Apparently, Macau isn’t stabilizing like the stock prices of WYNN, MPEL and LVS have been suggesting as of late.
Both Stifel and JP Morgan have downgraded LVS, after reporting abysmal earnings, citing Macau as a major source for concern.
Stifel lowers tgt to $56 from $58. They expect some pressure on Las Vegas Sands and all the Macau related names. As they’ve highlighted recently they believed these names had gotten ahead of themselves and any hiccup with the Macau story would cause a swift correction. Given the miss (not hold adjusted) coupled with the fact management noted March was a poor month for them and alluded to the fact April isn’t shaping up to be great, this could be the trigger that sends shares lower near-term.
LVS missed by 18 cents– and also on the top line.
