In its earnings release, Wynn Macau reported that its net loss widened to US$242.0 million in the third quarter, compared with a loss of US$179.9 million a year ago.

The casino operator’s third-quarter earnings were hurt by a suspension of its casino operations for a 12-day period in July in response to a COVID-19 outbreak in Macau, the company said in its earnings release Thursday.

The casino operator’s future revenue growth will likely continue to be influenced by quarantine and zero-COVID policies in China and their impact on inbound travel, wrote Jefferies analyst Andrew Lee in a note.

The analyst added that it is “still a waiting game for eventual recovery” for Wynn Macau, although “the fear of lockdown is still deterring travelers.” The U.S. investment bank has a hold rating and target price of HK$4.50 on the stock.

There could be a looming risk of further COVID-19 restrictions in China as cases continue to climb in the city of Guangzhou, which is the country’s fourth largest city by urban population, said Nomura analysts in a note.

Investors should “closely monitor COVID development and lockdown measures in Guangzhou due both to its sheer size and the implications for China’s zero-COVID policies,” the analysts added. So far, multiple districts in the city have been locked down, and several flights from the city have been cancelled, Nomura said.