Shellback Capital LP Raises Stock Position in Red Rock Resorts, Inc. $RRR

Key Points

• Shellback Capital LP increased its stake in Red Rock Resorts by 300%, owning 100,000 shares worth approximately $4.34 million after acquiring an additional 75,000 shares in the first quarter.
• Insider transactions included EVP Jeffrey T. Welch selling over 56,000 shares for $3.41 million and CFO Stephen Lawrence Cootey selling 121,400 shares valued at $7.29 million on the same day, indicating significant insider activity.
• Red Rock Resorts reported a quarterly revenue of $526.27 million, exceeding analysts' expectations, with a notable 8.2% year-over-year revenue growth and an EPS of $0.95.

Shellback Capital LP boosted its holdings in Red Rock Resorts, Inc. (NASDAQ:RRR - Free Report) by 300.0% during the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 100,000 shares of the company's stock after acquiring an additional 75,000 shares during the quarter. Shellback Capital LP owned 0.09% of Red Rock Resorts worth $4,337,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also added to or reduced their stakes in RRR. Pandora Wealth Inc. bought a new position in Red Rock Resorts in the 1st quarter valued at approximately $43,000. US Bancorp DE lifted its position in Red Rock Resorts by 1,664.4% in the 1st quarter. US Bancorp DE now owns 1,041 shares of the company's stock valued at $45,000 after acquiring an additional 982 shares in the last quarter. New Age Alpha Advisors LLC bought a new position in Red Rock Resorts in the 1st quarter valued at approximately $89,000. Tower Research Capital LLC TRC lifted its position in Red Rock Resorts by 47.7% in the 4th quarter. Tower Research Capital LLC TRC now owns 2,055 shares of the company's stock valued at $95,000 after acquiring an additional 664 shares in the last quarter. Finally, PNC Financial Services Group Inc. lifted its position in Red Rock Resorts by 51.1% in the 1st quarter. PNC Financial Services Group Inc. now owns 2,854 shares of the company's stock valued at $124,000 after acquiring an additional 965 shares in the last quarter. 47.84% of the stock is owned by institutional investors.

Insiders Place Their Bets

In other Red Rock Resorts news, EVP Jeffrey T. Welch sold 56,653 shares of the stock in a transaction on 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 completion of the sale, the executive vice president owned 314,767 shares in the company, valued at approximately $18,958,416.41. This represents a 15.25% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, COO Kord Nichols sold 37,075 shares of the stock in a transaction on Friday, August 22nd. The stock was sold at an average price of $61.03, for a total value of $2,262,687.25. Following the completion of the sale, the chief operating officer owned 87,036 shares of the company's stock, valued at $5,311,807.08. The trade was a 29.87% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 262,703 shares of company stock worth $15,764,672. Corporate insiders own 53.81% of the company's stock.

Red Rock Resorts Stock Performance

Shares of NASDAQ:RRR traded down $0.30 during midday trading on Friday, hitting $61.38. The company had a trading volume of 81,290 shares, compared to its average volume of 713,700. 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 cap of $6.47 billion, a price-to-earnings ratio of 20.88, a PEG ratio of 2.48 and a beta of 1.46. Red Rock Resorts, Inc. has a 12-month low of $35.09 and a 12-month high of $63.60. The company has a fifty day moving average of $58.55 and a two-hundred day moving average of $50.28.

Red Rock Resorts (NASDAQ:RRR - Get Free Report) last posted 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. The firm had revenue of $526.27 million during the quarter, compared to analyst estimates of $485.44 million. Red Rock Resorts had a return on equity of 59.97% and a net margin of 8.89%.Red Rock Resorts's revenue was up 8.2% on a year-over-year basis. During the same period in the prior year, the business posted $0.59 EPS. On average, equities research analysts expect that Red Rock Resorts, Inc. will post 1.76 EPS for the current fiscal year.

Red Rock Resorts Announces Dividend

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

Analyst Ratings Changes

Several equities analysts recently issued reports on the company. Citigroup reaffirmed an "outperform" rating on shares of Red Rock Resorts in a research report on Friday, July 18th. JPMorgan Chase & Co. began coverage on shares of Red Rock Resorts in a research note on Monday, June 23rd. They set an "overweight" rating and a $62.00 target price for the company. Truist Financial upgraded shares of Red Rock Resorts from a "hold" rating to a "buy" rating and boosted their target price for the company from $45.00 to $67.00 in a research note on Wednesday, July 16th. Morgan Stanley boosted their target price on shares of Red Rock Resorts from $49.00 to $53.00 and gave the company an "equal weight" rating in a research note on Wednesday, August 6th. Finally, Stifel Nicolaus set a $60.00 target price on shares of Red Rock Resorts and gave the company a "hold" rating in a research note on Wednesday, July 30th. Eight research analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average price target of $60.73.

About Red Rock Resorts

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.