Share
Tilman Fertitta was already the largest single shareholder of Wynn Resorts stock prior to a recent dip in the stock price, but he has expanded his stake further during the recent market downturn. Wynn’s stock, like that of many other gaming companies, fell precipitously amid economic uncertainty in the United States brought on by the US government.
Fertitta is still maintaining a ive position in Wynn despite his even larger investment. Previous disclosures of his increasing stake in the company fueled speculation that he might be preparing to take a strategic role in its direction.
However, his potential confirmation as the US ambassador to Italy and San Marino may diminish such speculation this time around. He has affirmed that receiving the position would lead him to step down from his leadership role in his own company, Landry’s. In that light, the thought that he would take on an active role with Wynn seems a more remote possibility.
Fertitta increases stake in Wynn at diminished price
According to an Fertitta first made a major investment in Wynn in November 2022 then became the single-largest shareholder in November 2024.
Fertitta also bought Wynn stock in late March to continue to fuel speculation that he would try to steer the direction of the company to his liking. That possibility is a concern due to Fertitta’s status as CEO and owner of Landry’s, which is parent company to the Golden Nugget casino brand.
To date, Fertitta has denied those allegations and has not taken any action contradictory to his statement that he is only investing in Wynn for personal gain.
The first week of April was a prime time to buy, as dramatic declines in stock prices drove the price down to $66.20 per share on April 4 at its lowest point. As a point of comparison, shares in Wynn closed at $98.32 on April 14, 2024.
While Wynn stock has recovered somewhat from that April 4 low, it could be some time before Fertitta sees a major profit from his shares. In the meantime, he is waiting to see if he will continue in his role as Landry’s CEO.
Potential ambassadorship still pending
Although Fertitta has issued a letter to the US Department of State affirming that he would resign from his position with Landry’s and the company’s holdings if confirmed as the US ambassador to Italy and San Marino, the US Senate has yet to hold a hearing on his potential confirmation. Until that time or failing his confirmation, he will continue in his current role with Landry’s.
Golden Nugget casinos currently operate in multiple US states including Mississippi, Nevada, and Pennsylvania. Landry’s has no interest in the Golden Nugget online casino brand as it sold that part of the business to DraftKings in 2022.
Even if Fertitta does become the next US ambassador to Italy and San Marino, he intends to maintain his ownership of Landry’s alongside his significant investment in Wynn. While it’s typical for people appointed to such positions to resign from their other professional obligations, traditions are not as strong in divesting from such assets.
However, it seems that Fertitta would become much less involved in Landry’s operations and his ambassador duties might preclude him from an active role in Wynn’s business despite his large share of the company as well.
