Trade-Ideas: Las Vegas Sands (LVS) Is Today's Weak On High Relative Volume Stock
Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.Trade-Ideas LLC identified Las Vegas Sands (LVS) as a weak on high relative volume candidate. In addition to specific proprietary factors, Trade-Ideas identified Las Vegas Sands as such a stock due to the following factors:
- LVS has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $208.7 million.
- LVS has traded 2.7 million shares today.
- LVS is trading at 2.18 times the normal volume for the stock at this time of day.
- LVS is trading at a new low 3.00% below yesterday's close.
'Weak on High Relative Volume' stocks are worth watching because major volume moves tend to indicate underlying activity such as material stock news, analyst downgrades, insider selling, selling from 'superinvestors,' or that hedge funds and traders are piling out of a stock ahead of a catalyst. Regardless of the impetus behind the price and volume action, when a stock moves with strength and volume it can indicate the start of a new trend on which early investors can capitalize (or avoid losses by trimming weak positions). In the event of a well-timed trading opportunity, combining technical indicators with fundamental trends and a disciplined trading methodology should help you take the first steps towards investment success.EXCLUSIVE OFFER: Get the inside scoop on opportunities in LVS with the Ticky from Trade-Ideas. See the FREE profile for LVS NOW at Trade-IdeasMore details on LVS: Las Vegas Sands Corp. develops, owns, and operates integrated resorts in Asia and the United States. The stock currently has a dividend yield of 2.5%. LVS has a PE ratio of 28.9. Currently there are 15 analysts that rate Las Vegas Sands a buy, no analysts rate it a sell, and 2 rate it a hold.The average volume for Las Vegas Sands has been 5.4 million shares per day over the past 30 days. Las Vegas Sands has a market cap of $46.0 billion and is part of the services sector and leisure industry. The stock has a beta of 1.89 and a short float of 2.2% with 2.61 days to cover. Shares are up 20.7% year to date as of the close of trading on Wednesday.STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.TheStreetRatings.com Analysis:TheStreet Quant Ratings rates Las Vegas Sands as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, growth in earnings per share, increase in net income, good cash flow from operations and solid stock price performance. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.Highlights from the ratings report include:
- The revenue growth came in higher than the industry average of 0.5%. Since the same quarter one year prior, revenues rose by 19.5%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
- LAS VEGAS SANDS CORP has improved earnings per share by 13.1% in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, LAS VEGAS SANDS CORP increased its bottom line by earning $1.85 versus $1.56 in the prior year. This year, the market expects an improvement in earnings ($2.85 versus $1.85).
- The net income growth from the same quarter one year ago has exceeded that of the S&P 500 and the Hotels, Restaurants & Leisure industry average. The net income increased by 14.6% when compared to the same quarter one year prior, going from $498.94 million to $571.96 million.
- Net operating cash flow has increased to $885.52 million or 32.67% when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of 3.36%.
- Investors have apparently begun to recognize positive factors similar to those we have mentioned in this report, including earnings growth. This has helped drive up the company's shares by a sharp 41.05% over the past year, a rise that has exceeded that of the S&P 500 Index. We feel that the stock's sharp appreciation over the last year has driven it to a price level which is now somewhat expensive compared to the rest of its industry. The other strengths this company shows, however, justify the higher price levels.
- You can view the full Las Vegas Sands Ratings Report.
STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV