Las Vegas Sands Stock is so bad, down by 33 percent year to date. Sands stock remains stranded 40 percent below its 52 weeks high. Despite all the warning signs, one analyst is bullish about Sands, the operator of Londoner Macau.
Craig Johnson, chief technician at Piper Sandler, in a recent interview with CNBC, insisted that despite Las Vegas Sands stock trading so bad, that it is actually could be good. LVS share closed under $40 on 3rd August. The gaming equity still resides at its lowest levels since incept of the COVID-19 pandemic.
LVS remains the largest US gaming by market capitalization. Despite that, the gaming company has no operations in the US. LVS sold its Las Vegas Strip properties last year that included Venetian, Palazzo, and Sands Convention Center.
That is why LVS has experienced difficulties recovering, Macau and Singapore market remains stranded. Macau, for instance, is still facing travel restrictions due to the increase of COVID-19 cases in China mainland. Marina Bay Sands in Singapore is currently closed as cleaning continues to eliminate traces of COVID detected in the facility.
It is tremendous pain, given that 80 percent of Sands revenue comes from Singapore and Macau. There are still clear challenges as further COID lockdowns can be implemented. However, Johnson believes that COVID will one day pass away, and gambling centers will open again.