J.P. Morgan Raising Estimates On Las Vegas Sands (LVS)

J.P. Morgan Chase & Co. is raising estimates on Las Vegas Sands LVS. It has an Overweight rating and is raising its price target to $58 on shares. In a note to clients, J.P. Morgan writes, "For LVS, we are raising our 1Q11 estimates, primarily related to better than expected Macau market growth. Our 1Q11 property-level EBITDAR estimate of $811.1m is above consensus. In Macau, we are increasing our 1Q11 EBITDAR estimate to $361.4m from our previously modeled $322.1m given stronger than expected (very impressive in our view) sequential mass market and VIP market growth. In Singapore, our 1Q11 EBITDAR estimate goes to $337.1m from $323.8m. Recall, in our recent Macau and Singapore note we noted that we think that mass, slot, and VIP volumes for MBS's 1Q11 showed nice sequential improvements versus 4Q10 levels, something that should improve current investor sentiment for LVS, given that was an issue of concern for investors in the 4Q10 when VIP volumes were down sequentially. We believe that February was an all-time record for volumes and EBITDA (which intuitively makes sense given the Golden week holiday) at MBS. Please see our note from March 22 for additional takeaways from our Macau and Singapore meetings. Our 2011 EBITDAR goes to $3.245b from $3.161b on higher than previously forecasted Macau and Singapore estimates. Additionally, our 2012 and 2013 EBITDAR estimates go to $3.992b and $4.443b, respectively, from $3.915b and $4.336b." Shares of LVS gained 2 cents yesterday to close at $44.86.