Napa, and Paphos in Cyprus. Further, it is involved in the operation of the Sri Lanka Casino and management of Nüwa Sri Lanka located in City of Dreams Sri Lanka, as well as development projects in other countries. The company was formerly known as Melco Crown Entertainment Limited and changed its name to Melco Resorts & Entertainment Limited in April 2017. The company was founded in 2003 and is based in Central, Hong Kong. Melco Resorts & Entertainment Limited is a subsidiary of Melco Leisure and Entertainment Group Limited.

Key Ratios Snapshot
📈 Growth Pattern
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⭐ Superinvestors Holding MLCO
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Manager Shares Value % of Fund Period
Jim Simons Renaissance Technologies LLC 4.46M $25.3M 0.04% Mar 2026
Steve Cohen Point72 Asset Management 1.71M $9.7M 0.01% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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📊 MIXED Melco Q1 2026: Property EBITDA up 12% YoY to $381M; REM opening Q3.
Revenue & Profitability
Adjusted group property EBITDA for Q1 2026 was approximately $381 million, or $356 million excluding favorable VIP hold. Macau GGR grew 10% year-over-year, while Philippines GGR increased 9% and property EBITDA grew 24% year-over-year. Daily OpEx in Macau (excluding House of Dancing Water) was approximately $3.2 million per day. Available liquidity stood at about $2.4 billion, with consolidated cash of $1.1 billion. The company repurchased 2.5 million ADSs for $14 million year-to-date and announced a new $500 million share repurchase program.
Outlook
Management sees positive trends for May Golden Week, with occupancy and player quality improving year-on-year, partly due to travel disruptions from Middle East conflicts benefiting Macau. In Cyprus, after escalation of conflicts in late February, April showed significant improvements in occupancy, visitation, and play levels. The market remains competitive, but management expects stable player reinvestment levels near term.
Growth Drivers
Key growth drivers include the phased opening of the REM luxury hotel at City of Dreams in early Q3 2026 (149 keys), a refresh of retail areas and enhanced F&B at City of Dreams, and expanded marketing initiatives in Southeast Asia for the Philippines. The Sri Lanka casino operations recorded positive EBITDA in Q1 2026 and are expected to ramp progressively. The trademark purchase provides an immediate increase in EBITDA and cash flow.
Balance Sheet & CapEx
Total CapEx for 2026 was revised down from $450 million to approximately $425 million. After Q1 spending, about $350 million remains for the rest of the year. The REM hotel opening will add an estimated $30,000-$40,000 per day in operating expenses. The retail refresh at City of Dreams will occur zone by zone over the next 10-12 months with careful phasing to minimize disruption.
Margins
Macau property EBITDA margin improved to approximately 28% in Q1 2026, benefiting from operating leverage. Total OpEx per day has been relatively stable over the last four quarters. Player reinvestment levels ticked up due to market competition but are expected to remain stable near term. An annual salary increase on April 1 and service enhancements will cause a slight OpEx increase, with a larger step-up in Q3 from REM opening.
Key Risks
Key risks include the impact of Middle East conflicts on Cyprus operations, although conditions improved in April. Competitive intensity could force higher player reinvestment, pressuring margins. April was noted as a weaker VIP month, but management sees it as not structurally concerning. The trademark purchase added debt, but debt-to-EBITDA is expected to increase by less than half a turn and be reduced to Q1 levels by year-end 2026. The company has no material debt maturities in 2026.
Generated by AI · Q1 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q2 2026 Q2 2026 2026-08-13
Q2 2026 saw resilient EBITDA growth in Manila, Cyprus, and Sri Lanka, but Macau margins were pressured by lower visitation and unfavorable VIP hold. Liquidity remains strong, with disciplined capital allocation and a dividend resumption targeted for 2027.
Q1 2026 Q1 2026 2026-04-30
Q1 2026 saw double-digit EBITDA growth, strong Macau and Philippines performance, and a $375M trademark acquisition. Liquidity remains robust, CapEx was reduced, and a new $500M share repurchase program was announced. Dividend resumption is targeted for year-end 2026.
Q4 2025 Q4 2025 2026-02-12
Group property EBITDA rose 17% in 2025, with Macau up 25% and Cyprus up 78% in Q4. Strong liquidity, disciplined cost management, and ongoing debt reduction support growth, while competitive intensity in Macau remains high.
Q3 2025 Q3 2025 2025-11-06
Q3 2025 saw strong year-over-year EBITDA growth across Macau, the Philippines, and Cyprus, with record mass tables GGR in Macau post-Golden Week. Liquidity remains robust, debt was reduced, and a more balanced capital allocation is planned, including a potential dividend resumption.
Q2 2025 Q2 2025 2025-07-31
Q2 2025 saw robust growth in Macau, with record mass gaming revenue, improved margins, and strong non-gaming contributions from House of Dancing Water. Liquidity remains high, and new projects in Sri Lanka and ongoing enhancements in Macau support a positive outlook.
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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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Investment Risk:
Investing in securities, including US equities and ETFs, involves inherent risks including the potential loss of principal. All investments are subject to market fluctuations, economic conditions, regulatory changes, and other factors that may affect their value. Past performance is not indicative of future results. This analysis is provided for informational and educational purposes only and should not be construed as investment advice under any circumstances.

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Information Sources:
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