Las Vegas Sands Stock Rebound May Continue, Traders BelieveSeptember 8, 2021 John Isaac
Las Vegas Sands shares surged nearly 10.6% last week in an effort to close their deficit. At least one trader says that the casino operator will retain its position lately.
Sands stocks are a little lower at noon. But this came after the market value of the biggest gambling operator rose 17.27% from a year low. Against the backdrop of the power of the largest bookmaker complex, Quint Tatro sees causes for optimism about LVS.
According to Tatro, they were here this March to talk about their dramatic changes and the sale of all Las Vegas assets to double the stake and concentrate on Asia exposure. He thinks it was a big question then.
In March, Las Vegas Sands announced the sale of its Sin City properties – Convention Center, Palazzo, Sands Expo, and the Venetian – for $6.25 billion to VICI Properties and Apollo Global Management. It removed the organization’s presence in the United States, at least for the moment, with a lot of focus on its Singapore and Macau operations.
For LVS Stock, All About Macau
Most of the latest upward trend in Sands inventories have come from Macau, where the company operates five integrated resorts.
The Special Administrative Region (SAR) is removing some mobility limitations after a minor increase in COVID-19 cases in mainland China has called for additional restrictions.
Guangdong provincial authorities relaxed travel restrictions this morning, as the number of areas in mainland China categorized as “high” or “medium” danger COVID-19 trouble spots is decreasing. It applies to Macau and its six casino stores, including Las Vegas Sands, as the gambling operator does not have an isolation rule for guests from mainland China if they come from a low-risk area.
Potency in Macau is essential for the LVS dissertation. It is the largest local bookmaker, and the only other location is Marina Bay Sands in Singapore, another tourist region hit by the coronavirus.
Assessing Rebound Legitimacy
After a month of the downturn, driven in part by the rise of a delta variant and issues about evaporating government funds, gambling stocks are gaining momentum. If this revival continues, LVS may continue to respond.
Tatro told CNBC; If this is legitimate and they see a casino renaissance, he believes LVS is a play here.
A reasonable recovery in Las Vegas Sands stock, which may already have occurred, could free the title from its position as one of the few S&P 500 members that have not made a profit since the market crash on March 23, 2020.
LVS is down 36% from its March high. Over the year, it fell by 28%.
JC O’Hara, a senior marketing engineer at MKM Partners, told, he was suspicious of the delay in disclosing casino names to China. Alternately, he favors DraftKings, a betting stock that he believes is stable after his pullback.
As a promising target price, O’Hara aims for March highs above $74 and sees a support band at $50. DraftKings closed at $56.47 on Tuesday.