Red Rock Resorts
Market Cap
US$2.2b
Last Updated
2019/08/18 00:45 UTC
Data Sources
Company Financials +
Executive Summary
Red Rock Resorts, Inc., through its interest in Station Holdco and Station LLC, engages in casino entertainment, and gaming and entertainment businesses in the United States.
Snowflake
Fundamentals
Moderate growth potential second-rate dividend payer.
Risks
- Red Rock Resorts has significant price volatility in the past 3 months.
Similar Companies
Share Price & News
How has Red Rock Resorts's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
-1.5%
NasdaqGS:RRR
-2.1%
US Hospitality
-1.0%
US Market
1 Year Return
-42.0%
NasdaqGS:RRR
-6.5%
US Hospitality
-0.4%
US Market
RRR underperformed the Hospitality industry which returned -6.5% over the past year.
RRR underperformed the Market in United States of America which returned -0.4% over the past year.
Share holder returns
| RRR | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.5% | -2.1% | -1.0% |
| 30 Day | -15.3% | -5.4% | -3.3% |
| 90 Day | -15.5% | -3.4% | 0.8% |
| 1 Year | -41.1%-42.0% | -4.3%-6.5% | 1.9%-0.4% |
| 3 Year | -14.2%-17.8% | 40.2%31.3% | 39.4%30.4% |
| 5 Year | n/a | 30.9%16.6% | 54.2%37.1% |
Price Volatility Vs. Market
How volatile is Red Rock Resorts's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 days ago | Simply Wall St
Have Insiders Been Selling Red Rock Resorts, Inc. (NASDAQ:RRR) Shares?2 weeks ago | Simply Wall St
Investors Who Bought Red Rock Resorts (NASDAQ:RRR) Shares A Year Ago Are Now Down 39%4 weeks ago | Simply Wall St
Here's What Red Rock Resorts, Inc.'s (NASDAQ:RRR) P/E Ratio Is Telling UsValuation
Is Red Rock Resorts undervalued based on future cash flows and its price relative to the stock market?
30%
Discount to future cash flow value
Intrinsic Value Based on Future Cash Flows
Red Rock Resorts's share price is below the future cash flow value, and at a moderate discount (> 20%).
Red Rock Resorts's share price is below the future cash flow value, but not at a substantial discount (< 40%).
Price Based on Earnings
Red Rock Resorts is overvalued based on earnings compared to the US Hospitality industry average.
Red Rock Resorts is overvalued based on earnings compared to the United States of America market.
Price Based on Expected Growth
Red Rock Resorts is good value based on expected growth next year.
Price Based on Value of Assets
Red Rock Resorts is overvalued based on assets compared to the US Hospitality industry average.
Next Steps
Future Growth
How is Red Rock Resorts expected to perform in the next 1 to 3 years based on estimates from 10 analysts?
51.8%
Forecasted annual earnings growth
Earnings and Revenue Growth Estimates
Future Annual Growth Analysis
Red Rock Resorts's revenue is expected to grow by 3.3% yearly, however this is not considered high growth (20% yearly).
Red Rock Resorts's earnings are expected to grow significantly at over 20% yearly.
Red Rock Resorts's revenue growth is positive but not above the United States of America market average.
Red Rock Resorts's earnings growth is expected to exceed the United States of America market average.
Red Rock Resorts's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Earnings per Share Growth Estimates
Future Return on Equity
Red Rock Resorts is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
Next Steps
Past Performance
How has Red Rock Resorts performed over the past 5 years?
27.3%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Red Rock Resorts has delivered over 20% year on year earnings growth in the past 5 years.
Red Rock Resorts's 1-year earnings growth is negative, it can't be compared to the 5-year average.
Red Rock Resorts's 1-year earnings growth is negative, it can't be compared to the US Hospitality industry average.
Return on Equity
Red Rock Resorts has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
Return on Assets
Red Rock Resorts used its assets less efficiently than the US Hospitality industry average last year based on Return on Assets.
Return on Capital Employed
Red Rock Resorts's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
Next Steps
Financial Health
How is Red Rock Resorts's financial position?
Financial Position Analysis
Red Rock Resorts's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
Red Rock Resorts's long term commitments exceed its cash and other short term assets.
Debt to Equity History and Analysis
Red Rock Resorts's level of debt (367%) compared to net worth is high (greater than 40%).
The level of debt compared to net worth has increased over the past 5 years (328.3% vs 367% today).
Debt is not well covered by operating cash flow (9.9%, less than 20% of total debt).
Interest payments on debt are not well covered by earnings (EBIT is 1.4x annual interest expense, ideally 3x coverage).
Balance Sheet
High level of physical assets or inventory.
Debt is not covered by short term assets, assets are 0.1x debt.
Next Steps
Dividend
What is Red Rock Resorts's current dividend yield, its reliability and sustainability?
2.24%
Expected Dividend Yield
Upcoming Dividend Payment
Purchase Red Rock Resorts before the 'Buy Limit' to receive their next dividend payment.
Dividend Yield and Payments Analysis
Red Rock Resorts's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).
Red Rock Resorts's dividend is below the markets top 25% of dividend payers in United States of America (3.84%).
Whilst dividend payments have been stable, Red Rock Resorts has been paying a dividend for less than 10 years.
Red Rock Resorts has only been paying a dividend for 3 years, and since then there has been no growth.
Current Payout to Shareholders
Dividends paid are covered by earnings (1.1x coverage).
Future Payout to Shareholders
Dividends after 3 years are expected to be well covered by earnings (3.4x coverage).
Next Steps
Management
What is the CEO of Red Rock Resorts's salary, the management and board of directors tenure and is there insider trading?
2.3yrs
Average management tenure
CEO
Frank Fertitta (57yo)
3.8yrs
Tenure
US$1,957,906
Compensation
Mr. Frank J. Fertitta, III, has been Chief Executive Officer and Manager of Station Casinos LLC since January 2011 and June 2011 respectively. Mr. Fertitta has been Chief Executive Officer of Fertitta Ente ...
CEO Compensation Analysis
Frank's remuneration is lower than average for companies of similar size in United States of America.
Frank's compensation has been consistent with company performance over the past year, both up more than 20%.
Management Age and Tenure
2.3yrs
Average Tenure
57yo
Average Age
The tenure for the Red Rock Resorts management team is about average.
Board Age and Tenure
3.9yrs
Average Tenure
57yo
Average Age
The tenure for the Red Rock Resorts board of directors is about average.
Insider Trading
More shares have been bought than sold by Red Rock Resorts individual insiders in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Chairman & CEO Chairman of the Board |
| Shares | 46,700 |
| Max Price | US$18.84 |
| Entity | Individual |
| Role | Vice Chairman |
| Shares | 186,800 |
| Max Price | US$18.84 |
| Entity | Individual |
| Role | Chairman & CEO Chairman of the Board |
| Shares | 152,000 |
| Max Price | US$18.97 |
| Entity | Individual |
| Role | Vice Chairman |
| Shares | 608,000 |
| Max Price | US$18.97 |
| Entity | Individual |
| Role | Consultant |
| Shares | 31,628 |
| Max Price | US$26.67 |
| Entity | Individual |
| Role | Consultant |
| Shares | 42,293 |
| Max Price | US$27.86 |
Ownership Breakdown
Management Team
Steve Cootey (50yo)
Executive VP
- Tenure: 2.3yrs
- Compensation: $3.08m
Jeffrey Welch (57yo)
Executive VP & Chief Legal Officer
- Tenure: 2.2yrs
- Compensation: $3.03m
Marc Falcone (46yo)
Consultant
- Tenure: 2.3yrs
- Compensation: $1.94m
Lori Nelson
Vice President of Corporate Communications
Richard Haskins (55yo)
President
- Tenure: 3.8yrs
- Compensation: $6.50m
Dan Foley
Vice President of Finance & Investor Relations
Daniel Roy (59yo)
Consultant
- Tenure: 2.3yrs
- Compensation: $1.82m
Robert Finch (59yo)
Executive VP & COO
- Tenure: 0.5yrs
Frank Fertitta (57yo)
Chairman & CEO
- Tenure: 3.8yrs
- Compensation: $1.96m
Joe Hasson (63yo)
Consultant
- Tenure: 0.5yrs
- Compensation: $3.01m
Board Members
Frank Fertitta (57yo)
Chairman & CEO
- Tenure: 3.9yrs
- Compensation: $1.96m
Lorenzo Fertitta (50yo)
Vice Chairman of the Board
- Tenure: 2.6yrs
- Compensation: $125.00k
James Nave (75yo)
Lead Independent Director
- Tenure: 3.9yrs
- Compensation: $335.02k
Bob Lewis (73yo)
Director
- Tenure: 3.9yrs
- Compensation: $305.02k
Rob Cashell (53yo)
Director
- Tenure: 3.9yrs
- Compensation: $302.52k
Company Information
Red Rock Resorts, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Red Rock Resorts, Inc.
- Ticker: RRR
- Exchange: NasdaqGS
- Founded: 1976
- Industry: casinos and gaming
- Sector: consumer services
- Implied Market Cap: US$2.184b
- Market Cap: US$1.305b
- Shares outstanding: 116.52m
- Website: Click here
Number of Employees
Location
- Red Rock Resorts, Inc.
- 1505 South Pavilion Center Drive
- Las Vegas
- Nevada
- 89135
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| RRR | NasdaqGS (Nasdaq Global Select) | Yes | Class A Common Stock | US | USD | Apr 2016 |
| RRK | DB (Deutsche Boerse AG) | Yes | Class A Common Stock | DE | EUR | Apr 2016 |
Biography
Red Rock Resorts, Inc., through its interest in Station Holdco and Station LLC, engages in casino entertainment, and gaming and entertainment businesses in the United States. It operates through two segmen ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/08/18 00:45 |
| End of Day Share Price | 2019/08/16 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
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.