Shares of popular gaming and casino operator Wynn Resorts (WYNN  ) suffered a rather sharp, 9.3% decline on Thursday. Volume was heavy as investors were quick to sell, and stop losses were likely triggered. So whats the problem?

Thursday after the close Wynn reported their third quarter earnings which came in lower than what Wall Street's analysts had projected. The casino company reported earnings per share of $0.75 which came in just below expectations of $0.78 per share. Revenue also fell short of analysts' expectations. Total revenue of $1.11 billion was just shy of the $1.12 the street was looking for. Wait, it gets worse.

One of the major problem areas for casino operators recently has been Macau. Wynn has been a major operator in Macau and as of yesterday they reported that those operations in China yielded only $518 million. That's a year over year decline of 11.5%.

Most analysts were quick to point out that the earnings miss wasn't really so bad. The Macau news was the driving factor in the price decline. Deutsche Bank and an analyst that commented "while the quarter wasn't wildly out of line with consensus, simply put, Palace opened and Wynn lost share sequentially in Macau, had lower sequential Macau EBITDA, and backed off 2017 Macau guidance."

Basically investors in Wynn have become almost exclusively focused on Macau and the struggles over there. The Wynn Palace, which opened back in August, continues to face many risks including tightening regulations, and slower than anticipated traffic.

As for the stock performance, if your a technical trader then there is no doubt you have notice the support in the $87 area. Time will tell if that area can hold after the large volume, down day today.