Baron Funds Comments on Wynn Resorts Ltd.

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Aug 24, 2015

Shares of Wynn Resorts Ltd. (WYNN, Financial) decreased in the second quarter due to the slowdown in Macau and concerns over a smoking ban on VIP gaming expected to be enacted next year. The slowdown, combined with the unpredictability of how many tables Wynn will receive at its new casino opening in April 2016, led to our sale of the stock. While we think the company will still be able to finance and open the casino, the return may not be what investors expect and the increased supply could cannibalize existing assets.

From Baron Funds' second quarter 2015 commentary.