NEW YORK (TheStreet) -- Shares of Las Vegas Sands Corp. (LVS) are down 3% to $60.15 in midday trading Tuesday after the Nevada Gaming Control Board reported that casinos brought in $902 million in September, a 6% drop in revenue compared to one year earlier.
The Las Vegas strip gambling revenue fell 12% to $495 million from last year, while downtown revenue declined 4% to $43 million.
Reno casinos posted revenue of $48 million in September, which is lower by 2% year over year. South Lake Tahoe gambling revenue of $24 million fought the trend and rose 7% year over year.
Gambling revenue in the first three months of the fiscal year are down 3% over the same period in 2013.
Similarly, shares of Wynn Resorts, Ltd. (WYNN) are down 0.29% to $183.13 today.
Separately, TheStreet Ratings team rates LAS VEGAS SANDS CORP as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate LAS VEGAS SANDS CORP (LVS) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its growth in earnings per share and increase in net income. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself."
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- LAS VEGAS SANDS CORP has improved earnings per share by 9.2% 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 $2.79 versus $1.85 in the prior year. This year, the market expects an improvement in earnings ($3.54 versus $2.79).
- The net income growth from the same quarter one year ago has exceeded that of the S&P 500 and greatly outperformed compared to the Hotels, Restaurants & Leisure industry average. The net income increased by 7.2% when compared to the same quarter one year prior, going from $626.74 million to $671.71 million.
- Regardless of the drop in revenue, the company managed to outperform against the industry average of 10.2%. Since the same quarter one year prior, revenues slightly dropped by 1.0%. The declining revenue has not hurt the company's bottom line, with increasing earnings per share.
- LVS has underperformed the S&P 500 Index, declining 10.89% from its price level of one year ago. Looking ahead, although the push and pull of the overall market trend could certainly make a critical difference, we do not see any strong reason stemming from the company's fundamentals that would cause a continuation of last year's decline. In fact, the stock is now selling for less than others in its industry in relation to its current earnings.
- You can view the full analysis from the report here: LVS Ratings Report