[ET Net News Agency, 23 October 2019] Daiwa Research lowered its target price for Sands
China (01928) to HK$48 from HK$50.1 and maintained its "buy" rating.
The research house said Sands' share price fell by 5% in 3Q, outperforming its peers and
the market by 5% and 3.6%, respectively.
Due to the disruption from the HK protests and the company's focus on the mass-centric
market, Daiwa expects Sands' VIP GGR from the Parisian, Plaza and Venetian to drop
slightly more than the industry's (given its lower VIP base). On the mass side, Daiwa sees
some slight GGR impact on the Venetian over the cancellation of package tours to Hong
Kong/Macau due to the unrest in Hong Kong.
It estimated Sands' 3Q adjusted property EBITDA at US$748m (-2.2% QoQ, -0.8% YoY). (KL)