TLDR
- Barrow Hanley Mewhinney & Strauss increased its LVS position by 43.8%, adding 1.66 million shares worth ~$293 million
- Schroder Investment Management Group grew its stake by 4,504%, now holding over 1 million shares
- LVS beat Q4 earnings estimates — $0.85 EPS vs $0.77 expected — and revenue jumped 26% year-over-year to $3.65 billion
- CEO Robert Goldstein sold ~1.2 million shares in December at $66.68, totaling nearly $80 million
- LVS raised its quarterly dividend from $0.25 to $0.30, with most analysts rating the stock a “Moderate Buy” with a $68.55 average target
Las Vegas Sands (LVS) stock opened at $54.25 on Wednesday, up 0.6% on the day. The stock is trading well below its 52-week high of $70.45, and below both its 50-day moving average of $58.26 and its 200-day average of $58.99.
Two institutional investors made big moves into the stock during Q3. Barrow Hanley Mewhinney & Strauss lifted its position by 43.8%, picking up an extra 1,660,823 shares. The firm now holds 5,454,013 shares valued at roughly $293 million, equal to about 0.81% of the company.
Schroder Investment Management Group went even bigger — percentage-wise. The firm grew its stake by 4,504.2%, adding 1,006,463 shares to reach a total of 1,028,808 shares worth $55.3 million. That’s a near-complete rebuild of their position.
Several smaller funds also added exposure in the quarter. Smartleaf Asset Management grew its holding by 549.5%. MAI Capital Management was up 78.4%. Westside Investment Management added 48.0%. Institutional and hedge fund ownership now stands at 39.16% of the stock.
On the earnings front, LVS delivered a clean beat in Q4. The company posted EPS of $0.85, clearing the $0.77 consensus by $0.08. Revenue came in at $3.65 billion, well ahead of the $3.33 billion analysts expected.
That revenue figure was up 26% compared to the same quarter a year ago. EPS also improved sharply — LVS posted just $0.54 per share in Q4 of the prior year. The company’s return on equity was 91.40%, with a net margin of 12.50%.
Dividend Raised
LVS lifted its quarterly dividend from $0.25 to $0.30 per share. That works out to $1.20 annualised, giving the stock a yield of 2.2% at current prices. The dividend was paid on February 18th. The payout ratio sits at 51.28%.
Despite the strong earnings report, insiders were selling in December. CEO Robert Goldstein offloaded 1,198,650 shares on December 17th at an average price of $66.68, generating nearly $80 million. Major shareholder Miriam Adelson also sold 77,991 shares at $67.56 the day before. Over the last 90 days, insiders have sold a combined 2,460,896 shares worth $164.2 million.
Insider ownership now stands at 1.20% of the total stock.
Analyst Targets
Wall Street is still broadly positive on the name. Twelve analysts rate LVS a Buy, six say Hold. The consensus price target is $68.55 — about 26% above current levels.
Goldman Sachs trimmed its target from $80 to $73 in January but kept a Buy. Argus cut from $80 to $60, also retaining Buy. HSBC raised its target from $67.50 to $73.00. Jefferies moved from $78 to $72, maintaining Buy.
Morgan Stanley set a $66 target in February. Citigroup lifted its target to $76.75 in December with a Buy rating.
Analysts as a group expect LVS to post $2.60 EPS for the full year.
