Comparing Wynn Resorts (NASDAQ:WYNN) & Tuniu (NASDAQ:TOUR)

Tuniu (NASDAQ:TOUR) and Wynn Resorts (NASDAQ:WYNN) are both consumer discretionary companies, but which is the better business? We will contrast the two businesses based on the strength of their profitability, valuation, risk, earnings, dividends, analyst recommendations and institutional ownership.

Valuation & Earnings

This table compares Tuniu and Wynn Resorts”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tuniu	$82.65 million	0.66	$4.45 million	$0.32	15.71
Wynn Resorts	$7.14 billion	1.09	$327.33 million	$4.03	18.83

Wynn Resorts has higher revenue and earnings than Tuniu. Tuniu is trading at a lower price-to-earnings ratio than Wynn Resorts, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Tuniu has a beta of 0.39, suggesting that its share price is 61% less volatile than the S&P 500. Comparatively, Wynn Resorts has a beta of 0.96, suggesting that its share price is 4% less volatile than the S&P 500.

Institutional and Insider Ownership

88.6% of Wynn Resorts shares are held by institutional investors. 76.1% of Tuniu shares are held by company insiders. Comparatively, 0.9% of Wynn Resorts shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Tuniu and Wynn Resorts’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tuniu	3.73%	3.17%	1.90%
Wynn Resorts	6.05%	-46.52%	3.60%

Analyst Recommendations

This is a summary of current ratings and target prices for Tuniu and Wynn Resorts, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tuniu	1	0	0	0	1.00
Wynn Resorts	0	2	17	1	2.95

Wynn Resorts has a consensus target price of $133.35, indicating a potential upside of 75.74%. Given Wynn Resorts’ stronger consensus rating and higher probable upside, analysts clearly believe Wynn Resorts is more favorable than Tuniu.

Dividends

Tuniu pays an annual dividend of $1.18 per share and has a dividend yield of 23.5%. Wynn Resorts pays an annual dividend of $1.00 per share and has a dividend yield of 1.3%. Tuniu pays out 368.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Wynn Resorts pays out 24.8% of its earnings in the form of a dividend. Wynn Resorts has raised its dividend for 1 consecutive years.

Summary

Wynn Resorts beats Tuniu on 15 of the 18 factors compared between the two stocks.

About Tuniu

Tuniu Corporation operates as an online leisure travel company in China. The company offers various packaged tours, including organized and self-guided tours; and other travel-related services, such as tourist attraction tickets, visa application services, accommodation reservation, financial services, and hotel booking services, as well as air, train, and bus ticketing for leisure travelers. It also provides car rental and insurance services, as well as advertising services to tourism boards and bureaus. The company offers its products and services through various online and offline channels, including tuniu.com website; mobile platform; a call center in Nanjing; and other offline retail stores in China. Tuniu Corporation was founded in 2006 and is headquartered in Nanjing, the People's Republic of China.

About Wynn Resorts

Wynn Resorts, Limited designs, develops, and operates integrated resorts. The company operates through four segments: Wynn Palace, Wynn Macau, Las Vegas Operations, and Encore Boston Harbor. The Wynn Palace segment operates private gaming salons and sky casinos; a luxury hotel tower with suites, and villas, including a health club, spa, salon, and pool; food and beverage outlets; retail space; meeting and convention space; and performance lake and floral art displays. The Wynn Macau segment operates casino space with private gaming salons, sky casinos, and a poker room; a luxury hotel tower, that include health clubs, spas, a salon, and a pool; food and beverage outlets; retail space; meeting and convention space; and Chinese zodiac-inspired ceiling attractions. The Las Vegas Operations segment operates casino space with private gaming salons, a sky casino, a poker room, and a race and sports book; a luxury hotel tower with suites, and villas, including swimming pools, private cabanas, full-service spas and salons, and a wedding chapel; food and beverage outlets; meeting and convention space; retail space; and theaters, nightclubs, a beach club. The Encore Boston Harbor segment operates casino space with gaming areas, and a poker room; a luxury hotel tower including a spa and salon; food and beverage outlets and a nightclub; retail space; meeting and convention space; and a waterfront park, floral displays, and water shuttle service. Wynn Resorts, Limited was incorporated in 2002 and is based in Las Vegas, Nevada.