Wynn Resorts, Ltd. (WYNN - Analyst Report) third quarter 2010 earnings results improved on a year-over-year basis, primarily driven by higher-than-expected top-line growth. With the global economy showing a gradual recovery, the company is experiencing an increase in demand. Its Las Vegas business is also rebounding with increased room rates and conventional bookings. Additionally, with strong momentum in Macau we expect the earnings of the company to increase, going forward.
Moreover, we remain encouraged with the company's strong brand name, healthy balance sheet, strong cash flow position, relatively low capital requirements, future growth driver in Cotai and its ability to execute in a difficult operating environment. Thus, we are upgrading the stock from Neutral to Outperform. (full report)
No comments:
Post a Comment