VICI Properties (VICI) & Its Rivals Critical Comparison

VICI Properties (NYSE:VICI) is one of 35 public companies in the “Specialized REITs” industry, but how does it contrast to its peers? We will compare VICI Properties to similar businesses based on the strength of its risk, analyst recommendations, dividends, earnings, valuation, profitability and institutional ownership.

Insider and Institutional Ownership

97.7% of VICI Properties shares are held by institutional investors. Comparatively, 78.0% of shares of all “Specialized REITs” companies are held by institutional investors. 0.3% of VICI Properties shares are held by insiders. Comparatively, 7.5% of shares of all “Specialized REITs” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Dividends

VICI Properties pays an annual dividend of $1.84 per share and has a dividend yield of 7.4%. VICI Properties pays out 84.4% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “Specialized REITs” companies pay a dividend yield of 3.4% and pay out 120.4% of their earnings in the form of a dividend. VICI Properties has raised its dividend for 4 consecutive years. VICI Properties is clearly a better dividend stock than its peers, given its higher yield and lower payout ratio.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for VICI Properties and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
VICI Properties	0	8	8	0	2.50
VICI Properties Competitors	518	2784	3666	191	2.49

VICI Properties presently has a consensus price target of $29.46, suggesting a potential upside of 18.78%. As a group, “Specialized REITs” companies have a potential upside of 15.17%. Given VICI Properties’ stronger consensus rating and higher probable upside, equities research analysts plainly believe VICI Properties is more favorable than its peers.

Earnings & Valuation

This table compares VICI Properties and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
VICI Properties	$4.01 billion	$2.78 billion	11.38
VICI Properties Competitors	$2.58 billion	$596.00 million	31.60

VICI Properties has higher revenue and earnings than its peers. VICI Properties is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares VICI Properties and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
VICI Properties	56.46%	8.10%	4.94%
VICI Properties Competitors	-5.42%	-3.46%	2.00%

Risk and Volatility

VICI Properties has a beta of 0.64, meaning that its share price is 36% less volatile than the S&P 500. Comparatively, VICI Properties’ peers have a beta of 0.92, meaning that their average share price is 8% less volatile than the S&P 500.

Summary

VICI Properties beats its peers on 10 of the 15 factors compared.

About VICI Properties

VICI Properties Inc. is an S&P 500 experiential real estate investment trust that owns one of the largest portfolios of market-leading gaming, hospitality and entertainment destinations, including Caesars Palace Las Vegas, MGM Grand and the Venetian Resort Las Vegas, three of the most iconic entertainment facilities on the Las Vegas Strip. VICI Properties owns 93 experiential assets across a geographically diverse portfolio consisting of 54 gaming properties and 39 other experiential properties across the United States and Canada. The portfolio is comprised of approximately 127 million square feet and features approximately 60,300 hotel rooms and over 500 restaurants, bars, nightclubs and sportsbooks. Its properties are occupied by industry-leading gaming, leisure and hospitality operators under long-term, triple-net lease agreements. VICI Properties has a growing array of real estate and financing partnerships with leading operators in other experiential sectors, including Bowlero, Cabot, Canyon Ranch, Chelsea Piers, Great Wolf Resorts, Homefield, and Kalahari Resorts. VICI Properties also owns four championship golf courses and 33 acres of undeveloped and underdeveloped land adjacent to the Las Vegas Strip. VICI Properties’ goal is to create the highest quality and most productive experiential real estate portfolio through a strategy of partnering with the highest quality experiential place makers and operators.