5 Stocks to Sell Now According to Billionaire David Tepper

3. Las Vegas Sands Corp. (NYSE:LVS)

Number of Hedge Fund Holders: 42

Las Vegas Sands Corp. (NYSE:LVS) is a Nevada-based casino and resort company. Apart from the United States, the company also operates in Singapore and China.

In the previous four quarters, Las Vegas Sands Corp. (NYSE:LVS) has only outperformed its estimates in a single quarter. The primary reason is COVID lockdowns, which put pressure on all resorts and casino businesses. For Las Vegas Sands Corp. (NYSE:LVS), it’s significantly worrisome as it sold some of its Las Vegas strip properties and relies majorly on its businesses in Macao, where the majority of the bettors originate from China. In early August, Macau’s gaming bureau reported a 95.3% decline on a YoY basis in gross revenues from the games of fortune. 

According to the Insider Monkey database, 42 hedge funds had a stake in Las Vegas Sands Corp. (NYSE:LVS), compared to 39 in the previous quarter. Citadel Investment Group was the most prominent position holder in the second quarter, with over 3.6 million shares worth $121.79 million. Appaloosa Management dumped all of its stake in the company in Q2 2022 and was previously added to the portfolio in Q1 2022.

Here is what Baron Funds had to say about Las Vegas Sands Corp. (NYSE:LVS) in its Q1 2022 investor letter:

“Following a 50%-plus decline in the share price of Las Vegas Sands Corporation from its 2021 peak share price of $67 to $34, we began acquiring shares of this global leader in the development and operation of luxury casino resorts in the fourth quarter of 2021 and continued to acquire shares in the most recent quarter. We believe Las Vegas Sands’ market-leading resorts in Macau and Singapore position the company for strong growth when travel and tourism spending rebounds. Las Vegas Sands maintains a liquid and investment grade balance sheet and is currently valued at a significant discount to our assessment of replacement cost.”