Red Rock Resorts, Inc. (NASDAQ:RRR) Sees Large Growth in Short Interest

Red Rock Resorts, Inc. (NASDAQ:RRR) saw a large growth in short interest in the month of September. As of September 15th, there was short interest totalling 2,340,000 shares, a growth of 23.8% from the August 31st total of 1,890,000 shares. Based on an average daily trading volume, of 480,600 shares, the short-interest ratio is presently 4.9 days. Approximately 4.6% of the company’s shares are short sold.

Insider Activity

In related news, VP Lorenzo J. Fertitta acquired 33,000 shares of the stock in a transaction dated Thursday, August 1st. The stock was bought at an average cost of $54.49 per share, with a total value of $1,798,170.00. Following the purchase, the vice president now directly owns 47,480,301 shares of the company’s stock, valued at $2,587,201,601.49. The transaction was disclosed in a filing with the SEC, which is available through this link. In other Red Rock Resorts news, VP Lorenzo J. Fertitta bought 33,000 shares of Red Rock Resorts stock in a transaction that occurred on Thursday, August 1st. The shares were acquired at an average price of $54.49 per share, for a total transaction of $1,798,170.00. Following the acquisition, the vice president now owns 47,480,301 shares of the company’s stock, valued at approximately $2,587,201,601.49. The acquisition was disclosed in a filing with the SEC, which is available at this link. Also, CEO Frank J. Fertitta III bought 67,000 shares of Red Rock Resorts stock in a transaction that occurred on Thursday, August 1st. The shares were acquired at an average price of $54.49 per share, for a total transaction of $3,650,830.00. Following the acquisition, the chief executive officer now directly owns 45,914,301 shares in the company, valued at approximately $2,501,870,261.49. The disclosure for this purchase can be found here. Insiders purchased 200,000 shares of company stock valued at $10,426,000 in the last ninety days. Company insiders own 53.28% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of RRR. Point72 DIFC Ltd acquired a new stake in shares of Red Rock Resorts in the 2nd quarter worth approximately $98,000. Truist Financial Corp lifted its stake in shares of Red Rock Resorts by 0.9% in the 2nd quarter. Truist Financial Corp now owns 27,545 shares of the company’s stock worth $1,513,000 after acquiring an additional 241 shares during the period. Point72 Asset Management L.P. acquired a new stake in shares of Red Rock Resorts in the 2nd quarter worth approximately $4,907,000. Creative Planning lifted its stake in shares of Red Rock Resorts by 5.9% in the 2nd quarter. Creative Planning now owns 15,902 shares of the company’s stock worth $873,000 after acquiring an additional 886 shares during the period. Finally, Algert Global LLC acquired a new stake in shares of Red Rock Resorts in the 2nd quarter worth approximately $279,000. Institutional investors own 47.84% of the company’s stock.

Wall Street Analyst Weigh In

Several equities analysts recently weighed in on RRR shares. Wells Fargo & Company lowered shares of Red Rock Resorts from an “overweight” rating to an “equal weight” rating and lifted their target price for the company from $63.00 to $64.00 in a report on Wednesday, July 24th. Morgan Stanley boosted their price objective on shares of Red Rock Resorts from $54.00 to $56.00 and gave the stock an “equal weight” rating in a report on Wednesday, September 4th. Macquarie boosted their price objective on shares of Red Rock Resorts from $62.00 to $65.00 and gave the stock an “outperform” rating in a report on Wednesday, July 24th. Truist Financial cut their price objective on shares of Red Rock Resorts from $64.00 to $63.00 and set a “hold” rating on the stock in a report on Wednesday, July 24th. Finally, Barclays boosted their price objective on shares of Red Rock Resorts from $63.00 to $65.00 and gave the stock an “overweight” rating in a report on Wednesday, July 24th. Six analysts have rated the stock with a hold rating and seven have given a buy rating to the company’s stock. According to data from MarketBeat, Red Rock Resorts has a consensus rating of “Moderate Buy” and a consensus price target of $63.50.

Red Rock Resorts Stock Performance

Shares of NASDAQ:RRR traded up $0.35 during trading on Friday, reaching $54.70. 430,361 shares of the company’s stock traded hands, compared to its average volume of 437,396. Red Rock Resorts has a 12 month low of $37.82 and a 12 month high of $63.28. The company has a debt-to-equity ratio of 15.15, a current ratio of 0.94 and a quick ratio of 0.89. The stock has a market capitalization of $5.78 billion, a P/E ratio of 18.99, a price-to-earnings-growth ratio of 5.40 and a beta of 2.04. The company has a 50 day moving average of $55.31 and a 200-day moving average of $55.16.

Red Rock Resorts (NASDAQ:RRR) last posted its earnings results on Tuesday, July 23rd. The company reported $0.59 EPS for the quarter, topping the consensus estimate of $0.43 by $0.16. Red Rock Resorts had a net margin of 9.21% and a return on equity of 83.84%. The firm had revenue of $486.40 million during the quarter, compared to analysts’ expectations of $475.80 million. During the same quarter in the prior year, the firm earned $0.65 EPS. Red Rock Resorts’s quarterly revenue was up 16.9% on a year-over-year basis. On average, equities analysts expect that Red Rock Resorts will post 1.66 EPS for the current year.

Red Rock Resorts Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, September 30th. Shareholders of record on Monday, September 16th will be given a $0.25 dividend. This represents a $1.00 annualized dividend and a yield of 1.83%. The ex-dividend date of this dividend is Monday, September 16th. Red Rock Resorts’s dividend payout ratio (DPR) is 34.72%.

About Red Rock Resorts

Red Rock Resorts, Inc, through its interest in Station Casinos LLC, develops and operates casino and entertainment properties in the United States. The company owns and operates gaming and entertainment facilities, including Durango Casino & Resort and smaller casinos in the Las Vegas regional market.