Increased trade tensions with China will likely affect semiconductor stocks and two casino and hotel operators the most, according to Morgan Stanley analysis of companies most dependent on China for revenue.
Wynn Resorts draws 69 percent of its revenue from China, the greatest exposure among U.S. companies larger than $3 billion, according to analysis from Morgan Stanley Equity Strategist Michael Wilson and his team.
Las Vegas Sands ranks third, with 65 percent revenue exposure, according to the study, published Tuesday.
The U.S.-China trade dispute escalated Friday with the Trump administration announcing tariffs on $34 billion worth of Chinese goods that will take effect July 6. Beijing quickly responded with its own list of U.S. goods worth about the same amount that will also be subject to tariffs on July 6.
U.S. stocks fell Friday amid concerns about a trade war.
Other companies on Morgan Stanley's list with 30 percent or more revenue exposure to China include logistics company Expeditors International of Washington and automotive seating manufacturer Adient.
By industry, semiconductor and semiconductor equipment companies have the highest revenue exposure to China at 52 percent, the report said. Chipmaker Qualcomm ranked second on the list of individual companies most exposed to China, at 65 percent.
Energy and technology hardware and equipment have 14 percent revenue exposure to China, according to Morgan Stanley.
Source: Thomson Reuters, Morgan Stanley Research Estimates