Why Las Vegas Sands (LVS) Stock Is Jumping Today

Las Vegas Sands (LVS) stock is gaining on Monday afternoon alongside other U.S. casino stocks due primarily to upbeat Macau July trends.
By Kaya Yurieff ,

NEW YORK (TheStreet) -- Shares of Las Vegas Sands (LVS) - Get Report are climbing 4.71% to $46.21 on Monday afternoon alongside other U.S. casino stocks on generally positive Macau July trends.

The Las Vegas-based company operates casinos and resorts. The company has several properties in Macau, such as the Sands Macao and the Venetian Macao.

Several research firms pointed to strong Macau gaming revenue in the first 10 days of July and said results were tracking well above previous trends, CNBC.com reports.

"According to our industry sources, based on gaming play for the first 10 days of July, gross gaming revenues in Macau for the month is estimated to be tracking up approximately 8.2% year-over-year," David Katz, an analyst at Telsey Advisory, in a research note cited by CNBC.com.

Katz added that this positive trend includes electronic gaming estimates for July, which would make monthly GGR essentially equivalent to approximately $2.53 billion.

"These results are well ahead of the previous trends, which have been running at a rate of an 11 percent decline," he said, "The result is a solid positive data point for the related stocks and is supportive of our positive thesis on MGM Resorts (MGM) and Wynn Resorts (WYNN) as well as LVS."

UBS also said Macau had a "strong start to July," CNBC.com noted.

Shares of MGM are up 0.76% to $23.13 and Wynn stock is popping 5.52% to $94.72 this afternoon.

Separately, TheStreet Ratings Team has a "Hold" rating with a score of C on Las Vegas Sands stock.

The primary factors that have impacted the rating are mixed. The company's strengths can be seen in multiple areas, such as its good cash flow from operations, expanding profit margins and largely solid financial position with reasonable debt levels by most measures.

But the team also finds weaknesses including feeble growth in the company's earnings per share, deteriorating net income and disappointing return on equity.

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

You can view the full analysis from the report here: LVS

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