Red Rock Resorts, Inc. (NASDAQ:RRR) Receives Consensus Recommendation of “Moderate Buy” from Analysts

Shares of Red Rock Resorts, Inc. (NASDAQ:RRR) have earned an average rating of “Moderate Buy” from the thirteen brokerages that are presently covering the stock, MarketBeat.com reports. Five research analysts have rated the stock with a hold rating and eight have assigned a buy rating to the company. The average 1-year price target among brokers that have issued a report on the stock in the last year is $63.30.

A number of research analysts have commented on RRR shares. Zacks Research lowered Red Rock Resorts from a “strong-buy” rating to a “hold” rating in a report on Friday, October 10th. Macquarie upped their price objective on Red Rock Resorts from $67.00 to $68.00 and gave the company an “outperform” rating in a report on Wednesday. Susquehanna upped their price objective on Red Rock Resorts from $68.00 to $69.00 and gave the company a “positive” rating in a report on Wednesday. Truist Financial increased their target price on Red Rock Resorts from $68.00 to $70.00 and gave the stock a “buy” rating in a report on Tuesday, October 21st. Finally, Weiss Ratings reissued a “hold (c+)” rating on shares of Red Rock Resorts in a report on Wednesday, October 8th.

Red Rock Resorts Stock Performance

Shares of NASDAQ RRR opened at $53.31 on Friday. 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 stock’s fifty day moving average price is $59.97 and its two-hundred day moving average price is $54.10. Red Rock Resorts has a one year low of $35.09 and a one year high of $63.60. The firm has a market cap of $5.62 billion, a price-to-earnings ratio of 16.98, a P/E/G ratio of 1.95 and a beta of 1.47.

Red Rock Resorts (NASDAQ:RRR) last issued its quarterly earnings data on Tuesday, October 28th. The company reported $0.68 EPS for the quarter, beating analysts’ consensus estimates of $0.36 by $0.32. Red Rock Resorts had a return on equity of 60.15% and a net margin of 9.52%.The firm had revenue of $475.57 million for the quarter, compared to analyst estimates of $477.25 million. During the same period in the prior year, the firm posted $0.48 EPS. The company’s revenue for the quarter was up 1.6% on a year-over-year basis. On average, equities analysts forecast that Red Rock Resorts will post 1.76 EPS for the current year.

Red Rock Resorts Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, December 31st. Stockholders of record on Monday, December 15th will be issued a dividend of $0.26 per share. This is an increase from Red Rock Resorts’s previous quarterly dividend of $0.25. The ex-dividend date of this dividend is Monday, December 15th. This represents a $1.04 annualized dividend and a dividend yield of 2.0%. Red Rock Resorts’s payout ratio is currently 31.85%.

Red Rock Resorts announced that its board has initiated a stock repurchase program on Tuesday, October 28th that authorizes the company to buyback $300.00 million in outstanding shares. This buyback authorization authorizes the company to repurchase up to 4.9% of its shares through open market purchases. Shares buyback programs are generally an indication that the company’s board believes its stock is undervalued.

Insider Activity

In other news, 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 transaction of $2,262,687.25. Following the sale, the chief operating officer directly owned 87,036 shares of the company’s stock, valued at approximately $5,311,807.08. This represents a 29.87% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Over the last quarter, insiders sold 84,650 shares of company stock worth $5,063,606. Corporate insiders own 53.81% of the company’s stock.

Institutional Trading of Red Rock Resorts

Several large investors have recently bought and sold shares of RRR. Bamco Inc. NY boosted its stake in Red Rock Resorts by 5.7% in the second quarter. Bamco Inc. NY now owns 12,269,004 shares of the company’s stock valued at $638,356,000 after buying an additional 666,593 shares in the last quarter. Eminence Capital LP boosted its stake in Red Rock Resorts by 23.4% in the second quarter. Eminence Capital LP now owns 3,059,372 shares of the company’s stock valued at $159,179,000 after buying an additional 581,061 shares in the last quarter. Balyasny Asset Management L.P. boosted its stake in Red Rock Resorts by 53.8% in the second quarter. Balyasny Asset Management L.P. now owns 793,371 shares of the company’s stock valued at $41,279,000 after buying an additional 277,426 shares in the last quarter. Nuveen LLC acquired a new stake in Red Rock Resorts in the first quarter valued at about $11,025,000. Finally, Vaughan Nelson Investment Management L.P. boosted its stake in Red Rock Resorts by 10.7% in the second quarter. Vaughan Nelson Investment Management L.P. now owns 1,773,603 shares of the company’s stock valued at $92,281,000 after buying an additional 171,235 shares in the last quarter. 47.84% of the stock is owned by institutional investors and hedge funds.

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.