Latest news with #LVS
Yahoo
06-08-2025
- Business
- Yahoo
What Are Wall Street Analysts' Target Price for Las Vegas Sands Stock?
Las Vegas, Nevada-based Las Vegas Sands Corp. (LVS) develops, owns, and operates integrated resorts and convention centers in Macao and Singapore. With a market cap of $36 billion, the company offers a wide range of gaming activities and entertainment, as well as overnight accommodations, while its expo centers host a wide range of entertainment shows, expositions, and other activities. Shares of this casino giant have outperformed the broader market over the past year. LVS has gained 37.9% over this time frame, while the broader S&P 500 Index ($SPX) has rallied nearly 21.5%. However, in 2025, LVS stock is up 1.6%, compared to the SPX's 7.1% gains on a YTD basis. More News from Barchart Palantir's Free Cash Flow Margins and Forecasts Rise - Where This Leaves PLTR Stock Cathie Wood is Buying Figma Stock with Both Hands. Should You Buy This Hot IPO, Too? Can SoundHound's Q2 Results Send the Stock Soaring on August 7? Markets move fast. Keep up by reading our FREE midday Barchart Brief newsletter for exclusive charts, analysis, and headlines. Zooming in further, LVS' outperformance is also apparent compared to the Consumer Discretionary Select Sector SPDR Fund (XLY). The exchange-traded fund has gained about 27.9% over the past year. However, LVS' returns on a YTD basis outshine the ETF's 2.4% losses over the same time frame. On Jul. 23, LVS reported its Q2 results, and its shares closed up by 7.5% in the following two trading sessions. Its adjusted EPS of $0.79 surpassed Wall Street's expectations of $0.55. The company's revenue was $3.2 billion, beating Wall Street forecasts of $2.8 billion. For the current fiscal year, ending in December, analysts expected LVS' EPS to grow 15% to $2.61 on a diluted basis. The company's earnings surprise history is disappointing. It missed the consensus estimates in three of the last four quarters while beating the forecast on another occasion. Among the 16 analysts covering LVS stock, the consensus is a 'Moderate Buy.' That's based on 10 'Strong Buy' ratings, and six 'Holds.' This configuration is more bullish than a month ago, with nine analysts suggesting a 'Strong Buy.' On Jul. 30, UBS kept a 'Neutral' rating on LVS and raised the price target to $55, implying a potential upside of 5.4% from current levels. The mean price target of $58.29 represents an 11.7% premium to LVS' current price levels. The Street-high price target of $72.50 suggests an ambitious upside potential of 38.9%. On the date of publication, Neha Panjwani did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Sign in to access your portfolio
Arabian Post
30-07-2025
- Business
- Arabian Post
I now hunt for winner ideas in global real estate!
Matein Khalid While Marjan Island day trips with Amore mio Donna Farah hardly makes me nostalgic for my singleton era visits to Vegas and college boy trips to the odious Trump Plaza/Taj Mahal casinos in Atlantic City, I have no problem taking a flutter on Wynn when it traded at 12X earnings since the free cash flow yield is a more reliable proxy for a money making trade than the capricious whims of Lady Luck. This is why the casino action now moves to Las Vegas Sands (LVS). 2Q results were a blowout last week. Macau and Singapore are both on a roll and LVS capex in both its key Asian properties is now done. The Londoner resort has helped goose Macau market share while Bob Goldstein has hit a sixer (us colonials chaps do cricket metaphors duckies!) in Marina Bay Sands down in the Lion City. No wonder LVS shares are up 8% in the last week and 20% in the last month. This seems almost as good as the insiders who hit multiple home runs when Marjan Island morphed from a busted SRK Bollywood theme park to the first wannabe casino in the Gulf. As for moi, if a hotel/casino is not listed on the NYSE, i will never buy into the story, though do let me know if the La Belle Époque beauty at the Place Casino in Monte Carlo that did not let Manju and I since we were wearing jeans ever floats on the stock exchange, I will gladly turn cartwheels and take a punt on this mother of all trophy assets. My current buy price on LVS is 45-56. Ce n'est pas le moment de jouer LVS. ADVERTISEMENT US homebuilder shares have been mired in a painful bear market, down 17% on the sector tracker ITB in the past year. The Powell Fed's refusal to slash rates means 7% mortgage rates deter new buyers while Trump's tariff threats against Canada and deportation of untold million illegal immigrants suggests the cost of lumber and construction/wages moves higher. Copper tariffs will also raise plumbing costs and the price of imported Carrara marble from Toscana in La Bella Italia is also spiking higher. I do not have any interest in zombie real estate sectors du jour and have zero exposure to US homebuilders for now. Demand smells just as sweet as a garbage dump. Builders will continue to cut prices and miss on margins/guidance, though DR Horton did not. Supply is rising and the job market just faces too many crevices. Mortgage rates will not fall big time unless the US economy slips into recession when builder shares get sandbagged and only the shorts will make money in the debris. In private real estate, I believe the best risk/reward lies in buildings that rent to doctor owned outpatient clinics, where tailwinds are rich but aging Baby Boomer demographics and shifts from nosebleed hospitals will boost rental growth. Supply is at 40% of cycle peak while the occupancy rate is 95%. Yummykins! I hear the Hippocratic Oath has now been repealed in the Gulf as our private equity financiers insist that doctors should optimize revenues via uncessassary extra procedures/tests/surgeries in order to make the hospital's cash register ring, yella-yella-kaching-kaching. I do not know whether to laugh or to cry after I had lunch with a friend who had lived through the horror show of the Abraaj healthcare fraud and Al Masah's Dash It All and Drop Dead medical platform. In the UK, student housing is no longer as grotty as it was in my time, the reason I fled to America. In fact, I was amazed at the uber luxury facilities I visited in the sceptred isle though only for students who happened to be Chinese, the offspring of CCP honchos and drive to uni in their Lambos and Ferraris, vroom vroom… Seriously, there is a chronic shortage of student flats in London and other UK cities, so Jon Gray at Blackstone is on the right track, as he was in the Hilton LBO. Senior Housing and acute care will remain a profitable theme since the supply demand equation is so skewed in the landlord's favour, the reason my fave US REIT apart from the data center guys is now Welltower (WELL). REITs provide me with income when long duration bonds stink as well as an ideal inflation hedge and low correlation to global equities at a time when US valuation metrics are at cycle peaks at 22 times forward earnings and a zero equity risk premium. I was born at night, only not last night. ADVERTISEMENT Also published on Medium. Notice an issue? Arabian Post strives to deliver the most accurate and reliable information to its readers. If you believe you have identified an error or inconsistency in this article, please don't hesitate to contact our editorial team at editor[at]thearabianpost[dot]com. We are committed to promptly addressing any concerns and ensuring the highest level of journalistic integrity.
Yahoo
24-07-2025
- Business
- Yahoo
Unusual Volume in Las Vegas Sands Call Options - Investors Bullish on Macao Gambling
There has been a huge, unusual volume in long-dated call options for Las Vegas Sands Corp. (LVS) today after its Q2 results release yesterday. It showed investors are bullish on the Macao gambling scene. LVS stock is up over +4.0% today at $50.67 per share after the earnings release. A huge volume of in-the-money (ITM) LVS call options for expiration on Jan. 16, 2026. More News from Barchart NVDA Broken Wing Butterfly Trade Targets A Profit Zone Between 150 and 160 Tariff Deals Spark Unusual Options Trading in Carrier Global Corp Stock Low IV Alert: Stocks that Could be Ready to Pop Markets move fast. Keep up by reading our FREE midday Barchart Brief newsletter for exclusive charts, analysis, and headlines. That is a very strong signal that the investors who bought these calls expiring in 176 days (almost 6 months from now), expect to see LVS stock much higher. In effect, it works out to a cheaper way to buy into the stock. This can be seen in today's Barchart Unusual Stock Options Activity Report. It shows that over 45,000 call option contracts have traded at the $45.00 call option exercise price, even though the stock price is over $50.00. That means the trades were bought 'in-the-money' by the call option buyers. The midpoint price for these calls is just over $8.00 (i.e., $7.95 bid, $8.15 ask, or $8.05 midpoint). So, instead of paying $50.67 per 100 shares, an investor buying these calls only has to shell out $8.05. But the breakeven price, after paying the exercise price (on or before Jan. 16, 2026), is less than 5% over today's price: $45.00 +8.05 = $53.05 $53.05 / $50.67 = 1.047 -1 = +4.69% premium over the trading price The investor has almost 6 months for LVS to rise over $53.05, the intrinsic value of these long-dated calls. That seems very likely to occur, based on its results today. Let's look at that. Strong Gambling Activity Results in China Despite the company's name, Las Vegas Sands makes all of its money in Macao, China, gambling and resorts (as well as one in Singapore). So, this stock is a play on the Chinese gambling scene. The Chinese are gambling a lot, and Las Vegas Sands is making good money, based on its Q2 results. For example, LVS reported that revenue at $3.175 billion in Q2 rose by over +15.2% from last year's $2.76 billion. Moreover, its operating income skyrocketed +32.5% from $591 million last year to $783 million. In addition, its 'Consolidated adjusted property EBITDA' (i.e., earnings before interest, taxes, depreciation, and amortization) was up +24.3% to $1.33 billion. So far, the company has not released its cash flow statement, so there is no indication yet of its free cash flow. Nevertheless, its operating income margin was 24.66% compared to 21.4% last year in Q2. Given that its capex was $286 million, we can estimate that its free cash flow was about $500 million (i.e., $781m-$286m) before any net working capital flows. That works out to a FCF margin of 15.74% (i.e., $500m/$3,175m revenue) for the quarter. This is a strong FCF result, and implies LVS could be worth substantially more. Price Target for LVS Sands Stock (LVS) For example, based on analysts' estimates over the next two years, revenue could range between $12.13 billion in 2025 and $12.65 billion next year (i.e., $12.39 billion on average). So, using a 15% FCF margin (slightly lower than in Q2), we can estimate $1.86 billion in FCF over the next 12 months (NTM): $12.39b x 0.15 = $1.86 billion FCF That is significantly higher than my estimate of $1.237 billion FCF it made over the last 12 months (ending Q2). Moreover, using a 3.6% FCF yield (i.e., the same as multiplying by 27.8x), Las Vegas Sands stock could be worth over $51 billion $1.86b x 27.8 = $51.7 billion market value Just to be conservative, let's call it $50 billion. That is still 45.3% over today's market cap of $34.4 billion. In other words, LVS stock is worth +45% more than its price today of $50.67, or $73.62 per share Why ITM Call Buying Works Here So, you can see why an investor in these in-the-money (ITM) call options likes LVS stock. For example, let's say that the stock rises to $73.62. The estimated return (ER) is as follows: Intrinsic value = $73.62 - $45.00 exercise price = $28.62 ER = $28.62 / $8.05 price paid for ITM calls = 3.57 -1 = +257% Expected Return And remember that is just for a slightly less than this 6-month period. Moreover, given that all calls have extrinsic value, it's likely that the call options will trade higher than the $28.62 intrinsic value price (at least up until several weeks or days before expiration, assuming it's in-the-money by this amount). The bottom line is that investors in the calls expect to make a very good expected return. However, keep in mind that buying calls entails a large amount of risk, especially if they are not hedged. You can lose 100% of your investment. But, at least the calls have good intrinsic value as they are in-the-money. For example, let' say that the stock stays at $50.67 over the next 6 months. The investor would only lose: $8.05 - ($50.67-$45.00) = $8.05 - $5.67 = -$2.38 potential loss at expiration. $2.38/$8.05 = -29.6% Expected Value (EV) Return So, let's use an advantage player (AP) mentality with this situation. For example, let's assume that there is a 30% probability that the investor can make a 257% return, and a 70% probability that a loss of 29.6% could occur: 0.30 x 2.57 = +77.1% , plus 0.70 x -0.296 = -20.7% = Expected Value Rtn: +56.4% In other words, the investor doing this trade has a better than +56% expected value (EV) return. This assumes that there is a 70% likelihood that the in-the-money call option purchase fails. That is a very good expected return. So, you can see why there is so much volume in today's Las Vegas Sands in-the-money calls expiring on Jan. 16, 2026. On the date of publication, Mark R. Hake, CFA did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Sign in to access your portfolio
Straits Times
24-07-2025
- Business
- Straits Times
Marina Bay Sands sees record second quarter with revenue up 37% to $1.77 billion
Find out what's new on ST website and app. Parent company Las Vegas Sands drew down $1.13 billion on a loan facility to help fund its US$8 billion Singapore expansion. SINGAPORE - Casino and hotel operator Marina Bay Sands (MBS) enjoyed a record second quarter performance with net revenue surging 37 per cent to US$1.39 billion (S$1.77 billion) from US$1.02 billion a year earlier. This sent its adjusted property earnings before interest, taxes, depreciation and amortisation (Ebitda) for the three months to June up 50 per cent to US$768 million from US$512 million. Robert G. Goldstein, chairman and chief executive office of parent company, Las Vegas Sands (LVS), said that MBS delivered 'record financial and operating performance'. 'Our new suite product and elevated service offerings position us for additional growth as travel and tourism spending in Asia expands.' MBS casino revenue rose significantly, climbing 51.3 per cent to US$1.1 billion from US$706 million in the year-ago period. Rolling chip volume was up 47.2 per cent to US$8.9 billion from US$6.1 billion. Hotel revenue for the quarter grew 8 per cent to US$134 million, although hotel occupancy dipped to 95 per cent from 95.3 per cent. The average daily room rate rose 11.4 per cent to US$888, lifting revenue per available room of US$844 compared to US$759 in the second quarter of 2024. The strength of its Singapore and Macau casinos lifted parent LVS' earnings by 15 per cent to US$3.18 billion, beating analyst forecasts for US$2.83 billion per data compiled by LSEG. LVD also disclosed that it drew down $1.13 billion on a Singapore loan facility to fund the payment for the land premium on its US$8 billion Singapore expansion. The new mega complex will comprise 570 luxury hotel suites, a casino, a 15,000-seat entertainment arena, 200,000 sq ft of meeting and convention space, and high-end restaurants. It is set to be completed by 2030 and to open in the first quarter of 2031. Mr Goldstein said, 'We remain enthusiastic about our opportunities to deliver industry-leading growth in both Macao and Singapore as we realise the benefits from our recently completed capital investment programmes in both markets.' LVS spent US$129 million on construction, development and maintenance at MBS in the second quarter. For the first half year, MBS' net revenue rose 17.3 per cent to US$2.55 billion, from US$2.17 billion for the same period in 2024. This sent Ebitda up 23.8 per cent to US$1.37 billion.
Reuters
23-07-2025
- Business
- Reuters
Las Vegas Sands beats earnings estimates as Singapore, Macao drive revenue growth
July 23 (Reuters) - Casino operator Las Vegas Sands (LVS.N), opens new tab beat analysts' expectations for second-quarter profit and revenue on Wednesday, driven by strength in its Singapore and Macao businesses, sending its shares up 4.6% in trading after the bell. Total revenue rose 36% to $1.4 billion from its Singapore operations and 2.5% to $1.8 billion from its Macao operations, the company said. "We remain enthusiastic about our opportunities to deliver industry-leading growth in both Macao and Singapore as we realize the benefits from our recently completed capital investment programs in both markets," CEO Robert Goldstein. The company posted a quarterly profit of 79 cents per share. Analysts on average were expecting a profit per share of 53 cents, according to data compiled by LSEG. Total revenue for the quarter ended June 30 rose 15% to $3.18 billion from a year earlier. Analysts, on average, expected revenue of $2.83 billion in the second quarter, as per data compiled by LSEG.
