[ET Net News Agency, 19 March 2021] Morgan Stanley lifted its target price for Sands
China (01928) to HK$40 from HK$34 and maintained its "equal-weight" rating.
The research house increased Sands's 2022 EBITDA by 7% as Morgan raised its Mass revenue
by 6% (to +11% versus 2019) and lower its 2022e opex by 7% (to -7% versus 2019). Thus, its
2022 EPS was 11% higher.
Sands opened its 300 Four Seasons Suites in 2020 and 600 Londoner Hotel Suites in
February 2021. Morgan believes this could help Sands to gain/maintain market share.
Furthermore, Morgan's more bullish view on the sector's future growth for China's macro
backdrop also leads to Sands's 2023 EBITDA and EPS being 8% and 11% higher. (KL)