Las Vegas Sands Nears Buy Range As Barclays Upgrades Sands, Wynn
Shares of Las Vegas Sands (LVS) are rising closer to buy territory after Barclays upgraded both that casino operator and Wynn Resorts (WYNN) to overweight from equal weight, citing the turnaround of Macau's gaming industry.
Analyst Felicia Hendrix sees the start of a multiyear growth cycle, according to the note acquired by The Fly, which said she bumped up her price target on Sands to 68 from 55 and raised Wynn's price goal to 144 from 87.
Las Vegas Sands rose 2.3% to 58.78 near midday on the stock market today. Sands are in a cup-with-handle base with a 59.95 potential entry.
Wynn Resorts climbed 3.8% to 126.91, nearly topping an all-time intraday high of 127.20. Wynn is well extended after clearing a 109.60 buy point from a flat base in March.
Several factors have given casino stocks a lift lately, including better-than-expected earnings results and a string of gambling revenue gains in Macau, although the Macau government's plans to track ATM withdrawals — a bid to quash money laundering and reduce cash flow out of China — recently weighed on the likes of Las Vegas Sands, Wynn Resorts and MGM Resorts International (MGM).
MGM shares rose 0.3% to 31.08 intraday, still in buy range from a 30.72 buy point. Melco Resorts & Entertainment (MLCO) advanced 2.7% to 22.16, well extended from a breakout much like Wynn.