Lates News

Goldman Sachs released a research report stating that Sands China announced a mid-term dividend of 0.25 Hong Kong dollars per share, which is the same as the end of last year, but the dividend payout ratio has increased to 63%. Although the dividend of Sands may disappoint some investors compared to Galaxy Entertainment's increased dividend, the bank believes that this move is in line with expectations due to recent fluctuations in the group's casino revenue market share, reflecting significant pressure on the business that requires increasing promotional activities to compete. In addition, Sands China's management previously stated that the short-term goal is to increase gaming volume to achieve EBITDA close to the $2.6 to $2.7 billion level, a target that the bank expects to be achieved by 2026. Based on the recovery of the business and market share, the bank now expects the dividend to remain at 0.25 Hong Kong dollars by the end of 2025, totaling 0.5 Hong Kong dollars for the year; assuming the dividend gradually increases to 0.8 Hong Kong dollars by 2026 and reaches 1 Hong Kong dollar by 2027. Goldman Sachs has raised Sands China's target price from 21.5 Hong Kong dollars to 21.6 Hong Kong dollars, maintaining a "buy" rating.