Deutsche Bank Comments on Wynn Resorts Share Repurchase

Deutsche Bank has published a research report on Wynn Resorts

speaking on the company's investigation into Okada. In the report, Deutsche Bank writes, "In a surprise twist, WYNN has in effect repurchased 20% of its outstanding stock at a 30% discount to current market value. We see the deal as being roughly 17% accretive to earnings and adding ~$17 to our $148 price target. Additionally, if valued on PE, assuming the 2013 closing PE multiple as of Friday of 18.3x, based on our 2013 EPS estimate, holds firm, we believe the pro forma valuation implies a share price of ~$134 per share. While we are not changing estimates at this time, we do believe this morning's news is a distinct positive for WYNN." Deutsche Bank maintains its Buy rating and $148 price target on Wynn Resorts, which closed Friday at $112.69.