Red Rock Resorts (NASDAQ:RRR) Shares Cross Above 200 Day Moving Average - Here's What Happened

Key Points

• Red Rock Resorts' stock has surpassed its 200-day moving average, reaching a high of $62.02 before settling at $61.73, indicating positive momentum for the stock.
• The company reported earnings of $0.95 per share for the last quarter, significantly above analysts' expectations, contributing to an 8.2% year-over-year revenue growth.
• Recent analyst sentiments are positive, with Zacks Research upgrading the stock to a "strong-buy" rating and a consensus price target of $60.82 among analysts.

Red Rock Resorts, Inc. (NASDAQ:RRR - Get Free Report)'s stock price passed above its two hundred day moving average during trading on Friday . The stock has a two hundred day moving average of $51.27 and traded as high as $62.02. Red Rock Resorts shares last traded at $61.73, with a volume of 607,338 shares.

Analyst Upgrades and Downgrades

A number of equities analysts have recently commented on RRR shares. Stifel Nicolaus set a $60.00 price target on shares of Red Rock Resorts and gave the stock a "hold" rating in a report on Wednesday, July 30th. Susquehanna reissued a "positive" rating and issued a $68.00 price target (up previously from $65.00) on shares of Red Rock Resorts in a report on Wednesday, July 30th. Zacks Research raised shares of Red Rock Resorts from a "hold" rating to a "strong-buy" rating in a report on Monday, September 15th. Morgan Stanley increased their price target on shares of 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, Mizuho increased their price target on shares of Red Rock Resorts from $59.00 to $62.00 and gave the stock an "outperform" rating in a report on Thursday, July 31st. One investment analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating and four have issued a Hold rating to the company's stock. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average target price of $60.82.

Red Rock Resorts Stock Performance

The company has a debt-to-equity ratio of 11.28, a quick ratio of 0.84 and a current ratio of 0.89. The business's fifty day simple moving average is $59.72 and its 200-day simple moving average is $51.27. The firm has a market capitalization of $6.51 billion, a PE ratio of 21.00, a price-to-earnings-growth ratio of 2.42 and a beta of 1.46.

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

Red Rock Resorts Dividend Announcement

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

Insider Transactions at Red Rock Resorts

In other news, COO Kord Nichols sold 37,075 shares of Red Rock Resorts stock in a transaction on Friday, August 22nd. The stock was sold at an average price of $61.03, for a total transaction of $2,262,687.25. Following the completion of the sale, the chief operating officer directly owned 87,036 shares in the company, valued at approximately $5,311,807.08. This trade represents a 29.87% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, CFO Stephen Lawrence Cootey sold 121,400 shares of Red Rock Resorts stock in a transaction dated Friday, August 1st. The shares were sold at an average price of $60.04, for a total value of $7,288,856.00. Following the completion of the transaction, the chief financial officer owned 260,268 shares in the company, valued at $15,626,490.72. This trade represents a 31.81% decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 262,703 shares of company stock worth $15,764,672. 53.81% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Red Rock Resorts

Large investors have recently modified their holdings of the business. Bamco Inc. NY lifted its stake in Red Rock Resorts by 5.7% during the 2nd quarter. Bamco Inc. NY now owns 12,269,004 shares of the company's stock worth $638,356,000 after acquiring an additional 666,593 shares in the last quarter. Eminence Capital LP lifted its stake in Red Rock Resorts by 23.4% during the 2nd quarter. Eminence Capital LP now owns 3,059,372 shares of the company's stock worth $159,179,000 after acquiring an additional 581,061 shares in the last quarter. Vaughan Nelson Investment Management L.P. lifted its stake in Red Rock Resorts by 10.7% during the 2nd quarter. Vaughan Nelson Investment Management L.P. now owns 1,773,603 shares of the company's stock worth $92,281,000 after acquiring an additional 171,235 shares in the last quarter. Balyasny Asset Management L.P. increased its holdings in Red Rock Resorts by 53.8% during the 2nd quarter. Balyasny Asset Management L.P. now owns 793,371 shares of the company's stock worth $41,279,000 after purchasing an additional 277,426 shares during the period. Finally, Millennium Management LLC increased its holdings in Red Rock Resorts by 56.2% during the 1st quarter. Millennium Management LLC now owns 430,150 shares of the company's stock worth $18,656,000 after purchasing an additional 154,839 shares during the period. Institutional investors and hedge funds own 47.84% of the company's stock.

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.

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