Red Rock Resorts, Inc. (NASDAQ:RRR) Given Consensus Recommendation of “Moderate Buy” by Brokerages

Shares of Red Rock Resorts, Inc. (NASDAQ:RRR) have received a consensus rating of “Moderate Buy” from the thirteen research firms that are covering the firm, MarketBeat reports. Three investment analysts have rated the stock with a hold rating and ten have assigned a buy rating to the company. The average 12 month price objective among analysts that have updated their coverage on the stock in the last year is $65.20.

A number of research analysts have commented on RRR shares. Citigroup restated an “outperform” rating on shares of Red Rock Resorts in a research note on Tuesday, September 16th. Weiss Ratings restated 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 target on Red Rock Resorts and gave the company a “buy” rating in a research note on Monday, November 3rd. Mizuho boosted 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, Jefferies Financial Group raised shares of Red Rock Resorts from a “hold” rating to a “buy” rating and lowered their target price for the stock from $66.00 to $65.00 in a report on Tuesday.

Insider Buying and Selling

In related news, COO Kord Nichols sold 37,075 shares of the firm’s 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 of the company’s stock, valued at $5,311,807.08. This trade represents a 29.87% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. In the last 90 days, insiders sold 84,650 shares of company stock worth $5,063,606. 53.81% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Red Rock Resorts

Hedge funds and other institutional investors have recently made changes to their positions in the company. Mitsubishi UFJ Asset Management Co. Ltd. lifted its stake in shares of Red Rock Resorts by 230.5% during the second quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 552 shares of the company’s stock valued at $29,000 after acquiring an additional 385 shares during the period. Strs Ohio bought a new stake in Red Rock Resorts during the 3rd quarter worth about $37,000. Ameritas Advisory Services LLC acquired a new position in Red Rock Resorts during the 2nd quarter valued at about $42,000. Pandora Wealth Inc. bought a new position in shares of Red Rock Resorts in the 1st quarter valued at about $43,000. Finally, US Bancorp DE boosted its stake in shares of 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 purchasing an additional 982 shares during the last quarter. 47.84% of the stock is owned by institutional investors and hedge funds.

Red Rock Resorts Trading Up 4.7%

Shares of Red Rock Resorts stock opened at $57.83 on Friday. Red Rock Resorts has a 52-week low of $35.09 and a 52-week high of $63.60. The firm has a market capitalization of $6.10 billion, a PE ratio of 18.42, a price-to-earnings-growth ratio of 1.94 and a beta of 1.51. 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’s fifty day moving average price is $59.24 and its two-hundred day moving average price is $54.60.

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

Red Rock Resorts Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, December 31st. Stockholders of record on Monday, December 15th will be paid a $0.26 dividend. This represents a $1.04 dividend on an annualized basis and a dividend yield of 1.8%. This is an increase from Red Rock Resorts’s previous quarterly dividend of $0.25. The ex-dividend date is Monday, December 15th. Red Rock Resorts’s dividend payout ratio is presently 31.85%.

Red Rock Resorts declared that its board has initiated a share repurchase plan on Tuesday, October 28th that permits the company to repurchase $300.00 million in shares. This repurchase authorization permits the company to reacquire up to 4.9% of its stock through open market purchases. Stock repurchase plans are usually a sign that the company’s management believes its stock is undervalued.

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.