TapForMobile

Wynn Resorts Stock Soars as Steve Wynn Resigns


Wynn's Macau business has been a goldmine for Wynn Resorts, generating more than 75 percent of its total revenues.

Steve Wynn claimed that "negative publicity" was making his continued participation as the head of Wynn Resorts untenable.

On Tuesday evening, Casino mogul Steve Wynn officially resigned as chairman and CEO of Wynn Resorts amid troubling sexual misconduct allegations.

He resigned as the finance chairman of the U.S. Republican Party's fundraising arm, the Republican National Committee, in January. The company has market cap of $18.06 billion. In order to turn the situation around, the management of Wynn Resorts has appointed Matt Maddox to the position of CEO. The fate of the two new hotels he's proposed for Las Vegas may face scrutiny.

Wynn Resorts without Wynn: What Does it Mean? Among his most famous properties are the Bellagio, with its musical-fountain show, and the Mirage, with its streetside volcano and resident Cirque du Soleil show. These allegations gained widespread attention after an investigative report published by the Wall Street Journal cited dozens of sources and detailed numerous allegations against Steve Wynn.

Wynn Resorts operates five properties in Las Vegas and Macau, and is developing a $2.4 billion casino now under construction near Boston. The newspaper spoke to one former server who said she felt Wynn forced her to have sex with her to keep her job.


What neither the board nor Steve Wynn addressed is if there was pressure from regulators in Las Vegas, Macau, or Boston to oust him.

Wynn continues to deny the allegations, but said in a statement that he is stepping down from his company because of the "avalanche of negative publicity".

Bernstein said in its first Wednesday note on the Wynn group's shake up that it was "less bullish" on Wynn Macau in the near term, given the uncertainties surrounding "further changes at the company management" and the "implications of the pending litigation in Nevada with respect to Wynn Resorts".

"The bureau reiterates that the Macau SAR is concerned about the eligibility of the casino gaming concessionaires' major shareholders and directors and the principal employees in casinos, and the requirements will be strictly enforced". The Macau government has said little so far about what may be required for renewal. The business had revenue of $1.69 billion during the quarter, compared to the consensus estimate of $1.56 billion. That case is expected to go to trial in April.

A spokeswoman for Republican Gov. Charlie Baker says he believes it was the "right decision" for Wynn to end his relationship with the company on Tuesday, in light of the "disturbing allegations" against him. Stifel Nicolaus boosted their target price on shares of Wynn Resorts from $134.00 to $153.00 and gave the company a "hold" rating in a research report on Friday, October 27th. Also, his behaviour will be observed by regulators.

Related Articles

  • Crocodile Dundee Inspires New American Tourism Push

    Crocodile Dundee Inspires New American Tourism Push

    The campaign is also supported by Qantas and Wine Australia. "That's the challenge that this new campaign is seeking to address", Sullivan said.
    Pentagon unveils policy focused on deterring Russian Federation  with smaller nukes

    Pentagon unveils policy focused on deterring Russian Federation with smaller nukes

    The Pentagon-led review of the US nuclear arsenal and the policies that govern it was ordered by Trump a year ago. America's nuclear build-up was key point of Trump's first State of the Union address earlier this week.
    Riyad Mahrez to miss Leicester's match at Swansea, faces £200000 fine

    Riyad Mahrez to miss Leicester's match at Swansea, faces £200000 fine

    All I can say about the situation is that this is the best decision for Leicester, in the best interests of Leicester. Leicester stood tall and rejected advances from the Premier League leaders totalling around £65million.
  • 4000-Year-Old Tomb Discovered in Egypt

    4000-Year-Old Tomb Discovered in Egypt

    It likely belonged to a woman known as Hetpet, who archaeologists believe was close to ancient Egyptian royals of the 5th Dynasty. The enclosure, which is made of mud brick, is decorated with paintings of Hetpet observing different hunting and fishing scenes.
    U.S.  has no evidence of Syrian use of sarin gas, Mattis says

    U.S. has no evidence of Syrian use of sarin gas, Mattis says

    The Islamic State militant group continues to use them, they said, although the militants' arms are said to be more rudimentary. Mr Burt referred to three specific reports of chlorine attacks by Syrian regime forces in Eastern Ghouta so far in 2018.
    Stocks End Higher, Closing Out Best Month Since March 2016

    Stocks End Higher, Closing Out Best Month Since March 2016

    The index closed down 362.59 points at 26,076.89 in NY , with the broader S&P 500 index falling 31.10 points to 2,822.43. Wall Street also observed the sovereign bondsmarket as the standard 10-year yield gave away above 2.7%.
  • Federal Bureau of Investigation  warns Facebook users to not share video of child pornography

    Federal Bureau of Investigation warns Facebook users to not share video of child pornography

    After the video began circulating Facebook, several law enforcement agencies throughout the country began investigating. They say some recipients may think sharing the video could help find the person responsible for it.

    Washington Redskins May Franchise Tag Kirk Cousins In Order To Trade Him

    Cousins could also delay signing the tag for months, meaning the quarterback could tie up the Redskins' cap space in free agency. Washington was going to be a laughingstock when they lose Cousins for nothing after paying him $43 million the last two years.
    Putin pleased with ruling on Russian doping

    Putin pleased with ruling on Russian doping

    Christiane Ayotte, director of the Montreal dope testing lab, said she was disappointed but not surprised at the court's ruling. Athletes from both Russian sleds were included in the 11 whose doping violations were confirmed by CAS.
  • Jerome Powell sworn in as new US Fed chief

    Jerome Powell sworn in as new US Fed chief

    His nomination was approved by the Senate earlier this month for a four-year term as chairman that will end in February 2022. He was a partner at the investment firm Carlyle Group from 1997 through 2005.
    Rex Tillerson: China, Russia Roles In Americas 'alarming'

    Rex Tillerson: China, Russia Roles In Americas 'alarming'

    The oilman-turned-diplomat recalled that his first trip overseas was to Peru as a member of the University of Texas Longhorn band. But in Latin America, the doctrine has always been viewed as a pretext for American armed intervention in the region.
    Analyzing the transfer business of the Premier League's top 6 teams

    Analyzing the transfer business of the Premier League's top 6 teams

    Brazil winger Lucas challenged his new Spurs team-mates to win the Champions League after arriving from PSG for a reported £25m. A year ago, these same clubs collectively spent £40,000 - this year in a 662,400 per cent increase the total came to £265m.

Comments