Khouw says the lowering of casino supply can be seen in the revenue per available room metrics as well as in the strong occupancy rates.
"I think this is one of the reason why we're seeing [casino stocks] actually start to trade at higher multiples," Khouw said on Friday's "Options Action." "And I think the expectation is that strength in the gaming industry there is going to translate into significantly higher margins."
Robert Shore, a gaming analyst at Union Gaming Group, makes the point that while gaming table growth is currently capped by the government, infrastructure improvements should continue to help shore up revenue.
"The market capacity is constrained from a table perspective right now," Shore told CNBC.com. "But the market should continue to grow based on infrastructure improvements, so Macau will continue to grow even before supply comes online."
(Read more: Versace to build Macau casino resort hotel with SJM)
If Macau casinos do become more profitable, Las Vegas Sands is set to be a bigger winner.
Las Vegas Sands increased its net revenue by $869 million, or 32 percent, between the third quarter of 2012 and the third quarter of 2013, and Macau has contributed 81 percent of that growth. At this point, the company's eponymous city represents just 1 percent of its business.