CBRE Raises Red Rock Resorts Price Target
Summary
CBRE has upped its stock-price target for Red Rock Resorts, stating that the locals casino market is better equipped to handle potential economic downturns through 2026 compared to the Las Vegas Strip. After recent meetings with Red Rock management, analyst John DeCree highlighted the strength of the locals market against worries over Strip performance.
Key Points
- CBRE has raised its price target to $57 from $55 for Red Rock Resorts, backed by a higher 2026 EBITDA estimate.
- The locals casino market shows resilience compared to the Las Vegas Strip amid rising caution from investors.
- Red Rock Resorts is seen as a top pick in the gaming sector due to its robust growth pipeline and strategic developments.
- The company is expected to navigate seasonal slowdowns without issues while continuing its expansion projects.
- Current developments include upgrades at Durango, Sunset Station, and Green Valley Ranch, expected to yield returns from 2026 onwards.
Why should I read this?
If you’re interested in the gaming industry and investment opportunities, this article dives into the potential of Red Rock Resorts amidst economic uncertainty. It offers insights that could be crucial for understanding market dynamics and making informed investment decisions.
