This morning, LVS opened at $41.45. So far today the stock has hit a high of $41.93 and a low of $40.70. As of 12:55, LVS is trading at $41.75, down $1.72 (-4.0%). The chart for LVS looks bullish and S&P gives LVS a positive 4 STARS (out of 5) buy ranking.
For a bearish hedged play on this stock, I would consider a June bear-call credit spread above the $55 range. A bear-call credit spread is an options position that combines the purchase and sale of call options to hedge risk in case the stock doesn't do what you think but still leverage nice returns. For this particular trade, we will make a 4.8% return in three months as long as LVS is below $55 at June expiration. LVS would have to rise by more than 31% before we would start to lose money. Learn more about this type of trade here.
LVS hasn't been above $55 except for one day in the past year and has shown resistance around $49 recently.
Brent Archer is an options analyst and writer at Investors Observer.
DISCLOSURE: Mr. Archer owns and/or controls diversified portfolios of long and short stock and option positions that may include holdings in companies he writes about. At publication time, Brent neither owns nor controls positions in LVS.