Baron Funds, an investment management company, released its “Baron Real Estate Fund” first quarter 2023 investor letter. A copy of the same can be downloaded here. In the first quarter, the fund rose 7.07% (Institutional Shares) compared to a 2.39% return for the MSCI US REIT Index (the “REIT Index”) and a 4.73% return for the MSCI USA IMI Extended Real Estate Index (the “MSCI Real Estate Index”). The firm is optimistic about the prospects for the stock market, public real estate securities, and the fund. In addition, please check the fund’s top five holdings to know its best picks in 2023.
Baron Real Estate Fund highlighted stocks like Wynn Resorts, Limited (NASDAQ:WYNN) in the first quarter 2023 investor letter. Headquartered in Las Vegas, Nevada, Wynn Resorts, Limited (NASDAQ:WYNN) designs, develops and operates destination casino resorts. On June 27, 2023, Wynn Resorts, Limited (NASDAQ:WYNN) stock closed at $105.76 per share. One-month return of Wynn Resorts, Limited (NASDAQ:WYNN) was 7.15%, and its shares gained 82.34% of their value over the last 52 weeks. Wynn Resorts, Limited (NASDAQ:WYNN) has a market capitalization of $12.035 billion.
Baron Real Estate Fund made the following comment about Wynn Resorts, Limited (NASDAQ:WYNN) in its first quarter 2023 investor letter:
“In the first quarter of 2023, we re-acquired shares in Macau-centric casino gaming companies Wynn Resorts, Limited (NASDAQ:WYNN) and Las Vegas Sands Corporation with the following considerations in mind:
Since the early days of the COVID-19 pandemic in 2020 through mid-2022, the shares of Wynn and Las Vegas Sands significantly underperformed the share price performance of other U.S.-centric casino gaming and lodging companies due in large part to extremely limited travel mobility to Macau during China’s Zero-COVID policy. Just as business activity and the shares of U.S.-centric casino gaming companies rebounded sharply once people felt comfortable to travel to Las Vegas and other U.S. regional gaming markets, we have felt that Macau business activity and the shares of Macau-centric casino gaming companies would follow in the footsteps of Las Vegas-centric and other U.S. gaming and lodging companies and inflect positively once people were permitted to travel to Macau more freely.
China recently abandoned it’s Zero-COVID policy and removed travel restrictions in January 2023. We now believe both Wynn and Las Vegas Sands are well positioned to capitalize on China’s reopening.
As of late 2022, business activity in Macau languished at only 10% to 15% of pre-pandemic levels compared to Las Vegas business activity which had already exceeded pre-pandemic levels. Macau visitation and business activity has rebounded sharply in the first few months of 2023, yet remains approximately 50% below activity levels in 2019…” (Click here to read the full text)
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Wynn Resorts, Limited (NASDAQ:WYNN) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 46 hedge fund portfolios held Wynn Resorts, Limited (NASDAQ:WYNN) at the end of first quarter 2023 which was 36 in the previous quarter.
We discussed Wynn Resorts, Limited (NASDAQ:WYNN) in another article and shared the list of best gambling stocks to buy. In addition, please check out our hedge fund investor letters Q1 2023 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
