Wells Fargo & Company Has Lowered Expectations for Red Rock Resorts (NASDAQ:RRR) Stock Price

Red Rock Resorts (NASDAQ:RRR) had its price objective cut by research analysts at Wells Fargo & Company from $78.00 to $65.00 in a note issued to investors on Thursday, Benzinga reports. The brokerage presently has an “overweight” rating on the stock. Wells Fargo & Company‘s target price indicates a potential upside of 33.58% from the stock’s current price.

Other analysts have also recently issued reports about the stock. Citizens Jmp lowered their target price on shares of Red Rock Resorts from $71.00 to $70.00 and set a “market outperform” rating for the company in a research note on Wednesday. Truist Financial boosted their price objective on Red Rock Resorts from $68.00 to $75.00 and gave the company a “buy” rating in a research report on Monday, July 20th. JPMorgan Chase & Co. lowered their price objective on Red Rock Resorts from $71.00 to $64.00 and set an “overweight” rating on the stock in a report on Wednesday. Zacks Research raised shares of Red Rock Resorts from a “strong sell” rating to a “hold” rating in a research note on Friday, August 7th. Finally, Mizuho set a $62.00 target price on Red Rock Resorts in a research note on Wednesday. One investment analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating and four have issued a Hold rating to the company’s stock. Based on data from MarketBeat, Red Rock Resorts presently has a consensus rating of “Moderate Buy” and an average target price of $69.59.

Red Rock Resorts Price Performance

RRR stock opened at $48.66 on Thursday. Red Rock Resorts has a 52 week low of $47.42 and a 52 week high of $68.99. The firm has a market capitalization of $5.11 billion, a P/E ratio of 24.58, a price-to-earnings-growth ratio of 4.72 and a beta of 1.42. The company has a fifty day simple moving average of $51.96 and a two-hundred day simple moving average of $57.99. The company has a quick ratio of 0.63, a current ratio of 0.68 and a debt-to-equity ratio of 12.33.

Red Rock Resorts (NASDAQ:RRR) last issued its quarterly earnings results on Tuesday, November 3rd. The company reported ($0.17) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.45 by ($0.62). Red Rock Resorts had a return on equity of 44.10% and a net margin of 5.79%. The business had revenue of $488.70 million for the quarter, compared to the consensus estimate of $478.13 million. During the same period in the prior year, the business posted $0.68 earnings per share. Red Rock Resorts’s revenue was up 2.8% on a year-over-year basis. Analysts anticipate that Red Rock Resorts will post 1.54 earnings per share for the current fiscal year.

Insider Buying and Selling at Red Rock Resorts

In other news, President Scott Kreeger sold 31,159 shares of the stock in a transaction dated Friday, August 7th. The stock was sold at an average price of $61.78, for a total value of $1,925,003.02. Following the completion of the sale, the president owned 203,881 shares in the company, valued at approximately $12,595,768.18. This trade represents a 13.26% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. 54.34% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Red Rock Resorts

Large investors have recently modified their holdings of the stock. VIRGINIA RETIREMENT SYSTEMS ET Al acquired a new stake in Red Rock Resorts during the 2nd quarter worth about $3,220,000. Principal Financial Group Inc. lifted its stake in shares of Red Rock Resorts by 24.1% in the first quarter. Principal Financial Group Inc. now owns 287,633 shares of the company’s stock valued at $15,348,000 after buying an additional 55,845 shares during the period. Hsbc Holdings PLC boosted its position in shares of Red Rock Resorts by 168.3% during the 1st quarter. Hsbc Holdings PLC now owns 86,798 shares of the company’s stock valued at $4,642,000 after acquiring an additional 54,443 shares in the last quarter. Diamond Hill Capital Management LLC Investment Advisor acquired a new stake in shares of Red Rock Resorts in the 2nd quarter valued at $120,743,000. Finally, SWP Investment Management LLC acquired a new stake in shares of Red Rock Resorts in the second quarter valued at $2,782,000. 47.84% of the stock is owned by institutional investors.

Red Rock Resorts News Summary

Here are the key news stories impacting Red Rock Resorts this week:

• Positive Sentiment: Red Rock plans to invest $430 million in Durango North, targeting a Q3 2027 opening and a 20% return on investment. The project offers a potential longer-term growth driver, though it requires substantial upfront spending. Article
• Positive Sentiment: The company declared a quarterly dividend of $0.26 per share, equivalent to $1.04 annually and a roughly 2.1% yield at the cited share price. Dividend announcement
• Neutral Sentiment: Analysts continued to express support after the post-earnings decline. JPMorgan cut its price target to $64 but kept an Overweight rating; Citizens JMP lowered its target slightly to $70 while maintaining Market Outperform. The ratings remain favorable, but the target reductions suggest more cautious expectations. Analyst support article
• Negative Sentiment: Q3 revenue rose 2.8% year over year to $488.7 million and exceeded estimates, but earnings per share fell short of consensus and were down from $0.68 a year earlier. The earnings miss appears to be the key driver of the post-results selling. Q3 results

Red Rock Resorts Company Profile

Red Rock Resorts, Inc is a gaming, entertainment and hospitality company based in Las Vegas, Nevada. Through its principal operating subsidiary, Station Casinos, the company develops, owns and operates casino resorts and other gaming properties, primarily serving the Las Vegas locals market.

Its portfolio includes destination-style properties such as Red Rock Casino Resort & Spa, Green Valley Ranch Resort Spa and Casino, and Durango Casino & Resort, along with neighborhood casinos including Palace Station, Boulder Station, Santa Fe Station and several Wildfire locations.