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GDEN

Golden Entertainment NasdaqGM:GDEN Stock Report

Last Price

US$41.70

Market Cap

US$1.2b

7D

1.0%

1Y

-3.8%

Updated

27 Jun, 2022

Data

Company Financials +
GDEN fundamental analysis
Snowflake Score
Valuation5/6
Future Growth1/6
Past Performance2/6
Financial Health2/6
Dividends0/6

GDEN Stock Overview

Golden Entertainment, Inc., together with its subsidiaries, engages in the ownership and operation of a diversified entertainment platform in the United States.

Golden Entertainment Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Golden Entertainment
Historical stock prices
Current Share PriceUS$41.70
52 Week HighUS$59.96
52 Week LowUS$39.27
Beta2.59
1 Month Change-12.16%
3 Month Change-28.05%
1 Year Change-3.78%
3 Year Change202.61%
5 Year Change95.78%
Change since IPO397.91%

Recent News & Updates

Apr 19
An Intrinsic Calculation For Golden Entertainment, Inc. (NASDAQ:GDEN) Suggests It's 43% Undervalued

An Intrinsic Calculation For Golden Entertainment, Inc. (NASDAQ:GDEN) Suggests It's 43% Undervalued

Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Golden Entertainment...

Shareholder Returns

GDENUS HospitalityUS Market
7D1.0%4.0%6.3%
1Y-3.8%-29.2%-18.8%

Return vs Industry: GDEN exceeded the US Hospitality industry which returned -30.2% over the past year.

Return vs Market: GDEN exceeded the US Market which returned -18.4% over the past year.

Price Volatility

Is GDEN's price volatile compared to industry and market?
GDEN volatility
GDEN Average Weekly Movement8.2%
Hospitality Industry Average Movement9.2%
Market Average Movement8.1%
10% most volatile stocks in US Market16.7%
10% least volatile stocks in US Market3.2%

Stable Share Price: GDEN is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.

Volatility Over Time: GDEN's weekly volatility (8%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19986,300Blake Sartinihttps://www.goldenent.com

Golden Entertainment, Inc., together with its subsidiaries, engages in the ownership and operation of a diversified entertainment platform in the United States. The company operates through four segments: Nevada Casino Resorts, Nevada Locals Casinos, Maryland Casino Resort, and Distributed Gaming. The Nevada Casino Resorts segment comprises of destination casino resort properties that include various food and beverage outlets, entertainment venues, and other amenities.

Golden Entertainment Fundamentals Summary

How do Golden Entertainment's earnings and revenue compare to its market cap?
GDEN fundamental statistics
Market CapUS$1.21b
Earnings (TTM)US$187.22m
Revenue (TTM)US$1.13b

6.5x

P/E Ratio

1.1x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
GDEN income statement (TTM)
RevenueUS$1.13b
Cost of RevenueUS$621.68m
Gross ProfitUS$508.81m
Other ExpensesUS$321.59m
EarningsUS$187.22m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)6.46
Gross Margin45.01%
Net Profit Margin16.56%
Debt/Equity Ratio295.4%

How did GDEN perform over the long term?

See historical performance and comparison
We’ve recently updated our valuation analysis.

Valuation

Is GDEN undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for GDEN?

Other financial metrics that can be useful for relative valuation.

GDEN key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.9x
Enterprise Value/EBITDA7.8x
PEG Ratio-4.2x

Price to Earnings Ratio vs Peers

How does GDEN's PE Ratio compare to its peers?

GDEN PE Ratio vs Peers
The above table shows the PE ratio for GDEN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average25.9x
EVRI Everi Holdings
9.5x8.7%US$1.6b
MCRI Monarch Casino & Resort
14.3x10.2%US$1.1b
ACEL Accel Entertainment
22.1x39.3%US$1.0b
SGHC Super Group (SGHC)
57.5x43.2%US$2.1b
GDEN Golden Entertainment
6.5x-1.5%US$1.2b

Price-To-Earnings vs Peers: GDEN is good value based on its Price-To-Earnings Ratio (6.5x) compared to the peer average (25.9x).


Price to Earnings Ratio vs Industry

How does GDEN's PE Ratio compare vs other companies in the US Hospitality Industry?

Price-To-Earnings vs Industry: GDEN is good value based on its Price-To-Earnings Ratio (6.5x) compared to the US Hospitality industry average (16.9x)


Price to Earnings Ratio vs Fair Ratio

What is GDEN's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

GDEN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio6.5x
Fair PE Ratio15.8x

Price-To-Earnings vs Fair Ratio: GDEN is good value based on its Price-To-Earnings Ratio (6.5x) compared to the estimated Fair Price-To-Earnings Ratio (15.8x).


Share Price vs Fair Value

What is the Fair Price of GDEN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: GDEN ($41.7) is trading below our estimate of fair value ($95.63)

Significantly Below Fair Value: GDEN is trading below fair value by more than 20%.


Price to Earnings Growth Ratio

PEG Ratio: GDEN's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


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Future Growth

How is Golden Entertainment forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


-1.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GDEN's earnings are forecast to decline over the next 3 years (-1.5% per year).

Earnings vs Market: GDEN's earnings are forecast to decline over the next 3 years (-1.5% per year).

High Growth Earnings: GDEN's earnings are forecast to decline over the next 3 years.

Revenue vs Market: GDEN's revenue (2.5% per year) is forecast to grow slower than the US market (8.4% per year).

High Growth Revenue: GDEN's revenue (2.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: GDEN's Return on Equity is forecast to be very high in 3 years time (52.4%).


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Past Performance

How has Golden Entertainment performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


17.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: GDEN has a large one-off gain of $57.8M impacting its March 31 2022 financial results.

Growing Profit Margin: GDEN became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: GDEN has become profitable over the past 5 years, growing earnings by 17.7% per year.

Accelerating Growth: GDEN has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: GDEN has become profitable in the last year, making it difficult to compare its past year earnings growth to the Hospitality industry (119.6%).


Return on Equity

High ROE: Whilst GDEN's Return on Equity (56.18%) is outstanding, this metric is skewed due to their high level of debt.


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Financial Health

How is Golden Entertainment's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: GDEN's short term assets ($257.7M) exceed its short term liabilities ($134.7M).

Long Term Liabilities: GDEN's short term assets ($257.7M) do not cover its long term liabilities ($1.1B).


Debt to Equity History and Analysis

Debt Level: GDEN's net debt to equity ratio (234.7%) is considered high.

Reducing Debt: GDEN's debt to equity ratio has increased from 82.6% to 295.4% over the past 5 years.

Debt Coverage: GDEN's debt is well covered by operating cash flow (29.2%).

Interest Coverage: GDEN's interest payments on its debt are not well covered by EBIT (2.8x coverage).


Balance Sheet


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Dividend

What is Golden Entertainment current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate GDEN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate GDEN's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if GDEN's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if GDEN's dividend payments have been increasing.


Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as GDEN has not reported any payouts.


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Management

How experienced are the management team and are they aligned to shareholders interests?

6.9yrs

Average management tenure


CEO

Blake Sartini (62 yo)

6.92yrs

Tenure

US$8,781,384

Compensation

Mr. Blake L. Sartini, Sr., has been Chairman and Chief Executive Officer of Golden Entertainment, Inc. (Formerly Lakes Entertainment Inc.) since July 29, 2015. Mr. Sartini was the President of Golden Enter...


CEO Compensation Analysis

Compensation vs Market: Blake's total compensation ($USD8.78M) is above average for companies of similar size in the US market ($USD5.46M).

Compensation vs Earnings: Blake's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: GDEN's management team is seasoned and experienced (6.9 years average tenure).


Board Members

Experienced Board: GDEN's board of directors are considered experienced (5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Golden Entertainment, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Golden Entertainment, Inc.
  • Ticker: GDEN
  • Exchange: NasdaqGM
  • Founded: 1998
  • Industry: Casinos and Gaming
  • Sector: Consumer Services
  • Implied Market Cap: US$1.208b
  • Shares outstanding: 28.98m
  • Website: https://www.goldenent.com

Number of Employees


Location

  • Golden Entertainment, Inc.
  • 6595 South Jones Boulevard
  • Las Vegas
  • Nevada
  • 89118
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/27 00:00
End of Day Share Price2022/06/27 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.