LVS - Embedded Expectations Analysis - 2019 11 13
Las Vegas Sands Corp. (LVS:USA) currently trades below corporate averages relative to UAFRS-based (Uniform) Earnings, with an 18.6x Uniform P/E. At these levels, the market has bearish expectations for the firm, but management is confident about their resort growth, profitability, and Macao.Specifically, management is confident they invested in Macao before competitors and their previous resorts have seen consistent growth. Furthermore, they are confident that Macao customers drive profitability through their betting trends, and they are confident there are other market opportunities to offset headwinds related to slowdowns in the junket industry.
Las Vegas Sands is a developer of destination properties (Integrated Resorts) that feature accommodations, gaming, entertainment and retail malls, convention and exhibition facilities, restaurants and other amenities. The company owns and operates Integrated Resorts in Asia and the United States. Through its ownership of Sands China Ltd., the company owns and operates properties including The Venetian Macao Resort Hotel, Sands Cotai Central, The Parisian Macao, The Plaza Macao and Four Seasons Hotel Macao, Cotai Strip, and the Sands Macao. In Singapore, the company owns and operates the Marina Bay Sands. The company's Las Vegas Operating Properties includes The Venetian Resort Las Vegas and the Sands Expo Center.
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