Morgan Stanley released a research report stating that they believe $SANDS CHINA LTD (01928.HK)$ the stock price will outperform the market in the next 60 days, with a probability of over 80%, target price of 20.5 Hong Kong dollars. The rating is raised to 'shareholding'. Visible catalysts include the peak of renovation has passed, improving market share, and dividends gradually increasing from 2025 onwards.
The bank mentioned that the recent decline in Sands China's stock price has made short-term valuations more attractive. Morgan Stanley believes that the fundamentals of Macau casino stocks still remain resilient. China's recent stimulus economic policies have been favorable for investor sentiment, which is believed to also benefit Macau casino stocks. If its parent company LVS continues to increase its shareholding in Sands China, it will also be beneficial for the stock.