Photo by Kaysha on Unsplash 

Casino and gambling stock Las Vegas Sands (NYSE: LVS) was one of the day’s top gainers, surging 13% higher after the company posted strong third quarter earnings.

Las Vegas Sands, which doesn’t actually own any properties in Las Vegas, had a monster quarter, easily topping revenue and earnings estimates.

• Revenue: $3.33 billion, up 24% year-over-year. This topped estimates of $2.68 billion.
• Net income: $491 million, up 39% year-over-year.
• Earnings: 61 cents per share, up 60% year-over-year.
• Adjusted earnings: 78 cents per share, up 77% year-over-year. This beat estimates of 61 cents per share.

Las Vegas Sands posted strong revenue across the board, led by its casinos, which saw revenue increase 31% to $2.5 billion. Room revenue increased 19% to $374 million.

The Londoner Macao was a cash cow, generating $686 million in revenue, a 49% year-over-year increase. Its largest property, the Venetian Macau made $692 million in revenue, which was flat compared to the same quarter a year ago.

The other big winner was the Marina Bay Sands in Singapore, which made $1.4 billion in revenue, a 56% increase over Q3 of 2024.

Marina Bay the most profitable

The Londoner and Marina Bay were by far the most profitable, too. The Londoner generated $214 billion in adjusted EBITDA. Up 76% while Marine Bay had $743 million in adjusted EBITDA, up 83%. Marina Bay earnings were 52% of revenue, by far the largest percentage. Overall, earnings were about 40% of overall revenue for the company.

“In Macao, our decades-long commitment to making investments that enhance the business and leisure tourism appeal of Macao and support its development as a world center of business and leisure tourism positions us well for future growth,” Robert Goldstein, chairman and CEO, said. “In Singapore, Marina Bay Sands once again delivered outstanding financial and operating performance. Our new suite product and elevated service offerings position us for additional growth as travel and tourism spending in Asia expands.”

Las Vegas Sands is well-positioned to invest in its for future growth with $3.5 billion in cash and $2.8 billion in cash flow, which is among the best in the industry.

While it offered no specific guidance or outlook, Goldstein said the company is targeting $2.7B to $2.9B in adjusted EBITDA at its Macau properties. Currently through 9 months they have $1.7B. He also said Marina Bay should exceed $2.5 billion in EBITDA for 2025, while the Londoner is also on target for annual growth.

The improving financials have enabled the company to boost its quarterly dividend by 20 cents in 2026 to 30 cents per share and $1.20 per share annually.

Is Las Vegas Sands a buy?

Las Vegas Sands got a slew of analyst upgrades Thursday, from Stifel, JP Morgan, Susquehanna, Mizuho, and Barclays. JP Morgan, for example, raised the target to $70 per share, which would be 23% over the current price. It is a consensus buy among analysts.

With its strength in Asian growth markets, without Las Vegas to slow it down, Las Vegas Sands looks good for the long term.

Its forward P/E ratio is low at 16, but its low long-term five-year PEG ratio makes it look like a bargain compared to its future growth potential. Las Vegas Sands stock is one stock to put on your radar.

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