Tuesday, March 29, 2011

Las Vegas Sands (LVS) The Real Thing?

Las Vegas Sands Corp. (NYSE:LVS) continues its upward surge after plummeting to $36.34 a share on March 18.

The biggest thing appearing to weigh on the short-term performance of the company is its heavy debt load, which they've used to generate growth.

They now owe $10.14 billion against $2.39 billion in unrestricted cash.

Commenting on the impact of federal investigations, UBS (NYSE:UBS) analyst Robin Farley she doesn't see this having an detrimental effect on the company, although there could be some long-term risk, which may already be priced into the share price of the company.

"While it could be some time before a formal conclusion, near term, we do not expect any impact on day-to-day operations in Singapore or Las Vegas," she wrote.

Las Vegas Sands was raised to a "Buy" by Farley, and closed Monday at $41.82, down $0.74, or 1.74 percent.

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