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Sands China (HK:1928)
:1928
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Sands China (1928) AI Stock Analysis

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HK:1928

Sands China

(OTC:1928)

Rating:77Outperform
Price Target:
HK$21.00
▲(6.44% Upside)
Sands China's strong technical momentum and attractive valuation are the most significant factors contributing to the stock's positive outlook. The company's financial recovery is promising, though managing leverage remains crucial.
Positive Factors
Growth Potential
Initial results from strengthened reinvestment efforts are promising, which supports maintaining a BUY recommendation with an unchanged target price.
Market Position
Sands China is well-positioned to outperform in the medium-term due to a solid 2024 performance and the full relaunch of Londoner Grand, which is expected to elevate customer experience and boost premium mass growth.
Revenue Growth
Sands China is expected to secure greater market share by gross gaming revenue over the medium-term, supported by its presence in the high-margin mass gaming segment.
Negative Factors
Economic Risks
Key risks include weaker economic growth in China, resurgence of the pandemic, and rising competition.
Revenue Challenges
Minimal year-to-date gross gaming revenue expansion in Macau and its tough base may lead to a low single-digit dip in first quarter revenue.

Sands China (1928) vs. iShares MSCI Hong Kong ETF (EWH)

Sands China Business Overview & Revenue Model

Company DescriptionSands China Ltd., an investment holding company, develops, owns, and operates integrated resorts and casinos in Macao. It owns and operates The Venetian Macao, The Londoner Macao, The Parisian Macao resort, The Plaza Macao, and The Sands Macao casino; the Cotai Expo, a convention and exhibition hall; and the Cotai Arena, an entertainment venue, as well as Cotai Water Jet ferry for leisure and business travelers. As of December 31, 2021, the company had 12,373 hotel rooms and suites, 151 restaurants and food outlets, 2.1 million square feet of retail malls, 1.7 million square feet of MICE space, 4 permanent theatres, a 15,000-seat arena, and casinos. It also offers ferry transportation and leasing services, and pontoon leasing; travel and tourism agency services; security services; human resources administration services; and mall management services, as well as outsourcing services, including information technology, accounting, hotel management, and marketing. The company was incorporated in 2009 and is headquartered in Taipa, Macau. Sands China Ltd. is a subsidiary of Las Vegas Sands Corp.
How the Company Makes MoneySands China makes money primarily through its integrated resort operations, which include gaming, hotel accommodations, food and beverage, retail, and entertainment. The most significant revenue stream is gaming, which includes both VIP and mass-market table games and slot machines. The company also generates substantial income from its hotel operations, with revenue coming from room bookings and related services. Additionally, Sands China's retail and dining facilities contribute to its earnings through tenant leases and direct operations. The company benefits from its strategic location in Macao, a global gaming and tourism hub, and its affiliation with Las Vegas Sands provides access to valuable branding and operational expertise. Partnerships with international luxury brands and entertainment providers further enhance Sands China's offerings, attracting a diverse clientele and boosting its revenue potential.

Sands China Financial Statement Overview

Summary
Sands China has shown strong financial recovery with improved revenue and profitability. However, high leverage and past volatility remain risks that need careful management.
Income Statement
78
Positive
Sands China has demonstrated a strong recovery from prior losses with a significant increase in total revenue from $1.605 billion in 2022 to $7.08 billion in 2024. The gross profit margin improved, indicating effective cost management, and the EBIT and EBITDA margins have returned to positive territory, reflecting operational efficiency. The net profit margin also turned positive, showcasing improved profitability. However, the revenue growth has been volatile over the years, indicating potential sensitivity to market conditions.
Balance Sheet
65
Positive
The company's debt-to-equity ratio is high due to substantial total debt, which poses a risk if not managed properly. However, an improvement in stockholders' equity from negative to positive indicates better financial health and stability. The equity ratio remains low, reflecting a high leverage position. While these improvements are promising, the balance sheet still reflects significant leverage risk.
Cash Flow
70
Positive
Sands China's cash flow position has strengthened, with a positive free cash flow in 2024 after previous years of negative free cash flow. The operating cash flow to net income ratio suggests sufficient cash generation relative to net income, indicating good cash conversion. While the free cash flow growth rate is notable, the volatility in cash flow from operations over the years suggests a need for cautious financial management.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue7.08B6.53B1.60B2.87B1.69B
Gross Profit4.18B5.24B487.00M1.73B549.00M
EBITDA2.15B2.02B-427.00M25.00M-557.00M
Net Income1.04B692.00M-1.58B-1.05B-1.52B
Balance Sheet
Total Assets11.17B10.26B10.56B10.09B10.55B
Cash, Cash Equivalents and Short-Term Investments1.97B1.36B790.00M678.00M861.00M
Total Debt8.16B8.33B10.20B7.95B7.04B
Total Liabilities10.14B10.26B11.26B9.21B8.62B
Stockholders Equity1.03B-4.00M-700.00M888.00M1.93B
Cash Flow
Free Cash Flow1.21B2.09B-676.00M-476.00M-1.83B
Operating Cash Flow2.07B2.29B-473.00M88.00M-816.00M
Investing Cash Flow-810.00M-180.00M-325.00M-634.00M-1.02B
Financing Cash Flow-658.00M-2.45B1.82B366.00M231.00M

Sands China Technical Analysis

Technical Analysis Sentiment
Positive
Last Price19.73
Price Trends
50DMA
17.18
Positive
100DMA
16.15
Positive
200DMA
17.49
Positive
Market Momentum
MACD
0.56
Positive
RSI
68.63
Neutral
STOCH
76.93
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1928, the sentiment is Positive. The current price of 19.73 is above the 20-day moving average (MA) of 18.90, above the 50-day MA of 17.18, and above the 200-day MA of 17.49, indicating a bullish trend. The MACD of 0.56 indicates Positive momentum. The RSI at 68.63 is Neutral, neither overbought nor oversold. The STOCH value of 76.93 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1928.

Sands China Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
HK$159.68B19.58203.51%11.07%6.04%50.60%
61
Neutral
$16.54B10.12-9.02%3.34%1.44%-22.51%
$2.99B3,960.000.03%
$8.18B12.98
5.19%
$22.36B19.6711.92%2.71%
$2.46B22.185.24%
$4.54B10.08
3.93%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1928
Sands China
19.73
6.16
45.34%
SJMHF
SJM Holdings
0.40
0.10
33.33%
MCHVF
MGM China Holdings
2.02
0.58
40.28%
GXYEF
Galaxy Entertainment Group
5.05
0.91
21.98%
NGCRF
NagaCorp
0.53
0.09
20.45%
WYNMF
Wynn Macau
0.79
0.13
19.70%

Sands China Corporate Events

Sands China Ltd. Schedules Board Meeting to Review Interim Results
Aug 5, 2025

Sands China Ltd. announced that its board of directors will meet on August 15, 2025, to review and approve the company’s interim financial results for the first half of the year and consider the possibility of paying an interim dividend. This announcement is significant as it could impact the company’s financial strategy and shareholder returns, reflecting its operational performance and market positioning.

The most recent analyst rating on (HK:1928) stock is a Buy with a HK$20.50 price target. To see the full list of analyst forecasts on Sands China stock, see the HK:1928 Stock Forecast page.

Sands China Reports on Controlling Shareholder’s Q2 Financial Results
Jul 28, 2025

Sands China Ltd. announced the financial results of its controlling shareholder, Las Vegas Sands Corp. (LVS), for the fiscal second quarter ended June 30, 2025. LVS, which owns a majority stake in Sands China, filed its quarterly report with the SEC, highlighting its Macao operations. The financial results, prepared under US GAAP, differ from Sands China’s reporting standards under IFRS. Investors are advised to consider these differences when evaluating the company’s performance. The announcement underscores the ongoing regulatory and economic challenges faced by Sands China in Macao, including potential impacts from changes in gaming laws and economic conditions.

The most recent analyst rating on (HK:1928) stock is a Buy with a HK$20.50 price target. To see the full list of analyst forecasts on Sands China stock, see the HK:1928 Stock Forecast page.

Sands China Ltd. Reports Q2 2025 Financial Results with Revenue Growth
Jul 23, 2025

Sands China Ltd. reported a 2.5% increase in total net revenues to US$1.79 billion for the second quarter of 2025, compared to the same period in 2024. Despite a decrease in net income from US$246 million to US$214 million, the company remains optimistic about growth opportunities in Macao and Singapore, supported by its strong financial position and recent capital investments.

The most recent analyst rating on (HK:1928) stock is a Buy with a HK$20.50 price target. To see the full list of analyst forecasts on Sands China stock, see the HK:1928 Stock Forecast page.

Sands China Ltd. Announces Successful 2025 AGM Resolutions
May 22, 2025

Sands China Ltd. announced the results of its 2025 Annual General Meeting, where all proposed resolutions were passed with significant majorities. Key resolutions included the approval of a final dividend, re-election of directors, and the granting of mandates to repurchase and issue shares. These decisions reflect the company’s strategic direction in maintaining shareholder value and ensuring effective governance. The re-appointment of Deloitte Touche Tohmatsu as auditors and the authorization of directors’ remuneration were also confirmed, indicating a continued focus on financial transparency and management stability.

The most recent analyst rating on (HK:1928) stock is a Buy with a HK$20.50 price target. To see the full list of analyst forecasts on Sands China stock, see the HK:1928 Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 08, 2025