#7 - Las Vegas Sands (NYSE:LVS)
Las Vegas Sands (NYSE: LVS) - The concern for Las Vegas Sands has to do with their international operations, particularly in their largest growth market, Macau. LVS has significant exposure to China and the persistent slowdown in its economy is causing a decline in gaming activities in Macau. The company's stock has mirrored the volatility of the broader market – it dropped nearly 40 percent from a high of $80 in the summer of 2018, and is now up over 20% from those lows. The recent uptick is encouraging in that it suggests that analysts may have already factored the Macau slowdown into the stock, and the company’s market share in Macau continues to grow and currently sits at 34%. They are the only company that has shown a growth in market share since 2012. However, analysts are quick to point out that having a large market share in a contracting market is not optimal. That being said, another political risk remains. LVS has gaming concessions with Macau that expire in 2022. If China is so inclined, they could use those concessions as a bargaining chip in the upcoming trade negotiations with the Trump administration. This could put further downward pressure on the stock.
About Las Vegas Sands
Las Vegas Sands Corp., together with its subsidiaries, develops, owns, and operates integrated resorts in Macao and Singapore. It owns and operates The Venetian Macao Resort Hotel, the Londoner Macao, The Parisian Macao, The Plaza Macao and Four Seasons Hotel Macao, Cotai Strip, and the Sands Macao in Macao, the People's Republic of China; and Marina Bay Sands in Singapore.
Read More - Current Price
- $51.41
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 10 Buy Ratings, 3 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $58.00 (12.8% Upside)
