Baron Funds, an asset management company, released its “Baron Real Estate Fund” second quarter 2022 investor letter. A copy of the same can be downloaded here. Baron Real Estate Fund (the “Fund”) declined 20.62% (Institutional Shares) in the second quarter of 2022, underperforming its primary benchmark, the MSCI USA IMI Extended Real Estate Index (the “MSCI Real Estate Index”), which declined 17.12%. The Fund underperformed the MSCI US REIT Index (the “REIT Index”), which declined 17.16%. In addition, you can check the top 5 holdings of the fund to know its best picks in 2022.
In its Q2 2022 investor letter, Baron Real Estate Fund mentioned Las Vegas Sands Corp. (NYSE:LVS) and explained its insights for the company. Founded in 1988, Las Vegas Sands Corp. (NYSE:LVS) is a Las Vegas, Nevada-based casino and resort company with a $29.1 billion market capitalization. Las Vegas Sands Corp. (NYSE:LVS) delivered a 1.35% return since the beginning of the year, while its 12-month returns are down by 0.26%. The stock closed at $38.15 per share on September 14, 2022.
Here is what Baron Real Estate Fund has to say about Las Vegas Sands Corp. (NYSE:LVS) in its Q2 2022 investor letter:
“Certain travel-related businesses remain cyclically depressed not secularly challenged and should rebound as economic strength re-emerges. For example, the business operations of Macau-centric casino and gaming companies such as Las Vegas Sands Corporation (NYSE:LVS) have yet to recover due to the ongoing COVID-19 challenges in China. We expect business to rebound sharply when economic growth recovers just as it did in Las Vegas. Las Vegas Sands Corporationis a global leader in the development and operation of luxury casino resorts in Macau and Singapore, and it maintains a liquid and investment grade balance sheet. It is currently valued at a significant discount to our assessment of replacement cost, and the company’s Macau operations are valued at only 7 times estimated cash flow.”
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Our calculations show that Las Vegas Sands Corp. (NYSE:LVS) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Las Vegas Sands Corp. (NYSE:LVS) was in 42 hedge fund portfolios at the end of the second quarter of 2022, compared to 39 funds in the previous quarter. Las Vegas Sands Corp. (NYSE:LVS) delivered a 16.88% return in the past 3 months.
In May 2022, we also shared another hedge fund’s views on Las Vegas Sands Corp. (NYSE:LVS) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q2 page.
Disclosure: None. This article is originally published at Insider Monkey.
