(RRR) Red Rock Resorts - Overview
Sector: Consumer Cyclical | Industry: Resorts & Casinos | Exchange: NASDAQ (USA) | Market Cap: 5.611m USD | Total Return: 23.6% in 12m
Avg Turnover: 42.5M
EPS Trend: -93.5%
Qual. Beats: 1
Rev. Trend: 96.6%
Qual. Beats: 0
Warnings
Altman Z'' 1.01 < 1.0 - financial distress zone
Extended 1w
Tailwinds
No distinct edge detected
Red Rock Resorts, Inc., operating primarily through Station Casinos LLC, is a developer and manager of gaming and entertainment properties situated in the Las Vegas regional market. The company’s portfolio includes major destination resorts such as Durango Casino & Resort alongside several smaller neighborhood gaming facilities. Founded in 1976 and rebranded in 2016, the firm maintains a concentrated geographic footprint in Nevada.
The company utilizes a business model focused on the locals market, which typically exhibits higher margins and more stable cash flows compared to the tourism-dependent Las Vegas Strip. In the Casinos & Gaming sector, success often depends on land banking strategies to secure prime suburban locations before residential density increases. Investors may find it useful to evaluate these regional market dynamics further on ValueRay.
- Durango Casino expansion drives market share growth in Southwest Las Vegas
- Local population growth fuels gaming revenue in the Las Vegas valley
- High interest rates increase debt servicing costs for capital intensive projects
- Nevada regulatory changes impact operating margins and gaming tax structures
- Consumer discretionary spending levels dictate non-gaming revenue from hotel and dining
| Net Income: 186.2m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.14 > 0.02 and ΔFCF/TA 8.20 > 1.0 |
| NWC/Revenue: -3.30% < 20% (prev -1.22%; Δ -2.08% < -1%) |
| CFO/TA 0.15 > 3% & CFO 623.1m > Net Income 186.2m |
| Net Debt (3.49b) to EBITDA (802.9m): 4.34 < 3 |
| Current Ratio: 0.81 > 1.5 & < 3 |
| Outstanding Shares: last quarter (101.6m) vs 12m ago -1.71% < -2% |
| Gross Margin: 57.12% > 18% (prev 0.62%; Δ 5.65k% > 0.5%) |
| Asset Turnover: 48.64% > 50% (prev 47.67%; Δ 0.97% > 0%) |
| Interest Coverage Ratio: 2.99 > 6 (EBITDA TTM 802.9m / Interest Expense TTM 200.3m) |
| A: -0.02 (Total Current Assets 278.3m - Total Current Liabilities 345.0m) / Total Assets 4.22b |
| B: 0.03 (Retained Earnings 142.1m / Total Assets 4.22b) |
| C: 0.14 (EBIT TTM 598.0m / Avg Total Assets 4.15b) |
| D: 0.04 (Book Value of Equity 142.7m / Total Liabilities 3.98b) |
| Altman-Z'' = 1.01 = BB |
| DSRI: 1.23 (Receivables 87.7m/68.9m, Revenue 2.02b/1.95b) |
| GMI: 1.08 (GM 57.12% / 61.55%) |
| AQI: 0.85 (AQ_t 0.21 / AQ_t-1 0.24) |
| SGI: 1.04 (Revenue 2.02b / 1.95b) |
| TATA: -0.10 (NI 186.2m - CFO 623.1m) / TA 4.22b) |
| Beneish M = -2.94 (Cap -4..+1) = A |
As of May 31, 2026, the stock is trading at USD 58.38 with a total of 1,228,788 shares traded.
Over the past week, the price has changed by +9.39%,
over one month by +4.14%,
over three months by -3.15% and
over the past year by +23.61%.
Red Rock Resorts has received a consensus analysts rating of 4.00. Therefore, it is recommended to buy RRR.
- StrongBuy: 5
- Buy: 2
- Hold: 5
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 67.3 | 15.2% |
P/E Trailing = 17.8645
P/E Forward = 15.8228
P/S = 2.7766
P/B = 22.6867
P/EG = 1.6913
Revenue TTM = 2.02b USD
EBIT TTM = 598.0m USD
EBITDA TTM = 802.9m USD
Long Term Debt = 3.53b USD (from longTermDebt, last quarter)
Short Term Debt = 29.9m USD (from shortTermDebt, last quarter)
Debt = 3.62b USD (corrected: LT Debt 3.53b + ST Debt 29.9m) + Leases 58.8m
Net Debt = 3.49b USD (calculated: Debt 3.62b - CCE 134.0m)
Enterprise Value = 9.10b USD (5.61b + Debt 3.62b - CCE 134.0m)
Interest Coverage Ratio = 2.99 (Ebit TTM 598.0m / Interest Expense TTM 200.3m)
EV/FCF = 15.20x (Enterprise Value 9.10b / FCF TTM 598.3m)
FCF Yield = 6.58% (FCF TTM 598.3m / Enterprise Value 9.10b)
FCF Margin = 29.60% (FCF TTM 598.3m / Revenue TTM 2.02b)
Net Margin = 9.21% (Net Income TTM 186.2m / Revenue TTM 2.02b)
Gross Margin = 57.12% ((Revenue TTM 2.02b - Cost of Revenue TTM 866.6m) / Revenue TTM)
Gross Margin QoQ = 51.79% (prev 51.55%)
Tobins Q-Ratio = 2.15 (Enterprise Value 9.10b / Total Assets 4.22b)
Interest Expense / Debt = 5.53% (Interest Expense 200.3m / Debt 3.62b)
Taxrate = 13.69% (13.1m / 95.8m)
NOPAT = 516.1m (EBIT 598.0m * (1 - 13.69%))
Current Ratio = 0.81 (Total Current Assets 278.3m / Total Current Liabilities 345.0m)
Debt / Equity = 25.36 (Debt 3.62b / totalStockholderEquity, last quarter 142.7m)
Debt / EBITDA = 4.34 (Net Debt 3.49b / EBITDA 802.9m)
Debt / FCF = 5.83 (Net Debt 3.49b / FCF TTM 598.3m)
Total Stockholder Equity = 193.5m (last 4 quarters mean from totalStockholderEquity)
RoA = 4.48% (Net Income 186.2m / Total Assets 4.22b)
RoE = 96.22% (Net Income TTM 186.2m / Total Stockholder Equity 193.5m)
RoCE = 16.06% (EBIT 598.0m / Capital Employed (Equity 193.5m + L.T.Debt 3.53b))
RoIC = 13.67% (NOPAT 516.1m / Invested Capital 3.77b)
WACC = 7.02% (E(5.61b)/V(9.23b) * Re(8.46%) + D(3.62b)/V(9.23b) * Rd(5.53%) * (1-Tc(0.14)))
Discount Rate = 8.46% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -76.41 | Cagr: -0.65%
[DCF] Terminal Value 77.97% ; FCFF base≈456.5m ; Y1≈523.3m ; Y5≈770.2m
[DCF] Fair Price = 138.6 (EV 11.6b - Net Debt 3.49b = Equity 8.11b / Shares 58.5m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: -93.51 | EPS CAGR: -16.52% | SUE: 1.40 | # QB: 1
Revenue Correlation: 96.61 | Revenue CAGR: 7.70% | SUE: 0.08 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.37 | Chg30d=-33.33% | Revisions=-43% | Analysts=5
EPS next Quarter (2026-09-30): EPS=0.34 | Chg30d=-30.08% | Revisions=-43% | Analysts=5
EPS current Year (2026-12-31): EPS=1.61 | Chg30d=-25.45% | Revisions=-43% | GrowthEPS=-48.3% | GrowthRev=+0.4%
EPS next Year (2027-12-31): EPS=2.03 | Chg30d=-17.81% | Revisions=-43% | GrowthEPS=+25.6% | GrowthRev=+5.8%
[Analyst] Revisions Ratio: -43%