How to reproduce:
1. Open the attached "Wireframe_Bug" project and "Wireframe_Bug" scene
2. In the hierarchy select "Capsule"
3. In the "Capsule" inspector window you will see 3 buttons that switch between the different render states
4. Click the "Wireframe" button

Expected result: GameObject is rendered in Wireframe mode
Actual result: GameObject is rendered as in Hidden mode

Reproducible with - 2017.1.0a3, 5.6.0b11, 5.5.2p2

Note: EditorSelectedRenderState wasn't present in 5.4 or 5.3, SetSelectedWireframeHidden was used instead