Fertitta Displeased with Wynn Executives, Share Price

Posted on: June 12, 2025, 09:54h. 

Last updated on: June 12, 2025, 10:20h.

Todd Shriber @etfgodfather Read More
Expertise: Financial, Gaming Business, Mergers and Acquisitions.
  • Lawyer makes comments at NGCB meeting
  • First time anyone connected to the investor has been openly critical of Wynn
  • Attorney says Fertitta will remain passive investor

A lawyer for Tilman Fertitta’s eponymous gaming and leisure company told Nevada regulators Wednesday that his former boss isn’t pleased with Wynn Resorts (NASDAQ: WYNN) management and the flailing share price.

Fertitta Commanders
A lawyer for Tilman Fertitta’s company said his former boss isn’t happy with Wynn’s stock price. (Image: SB Nation)

At Wednesday’s Nevada Gaming Control Board (NGCB) meeting, Fertitta Entertainment General Counsel Steven Scheinthal said that Fertitta, now the US ambassador to Italy, was perturbed by some decisions made by Wynn executives and the stock price, which is down 7.13% over the past year. It’s the first time anyone with ties to the billionaire businessman has publicly excoriated Wynn — the company in which he’s the largest shareholder.

Mr. Fertitta wanted me to let the Board know that he’s not happy with the stock price or the decisions that have been made by Wynn management,” said Scheinthal.

The attorney told NGCB commissioners that his former boss was miffed by Wynn’s previously lax anti-money laundering protocols, which led to a $130.13 million fine from the Department of Justice (DOJ) last year and a $5.5 million penalty from the state of Nevada. The federal fine targeted Wynn Las Vegas and was the largest ever put forth by the DOJ against an individual casino.

Fertitta Right to Be Unhappy About Wynn Stock Price

An October 2022 13G filing with the Securities and Exchange Commission (SEC) confirmed that Fertitta and entities tied to him purchased 6.91 million shares of Wynn, then equivalent to 6.1% of the casino operator’s shares outstanding, earlier that month. The stock surged on that news.

Over a series of subsequent transactions, Fertitta added to his Wynn stake at higher prices, expanding his position in the gaming company to more than 13 million shares, or nearly 12% of the outstanding float. Based on the current share price of $86.75, it’s likely he’s only showing a modest gain on the position or could even be saddled with a loss.

“I was curious about that, because I’ve followed his career and value him tremendously as an expert in the world of business, valuing businesses, and deciding what he wants to own or invest in,” said NGCB board member George Assad.

That doesn’t mean Fertitta is ready to shift to activism. Echoing comments he made at a May NGCB meeting, Scheinthal told the NGCB Wednesday that Fertitta is still a 13G filer in Wynn, meaning he’s a passive investor. If he turn activist, he’d be required to file a form 13F with the SEC.

Schienthal added that Fertitta didn’t want him making projections about where Wynn should trade, but the ambassador believes the current stock price “should be significantly higher and he’s not happy with decisions that management has made.”

Fertitta Bullish on Wynn UAE Casino

Over the time in which he’s been a Wynn investor, there’s been speculation that Fertitta wouldn’t attempt to acquire the company outright, but he’d like to see the operator better leverage its brand in the US. When it comes to acquiring or developing land-based assets that fit the Wynn model, near-term opportunities appear limited.

Wynn is adding to its international portfolio with the centerpiece being Wynn Al Marjan Island in the United Arab Emirates (UAE) and a recent bolt-on acquisition in the UK aimed at steering visitors to the UAE integrated resort when it opens in early 2027. Fertitta is constructive on the UAE endeavor.

“He sees that as an upside opportunity for the stock price,” Scheinthal said. “We see it as a positive for the company.”