On Wednesday, Susquehanna Financial Group increased its stock price target for Las Vegas Sands Corp. (NYSE: NYSE:) rose from $51.00 to $59.00 while the stock remains positive. The adjustment is in response to the expected positive impact of the recent stimulus measures introduced by China on September 23, 2024.

Las Vegas Sands, a leading player in the gaming and resort industry, is expected to benefit from renewed optimism surrounding the gaming sector in Macau and its Marina Bay Sands (MBS) casino in Singapore. The firm’s analysis points to China’s economic stimulus program as a potential driver of an increase in gross gaming revenue (GGR) in Macau from 2025 and highlights the importance of MBS Casino due to increasing Chinese visitor numbers in Singapore.

The company also notes that investor sentiment may vary in the near term as the market assesses the impact of China’s economic measures. However, for Las Vegas Sands and other Macau-based operators, a GGR of around MOP22 billion for October would be a positive indicator, especially given that GGR in the first half of October is estimated to have increased by 25% year-on-year. Year.

Additionally, the analysis highlights the importance of Chinese travelers in Singapore, accounting for 22% of airport visits and an estimated 30% of the city-state’s gross domestic product. The expected increase in visitor numbers from China in the fourth quarter of 2024 is expected to benefit Las Vegas Sands’ operations in Singapore.

In summary, Susquehanna expects an increase in valuation and is confident in the improving fundamental trends for Las Vegas Sands, driven by the catalysts mentioned above. The company’s revised price target reflects this optimistic outlook on the company’s short-term performance and long-term growth prospects.

In other recent news, Las Vegas Sands Corp has received significant attention from various analysts. JPMorgan raised the company’s share price target to $60 and maintained an “overweight” rating due to optimism about property renovations in Macau.

However, CFRA downgraded the company’s shares from “Buy” to “Hold” and adjusted the price target to $51 due to concerns about the company’s dependence on the Macau and Asian markets. Wells Fargo is also expecting a strong fourth quarter for the company.

Las Vegas Sands Corp.’s results in the second quarter did not meet expectations, primarily due to disruptions caused by renovation work in Macau and Singapore. Nevertheless, Macquarie maintained an Outperform rating on the company, citing the long-term benefits of the renovations. Stifel also maintained a buy rating on Las Vegas Sands Corp despite concerns about the company’s operations in Macau.

Mizuho Securities raised its price target on Las Vegas Sands Corp to $52 and maintained an “Outperform” rating on the stock. The company reported a 24% increase in total gaming revenue across its Macau operations and is exploring new development opportunities in markets such as New York, Texas and Thailand.

In other developments Countless genetics (NASDAQ:) recently reported second-quarter revenue of $211.5 million, beating consensus expectations. The company raised its 2024 guidance to an estimated $835 million to $845 million. The company’s flagship product, the MyRisk panel for hereditary cancers, is expected to account for approximately 44% of the company’s revenue in 2023.

Myriad Genetics also secured a new patent for its molecular testing technology for residual disease. These are the latest developments for both Las Vegas Sands Corp and Myriad Genetics.

Investing Pro Insights

Las Vegas Sands’ recent performance aligns with Susquehanna’s optimistic outlook. According to InvestingPro data, the company has seen impressive growth, with revenue increasing 68.48% over the last twelve months (as of Q2 2024) to $11.43 billion. This growth is reflected in the stock’s strong performance, with a share price return of 26.55% in the past month and a return of 19.4% in the last three months.

InvestingPro Tips highlights Las Vegas Sands’ financial strength, noting that its cash assets exceed its short-term obligations and the company operates with moderate debt. This financial stability positions the company well to reap the expected benefits of China’s stimulus measures and increasing visitor numbers in Singapore.

The company’s impressive gross profit margins, as mentioned in InvestingPro tips, support its ability to benefit from the expected increase in gross gaming revenue. With a gross profit margin of 76.91% over the trailing twelve months (as of Q2 2024), Las Vegas Sands demonstrates strong operational efficiency.

It is worth noting that InvestingPro offers 10 additional tips for Las Vegas Sands that provide investors with a comprehensive analysis of the company’s financial health and market position.

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