The firm upped its price target to $17 from $14 on shares of the Hong Kong-based casino operator.
The amount that individuals are spending on gaming is increasing, and VIPs are returning to Macau as "premium mass players," the firm wrote in a note cited by Barron's.
Gross gaming revenue should accelerate year-over-year to 10% in the second half of 2016 and to 12% in 2017 from 4% in the 2016 second quarter, Deutsche Bank estimates.
The firm raised its sector EBITDA by 10% to $6.6 billion for 2017, according to Barron's.
Separately, TheStreet Ratings team rates the stock as a "hold" with a ratings score of C.
Melco Crown's strengths such as its revenue growth, increase in net income and growth in earnings per share are countered by weaknesses including a generally disappointing performance in the stock itself, disappointing return on equity and poor profit margins.
You can view the full analysis from the report here: MPEL
TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author.