Shares of Las Vegas Sands (LVS) soared over 7% in after-hours trading on Wednesday, driven by strong Q4 growth in Singapore, which took the spotlight. The company’s iconic resort in Singapore, Marina Bay Sands, reported an adjusted property EBITDA of $537 million, the highest among all its properties. Looking ahead, the company is well-positioned for further expansion in Singapore as Asia’s travel and tourism sectors continue to grow.
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Las Vegas Sands owns iconic resorts, offering luxury stays, premium gaming, and entertainment, with a strong presence in Asia and the U.S.
Las Vegas Sands Reports Mixed Q4 Results
The company achieved industry-leading growth in Singapore, driven by new suite offerings and enhanced services. On the other hand, growth in its Macao operations, including the Venetian Macao, a key contributor to its net revenue, slowed. Consequently, revenue from Macao operations declined by approximately 5% to $1.86 billion.
The company stated that the Macau market saw some recovery during the quarter; however, spending per visitor in the market stayed below pre-pandemic levels.
Overall, Las Vegas Sands reported an adjusted profit of $0.54 per share for Q4, falling short of the analysts’ average estimate of $0.58. Meanwhile, the company’s total revenue slightly declined to around $2.9 billion, surpassing analysts’ estimate of $2.87 billion. Similarly, operating income decreased to $590 million from $710 million in the previous year’s quarter.
Regarding shareholder returns, the company bought back $450 million worth of LVS shares through its share repurchase program during the quarter and distributed its regular quarterly dividend of $0.20.
Is Las Vegas Sands a Good Stock to Buy?
Analysts remain highly optimistic about LVS stock, with a Strong Buy consensus rating based on six Buys and one Hold. The average price target for LVS is $61.57, suggesting an upside potential of 42% from its current price. These ratings could change after these results.
Year-to-date, LVS stock has declined by more than 15%.
