Red Rock Resorts (NASDAQ:RRR) Coverage Initiated by Analysts at Wells Fargo & Company

Wells Fargo & Company started coverage on shares of Red Rock Resorts (NASDAQ:RRR) in a report issued on Tuesday morning, MarketBeat.com reports. The brokerage issued an equal weight rating and a $58.00 price target on the stock.

RRR has been the subject of several other research reports. Citigroup restated an “outperform” rating on shares of Red Rock Resorts in a research note on Tuesday, September 16th. Weiss Ratings reissued a “hold (c+)” rating on shares of Red Rock Resorts in a research report on Wednesday, October 8th. Stifel Nicolaus set a $68.00 price objective on shares of Red Rock Resorts and gave the stock a “buy” rating in a research note on Monday, November 3rd. Mizuho upped their target price on shares of Red Rock Resorts from $62.00 to $67.00 and gave the company an “outperform” rating in a research note on Wednesday, October 29th. Finally, Truist Financial increased their price target on shares of Red Rock Resorts from $68.00 to $70.00 and gave the company a “buy” rating in a report on Tuesday, October 21st. Ten equities research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. Based on data from MarketBeat.com, Red Rock Resorts currently has an average rating of “Moderate Buy” and an average price target of $64.55.

Red Rock Resorts Stock Performance

NASDAQ:RRR opened at $55.28 on Tuesday. The firm has a market capitalization of $5.85 billion, a PE ratio of 17.61, a PEG ratio of 1.90 and a beta of 1.51. Red Rock Resorts has a 1 year low of $35.09 and a 1 year high of $63.60. The company has a current ratio of 0.75, a quick ratio of 0.70 and a debt-to-equity ratio of 10.11. The firm’s fifty day simple moving average is $58.61 and its 200 day simple moving average is $55.50.

Red Rock Resorts (NASDAQ:RRR) last released its earnings results on Tuesday, October 28th. The company reported $0.68 earnings per share for the quarter, topping analysts’ consensus estimates of $0.36 by $0.32. The firm had revenue of $475.57 million during the quarter, compared to analyst estimates of $477.25 million. Red Rock Resorts had a net margin of 9.52% and a return on equity of 59.86%. The business’s revenue was up 1.6% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.48 EPS. On average, sell-side analysts anticipate that Red Rock Resorts will post 1.76 EPS for the current year.

Red Rock Resorts declared that its board has approved a share repurchase program on Tuesday, October 28th that allows the company to buyback $300.00 million in shares. This buyback authorization allows the company to repurchase up to 4.9% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s board believes its shares are undervalued.

Red Rock Resorts Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, December 31st. Shareholders of record on Monday, December 15th will be paid a dividend of $0.26 per share. This is an increase from Red Rock Resorts’s previous quarterly dividend of $0.25. This represents a $1.04 dividend on an annualized basis and a yield of 1.9%. The ex-dividend date is Monday, December 15th. Red Rock Resorts’s dividend payout ratio is presently 31.85%.

Insider Buying and Selling at Red Rock Resorts

In related news, COO Kord Nichols sold 37,075 shares of the stock in a transaction dated Friday, August 22nd. The shares were sold at an average price of $61.03, for a total value of $2,262,687.25. Following the completion of the transaction, the chief operating officer owned 87,036 shares of the company’s stock, valued at $5,311,807.08. This represents a 29.87% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Company insiders own 53.28% of the company’s stock.

Institutional Investors Weigh In On Red Rock Resorts

Several large investors have recently modified their holdings of RRR. Bamco Inc. NY lifted its position in shares of 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 buying an additional 666,593 shares during the period. Vanguard Group Inc. raised its stake in Red Rock Resorts by 6.7% during the third quarter. Vanguard Group Inc. now owns 5,564,421 shares of the company’s stock worth $339,764,000 after acquiring an additional 349,822 shares in the last quarter. Eminence Capital LP lifted its holdings in shares of Red Rock Resorts by 23.4% during the second quarter. Eminence Capital LP now owns 3,059,372 shares of the company’s stock valued at $159,179,000 after acquiring an additional 581,061 shares during the period. Vaughan Nelson Investment Management L.P. boosted its stake in shares of Red Rock Resorts by 10.7% in the 2nd quarter. Vaughan Nelson Investment Management L.P. now owns 1,773,603 shares of the company’s stock valued at $92,281,000 after purchasing an additional 171,235 shares in the last quarter. Finally, Arrowstreet Capital Limited Partnership grew its holdings in shares of Red Rock Resorts by 2,248.2% in the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 1,354,644 shares of the company’s stock worth $82,715,000 after purchasing an additional 1,296,956 shares during the last quarter. 47.84% of the stock is currently owned by institutional investors.

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.