Cubist Systematic Strategies LLC Makes New Investment in Red Rock Resorts, Inc. $RRR

Key Points

• Cubist Systematic Strategies LLC acquired 51,332 shares of Red Rock Resorts, Inc. valued at approximately $2.226 million in the first quarter, based on recent SEC filings.
• Red Rock Resorts recently reported an EPS of $0.95, significantly beating analyst estimates of $0.40, with quarterly revenue of $526.27 million, up 8.2% year-over-year.
• The company announced a quarterly dividend of $0.25, with a payout ratio of 34.01%, set to be paid to shareholders on September 30th.

Cubist Systematic Strategies LLC bought a new position in shares of Red Rock Resorts, Inc. (NASDAQ:RRR - Free Report) during the first quarter, according to its most recent filing with the SEC. The fund bought 51,332 shares of the company's stock, valued at approximately $2,226,000.

Other hedge funds also recently made changes to their positions in the company. GAMMA Investing LLC raised its stake in shares of Red Rock Resorts by 7,978.4% during the 1st quarter. GAMMA Investing LLC now owns 8,240 shares of the company's stock worth $357,000 after purchasing an additional 8,138 shares during the period. Vaughan Nelson Investment Management L.P. raised its stake in shares of Red Rock Resorts by 19.2% during the 1st quarter. Vaughan Nelson Investment Management L.P. now owns 1,602,368 shares of the company's stock worth $69,494,000 after purchasing an additional 258,310 shares during the period. SG Americas Securities LLC purchased a new stake in Red Rock Resorts in the 1st quarter worth about $750,000. Malaga Cove Capital LLC increased its holdings in Red Rock Resorts by 85.3% in the 1st quarter. Malaga Cove Capital LLC now owns 24,783 shares of the company's stock worth $1,075,000 after acquiring an additional 11,406 shares during the last quarter. Finally, KBC Group NV increased its holdings in Red Rock Resorts by 44.6% in the 1st quarter. KBC Group NV now owns 2,887 shares of the company's stock worth $125,000 after acquiring an additional 891 shares during the last quarter. 47.84% of the stock is currently owned by institutional investors.

Insider Transactions at Red Rock Resorts

In other news, CFO Stephen Lawrence Cootey sold 121,400 shares of the business's stock in a transaction dated Friday, August 1st. The stock was sold at an average price of $60.04, for a total transaction of $7,288,856.00. Following the completion of the transaction, the chief financial officer owned 260,268 shares of the company's stock, valued at approximately $15,626,490.72. The trade was a 31.81% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP Jeffrey T. Welch sold 56,653 shares of the business's stock in a transaction dated Friday, August 1st. The stock was sold at an average price of $60.23, for a total value of $3,412,210.19. Following the transaction, the executive vice president directly owned 314,767 shares of the company's stock, valued at $18,958,416.41. The trade was a 15.25% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 262,703 shares of company stock valued at $15,764,672. 53.81% of the stock is owned by corporate insiders.

Red Rock Resorts Price Performance

RRR stock traded down $0.33 during mid-day trading on Friday, reaching $61.34. 314,411 shares of the company traded hands, compared to its average volume of 681,223. The company has a debt-to-equity ratio of 11.28, a current ratio of 0.89 and a quick ratio of 0.84. The company has a market capitalization of $6.47 billion, a P/E ratio of 20.86, a P/E/G ratio of 2.49 and a beta of 1.46. Red Rock Resorts, Inc. has a 52-week low of $35.09 and a 52-week high of $63.60. The company has a fifty day moving average price of $58.66 and a 200-day moving average price of $50.36.

Red Rock Resorts (NASDAQ:RRR - Get Free Report) last issued its quarterly earnings data on Tuesday, July 29th. The company reported $0.95 EPS for the quarter, topping the consensus estimate of $0.40 by $0.55. Red Rock Resorts had a return on equity of 59.97% and a net margin of 8.89%.The company had revenue of $526.27 million during the quarter, compared to analyst estimates of $485.44 million. During the same quarter in the previous year, the firm earned $0.59 earnings per share. Red Rock Resorts's revenue was up 8.2% on a year-over-year basis. As a group, analysts anticipate that Red Rock Resorts, Inc. will post 1.76 earnings per share for the current year.

Red Rock Resorts Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 30th. Stockholders of record on Monday, September 15th will be issued a dividend of $0.25 per share. The ex-dividend date of this dividend is Monday, September 15th. This represents a $1.00 annualized dividend and a dividend yield of 1.6%. Red Rock Resorts's payout ratio is presently 34.01%.

Analyst Ratings Changes

Several equities research analysts recently weighed in on RRR shares. JMP Securities lifted their price objective on Red Rock Resorts from $57.00 to $64.00 and gave the stock a "market outperform" rating in a report on Wednesday, July 30th. Citigroup reissued an "outperform" rating on shares of Red Rock Resorts in a report on Friday, July 18th. JPMorgan Chase & Co. started coverage on Red Rock Resorts in a report on Monday, June 23rd. They issued an "overweight" rating and a $62.00 price objective for the company. Morgan Stanley lifted their price objective on Red Rock Resorts from $49.00 to $53.00 and gave the stock an "equal weight" rating in a report on Wednesday, August 6th. Finally, Susquehanna reissued a "positive" rating and issued a $68.00 price objective (up previously from $65.00) on shares of Red Rock Resorts in a report on Wednesday, July 30th. Eight research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average target price of $60.73.

Red Rock Resorts Profile

Red Rock Resorts, Inc, through its interest in Station Casinos LLC, develops and operates casino and entertainment properties in the United States. The company owns and operates gaming and entertainment facilities, including Durango Casino & Resort and smaller casinos in the Las Vegas regional market.