Red Rock Resorts (NASDAQ:RRR) Releases Quarterly Earnings Results, Beats Estimates By $0.55 EPS

Key Points

• Red Rock Resorts reported a strong quarterly earnings result, with earnings per share of $0.95, exceeding the consensus estimate by $0.57.
• The company announced a quarterly dividend of $0.25 per share, reflecting an annualized yield of 1.82%.
• Wall Street analysts have shown optimism toward Red Rock Resorts, with several upgrades and an average target price of $56.64, indicating a Moderate Buy rating.

Red Rock Resorts (NASDAQ:RRR - Get Free Report) issued its earnings results on Tuesday. The company reported $0.95 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.40 by $0.55, Zacks reports. Red Rock Resorts had a net margin of 8.01% and a return on equity of 56.45%. The business had revenue of $526.27 million during the quarter, compared to analysts' expectations of $485.44 million. During the same quarter in the prior year, the business posted $0.59 EPS. The company's revenue for the quarter was up 8.2% on a year-over-year basis.

Red Rock Resorts Stock Up 0.5%

RRR stock opened at $55.01 on Wednesday. The company has a debt-to-equity ratio of 9.04, a current ratio of 0.92 and a quick ratio of 0.87. Red Rock Resorts has a 1-year low of $35.09 and a 1-year high of $58.74. The firm has a fifty day moving average price of $51.79 and a two-hundred day moving average price of $47.76. The firm has a market cap of $5.83 billion, a price-to-earnings ratio of 21.32, a PEG ratio of 3.57 and a beta of 1.62.

Red Rock Resorts Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Monday, September 15th. Stockholders of record on Friday, September 5th will be given a dividend of $0.25 per share. This represents a $1.00 dividend on an annualized basis and a dividend yield of 1.82%. Red Rock Resorts's payout ratio is currently 38.76%.

Wall Street Analysts Forecast Growth

A number of equities analysts have commented on RRR shares. Macquarie restated an "outperform" rating and set a $58.00 price objective on shares of Red Rock Resorts in a research report on Friday, May 2nd. Stifel Nicolaus cut their price objective on shares of Red Rock Resorts from $54.00 to $44.00 and set a "hold" rating for the company in a research report on Friday, May 2nd. Truist Financial upgraded shares of Red Rock Resorts from a "hold" rating to a "buy" rating and increased their price target for the company from $45.00 to $67.00 in a report on Wednesday, July 16th. Susquehanna increased their price target on shares of Red Rock Resorts from $52.00 to $65.00 and gave the company a "positive" rating in a report on Thursday, July 24th. Finally, Citigroup reiterated an "outperform" rating on shares of Red Rock Resorts in a report on Friday, July 18th. Four research analysts have rated the stock with a hold rating and eight have assigned a buy rating to the company. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $56.64.

Institutional Trading of Red Rock Resorts

Institutional investors have recently added to or reduced their stakes in the business. Millennium Management LLC boosted its holdings in shares of Red Rock Resorts by 56.2% during the first quarter. Millennium Management LLC now owns 430,150 shares of the company's stock valued at $18,656,000 after acquiring an additional 154,839 shares during the period. AQR Capital Management LLC acquired a new stake in Red Rock Resorts in the first quarter worth about $308,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its holdings in Red Rock Resorts by 4.6% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 106,275 shares of the company's stock worth $4,609,000 after purchasing an additional 4,699 shares during the period. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in Red Rock Resorts by 4.6% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 29,272 shares of the company's stock worth $1,270,000 after purchasing an additional 1,282 shares during the period. Institutional investors own 47.84% of the company's stock.

Red Rock Resorts Company 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.