We’re projecting over $1.5bn of net gaming revenues at MBS next year.  Rev per visitor should be above Highlands and close to Venetian Macau, while daily visitations will likely be below both.



LVS’s Marina Bay Sands (MBS) resort in Singapore will open in April and we are projecting a little over $1.5bn in gaming revenue in its first full year of operations (2011).  Venetian Macau generates approximately US$96 in gaming revenue per visitor while attracting around 60k visitors per day.  That property is on a run rate of over US$2bn in total annual gaming revenues.  The nearest casino to Singapore is Genting’s Highlands in Malaysia which as a monopoly, produced revenue per visitor of $68 and daily visitation of 53k.


Similar to most Macau casinos, Venetian benefits from an astronomical amount of VIP play, a level which Singapore is unlikely to attain.  Venetian’s Mass revenue per visitor is only $46, less than half of its total.  Despite a much smaller VIP book, MBS could benefit from a long length of stay given the extensive entertainment options.  The average visitor spends close to 4 days in Singapore while the average visitor to Macau spends about 36 hours.


In terms of daily visitation, MBS is unlikely to produce the levels of either Venetian or Highlands.  Singapore locals will be swayed by the S$100 levy.  Moreover, Highlands was operating as a monopoly and now, must compete with MBS and its sister operation, Resorts World, which already opened in Singapore.


Our US$1.5bn gaming revenue estimate for MBS contemplates revenue per visitor of US$90-100 and daily visitation of 40-50k.  The following chart shows the gaming revenue possibilities for MBS. 



Did the US Economy Just “Collapse”? "Worst Personal Spending Since 2009"?

This is a brief note written by Hedgeye U.S. Macro analyst Christian Drake on 4/28 dispelling media reporting that “US GDP collapses to 0.7%, the lowest number in three years with the worst personal spending since 2009.”

read more

7 Tweets Summing Up What You Need to Know About Today's GDP Report

"There's a tremendous opportunity to educate people in our profession on how GDP is stated and projected," Hedgeye CEO Keith McCullough wrote today. Here's everything you need to know about today's GDP report.

read more

Cartoon of the Day: Crash Test Bear

In the past six months, U.S. stock indices are up between +12% and +18%.

read more

GOLD: A Deep Dive on What’s Next with a Top Commodities Strategist

“If you saved in gold over the past 20 to 25 years rather than any currency anywhere in the world, gold has outperformed all these currencies,” says Stefan Wieler, Vice President of Goldmoney in this edition of Real Conversations.

read more

Exact Sciences Up +24% This Week... What's Next? | $EXAS

We remain long Exact Sciences in the Hedgeye Healthcare Position Monitor.

read more

Inside the Atlanta Fed's Flawed GDP Tracker

"The Atlanta Fed’s GDPNowcast model, while useful at amalgamating investor consensus on one singular GDP estimate for any given quarter, is certainly not the end-all-be-all of forecasting U.S. GDP," writes Hedgeye Senior Macro analyst Darius Dale.

read more

Cartoon of the Day: Acrophobia

"Most people who are making a ton of money right now are focused on growth companies seeing accelerations," Hedgeye CEO Keith McCullough wrote in today's Early Look. "That’s what happens in Quad 1."

read more

People's Bank of China Spins China’s Bad-Loan Data

PBoC Deputy Governor Yi says China's non-performing loan problem has “pretty much stabilized." "Yi is spinning. China’s bad-debt problem remains serious," write Benn Steil and Emma Smith, Council on Foreign Relations.

read more

UnderArmour: 'I Am Much More Bearish Than I Was 3 Hours Ago'

“The consumer has a short memory.” Yes, Plank actually said this," writes Hedgeye Retail analyst Brian McGough. "Last time I heard such arrogance was Ron Johnson."

read more

Buffalo Wild Wings: Complacency & Lack of Leadership (by Howard Penney)

"Buffalo Wild Wings has been plagued by complacency and a continued lack of adequate leadership," writes Hedgeye Restaurants analyst Howard Penney.

read more

Todd Jordan on Las Vegas Sands Earnings

"The quarter actually beat lowered expectations. Overall, the mass segment performed well although base mass lagging is a concern," writes Hedgeye Gaming, Lodging & Leisure analyst Todd Jordan on Las Vegas Sands.

read more

An Update on Defense Spending by Lt. Gen Emo Gardner

"Congress' FY17 omnibus appropriation will fully fund the Pentagon's original budget request plus $15B of its $30B supplemental request," writes Hedgeye Potomac Defense Policy analyst Lt. Gen Emerson "Emo" Gardner USMC Ret.

read more