Shares of Las Vegas Sands (LVS) plummeted 5.01% during Tuesday's intraday trading session, following a downgrade from Morgan Stanley analysts. The investment bank lowered its rating on LVS to Equalweight from Overweight and cut the price target to $51 from $54.
According to Morgan Stanley's analysis, the key factors behind the downgrade were concerns over limited earnings growth prospects for Las Vegas Sands and potential risks in the company's major markets, particularly Macau and Singapore.
The negative analyst action highlights investor worries about the casino operator's ability to sustain robust financial performance amid challenges in these critical regions. Macau, the world's largest gambling hub, has faced COVID-19 disruptions and regulatory changes, while Singapore's gaming market remains highly competitive.