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Las Vegas Sands (LVS) Moves 11.8% Higher: Will This Strength Last?

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Las Vegas Sands (LVS - Free Report) shares rallied 11.8% in the last trading session to close at $39.66. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 6.5% loss over the past four weeks.

Las Vegas Sands rally is largely driven by optimism regarding the company’s traffic owing to easing of restrictions in the Macau region. Positive investor sentiments were witnessed on the reintroduction of e-visa program for mainland travelers and allowance of group tours.

This casino operator is expected to post quarterly loss of $0.19 per share in its upcoming report, which represents a year-over-year change of +57.8%. Revenues are expected to be $975.74 million, up 13.9% from the year-ago quarter.

Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.

For Las Vegas Sands, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on LVS going forward to see if this recent jump can turn into more strength down the road.

The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Las Vegas Sands belongs to the Zacks Gaming industry. Another stock from the same industry, International Game Technology (IGT - Free Report) , closed the last trading session 0.7% lower at $15.33. Over the past month, IGT has returned -18.8%.

IGT's consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.29. Compared to the company's year-ago EPS, this represents a change of -6.5%. IGT currently boasts a Zacks Rank of #3 (Hold).


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