What's Next For Las Vegas Sands Stock?

Core Viewpoint - Las Vegas Sands (LVS) has experienced a decline in stock price despite a recovery in tourism and key markets, with financial performance still lagging behind pre-pandemic levels [1] Group 1: Financial Performance - LVS's revenue increased by 13% year-over-year to $8.4 billion in the first nine months of 2024, with a 14% increase in the Macau market and 11% growth in Singapore [3] - The company's consolidated adjusted property EBITDA was $3.3 billion, up from $2.9 billion a year ago, with Marina Bay Sands contributing $1.5 billion and Macau operations contributing $1.8 billion [3] - Earnings per share rose to $1.51, reflecting a 39% year-over-year increase [3] Group 2: Market Conditions and Future Outlook - LVS stock fell 9% since the beginning of 2024, while the S&P 500 increased by 24%, indicating underperformance relative to the broader market [1] - China's government plans to inject approximately 1 trillion yuan (~$142 billion) into state-owned banks, which is expected to benefit Macau's tourism sector significantly by 2025 [1] - Visitor numbers to Macau are forecasted to reach approximately 36 million by 2025, driven by the expansion of Beijing's Individual Visitor Scheme [1] Group 3: Strategic Developments - LVS has launched the Londoner Grand in Macau, introducing the first 300 Londoner Grand Suites, with more suites planned for future release [4] - Renovation efforts in Singapore are ongoing, with upgrades expected to be completed by mid-2025 [4] - The company has submitted a proposal for a $5 billion casino resort in Nassau County, Long Island, aiming to enter the New York market [4] Group 4: Stock Performance and Volatility - LVS stock performance has been volatile over the last four years, with annual returns of -37% in 2021, 28% in 2022, 3% in 2023, and 6% in 2024 [5] - The Trefis High Quality Portfolio has outperformed the S&P 500 with less volatility, indicating a more stable investment option compared to LVS [5]