Latest news with #VICIPropertiesInc
Yahoo
26-06-2025
- Business
- Yahoo
Should You Invest in VICI Properties (VICI) Based on Bullish Wall Street Views?
When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important? Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about VICI Properties Inc. (VICI). VICI Properties currently has an average brokerage recommendation (ABR) of 1.32, on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 22 brokerage firms. An ABR of 1.32 approximates between Strong Buy and Buy. Of the 22 recommendations that derive the current ABR, 18 are Strong Buy and one is Buy. Strong Buy and Buy respectively account for 81.8% and 4.6% of all recommendations. Check price target & stock forecast for VICI Properties here>>> The ABR suggests buying VICI Properties, but making an investment decision solely on the basis of this information might not be a good idea. According to several studies, brokerage recommendations have little to no success guiding investors to choose stocks with the most potential for price appreciation. Are you wondering why? The vested interest of brokerage firms in a stock they cover often results in a strong positive bias of their analysts in rating it. Our research shows that for every "Strong Sell" recommendation, brokerage firms assign five "Strong Buy" recommendations. This means that the interests of these institutions are not always aligned with those of retail investors, giving little insight into the direction of a stock's future price movement. It would therefore be best to use this information to validate your own analysis or a tool that has proven to be highly effective at predicting stock price movements. Zacks Rank, our proprietary stock rating tool with an impressive externally audited track record, categorizes stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), and is an effective indicator of a stock's price performance in the near future. Therefore, using the ABR to validate the Zacks Rank could be an efficient way of making a profitable investment decision. In spite of the fact that Zacks Rank and ABR both appear on a scale from 1 to 5, they are two completely different measures. The ABR is calculated solely based on brokerage recommendations and is typically displayed with decimals (example: 1.28). In contrast, the Zacks Rank is a quantitative model allowing investors to harness the power of earnings estimate revisions. It is displayed in whole numbers -- 1 to 5. It has been and continues to be the case that analysts employed by brokerage firms are overly optimistic with their recommendations. Because of their employers' vested interests, these analysts issue more favorable ratings than their research would support, misguiding investors far more often than helping them. In contrast, the Zacks Rank is driven by earnings estimate revisions. And near-term stock price movements are strongly correlated with trends in earnings estimate revisions, according to empirical research. Furthermore, the different grades of the Zacks Rank are applied proportionately across all stocks for which brokerage analysts provide earnings estimates for the current year. In other words, at all times, this tool maintains a balance among the five ranks it assigns. Another key difference between the ABR and Zacks Rank is freshness. The ABR is not necessarily up-to-date when you look at it. But, since brokerage analysts keep revising their earnings estimates to account for a company's changing business trends, and their actions get reflected in the Zacks Rank quickly enough, it is always timely in indicating future price movements. Looking at the earnings estimate revisions for VICI Properties, the Zacks Consensus Estimate for the current year has increased 0.2% over the past month to $2.35. Analysts' growing optimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher, could be a legitimate reason for the stock to soar in the near term. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #2 (Buy) for VICI Properties. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> Therefore, the Buy-equivalent ABR for VICI Properties may serve as a useful guide for investors. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report VICI Properties Inc. (VICI) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
14-06-2025
- Business
- Yahoo
Here's Why VICI Properties Inc. (VICI) Fell More Than Broader Market
VICI Properties Inc. (VICI) ended the recent trading session at $32.12, demonstrating a -1.44% change from the preceding day's closing price. This change lagged the S&P 500's daily loss of 1.13%. Elsewhere, the Dow saw a downswing of 1.79%, while the tech-heavy Nasdaq depreciated by 1.3%. Prior to today's trading, shares of the company had gained 3.04% outpaced the Finance sector's gain of 1.24% and lagged the S&P 500's gain of 3.55%. Analysts and investors alike will be keeping a close eye on the performance of VICI Properties Inc. in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $0.59, marking a 3.51% rise compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $995.46 million, up 4.02% from the prior-year quarter. For the full year, the Zacks Consensus Estimates project earnings of $2.34 per share and a revenue of $3.98 billion, demonstrating changes of +3.54% and +3.5%, respectively, from the preceding year. Any recent changes to analyst estimates for VICI Properties Inc. should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability. Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system. The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, there's been a 0.17% rise in the Zacks Consensus EPS estimate. VICI Properties Inc. presently features a Zacks Rank of #2 (Buy). Investors should also note VICI Properties Inc.'s current valuation metrics, including its Forward P/E ratio of 13.9. For comparison, its industry has an average Forward P/E of 11.8, which means VICI Properties Inc. is trading at a premium to the group. We can also see that VICI currently has a PEG ratio of 3.03. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As the market closed yesterday, the REIT and Equity Trust - Other industry was having an average PEG ratio of 2.53. The REIT and Equity Trust - Other industry is part of the Finance sector. With its current Zacks Industry Rank of 135, this industry ranks in the bottom 46% of all industries, numbering over 250. The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Ensure to harness to stay updated with all these stock-shifting metrics, among others, in the next trading sessions. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report VICI Properties Inc. (VICI) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
13-06-2025
- Business
- Yahoo
O vs. VICI: Which Net Lease REIT Offers Safer Income in 2025?
Net lease REITs, which lease properties under agreements where tenants are responsible for property taxes, insurance and maintenance, appeal to income-focused investors due to their predictable cash flows. Two standout players in this space are Realty Income Corporation O and VICI Properties Inc. VICI. Both boast strong tenant relationships, investment-grade credit profiles and growing portfolios. Yet, their strategies, sector exposure and long-term reliability differ. In an environment fraught with tariff uncertainty, fiscal concerns and volatile markets, a reliable dividend stream continues to attract income-focused investors, and therefore, we examine which REIT offers safer income in 2025 by evaluating their portfolios, tenant bases, lease structures and financial strength. Realty Income, widely known as 'The Monthly Dividend Company,' has built a reputation for consistency, boasting 131 dividend hikes since its NYSE listing in 1994, 30 consecutive years of dividend growth and 111 straight quarterly increases, underscoring its resilience. This consistency is anchored by a globally diversified portfolio of 15,627 properties across 50 U.S. states and other international markets, leased to tenants in 91 different industries. A staggering 91% of its retail rent comes from non-discretionary, service-based tenants such as dollar stores, grocery chains and convenience stores — sectors that tend to hold up well in company's strength lies in its scale and diversification. Its focus on single-tenant, freestanding properties under long-term net leases has resulted in a historical median occupancy rate of 98.2%. Realty Income has also expanded into high-growth areas like data centers and gaming, with recent transactions including Encore Boston Harbor and a partnership with Digital Realty. It expects full-year investments to total around $4 billion. With a global net lease addressable market estimated at $14 trillion, long-term growth potential remains the REIT maintains $2.9 billion in liquidity, investment-grade ratings (A-/A3) and a well-laddered debt maturity profile. With a fixed charge coverage ratio of 4.7 and net debt/EBITDAre at 5.4, its balance sheet provides flexibility for future growth. However, retail exposure poses some risk from bankruptcies or trade disruptions. Additionally, interest rate sensitivity and elevated leverage ($27.6 billion in debt) remain key concerns in a high-rate environment. Its interest expenses were up 11.5% year over year to $268.4 million in the first quarter of 2025. VICI Properties is a leading experiential net lease REIT with a portfolio of 93 properties, including Caesars Palace, MGM Grand and the Venetian Resort in Las Vegas. It specializes in mission-critical assets in gaming, hospitality and entertainment, with properties located in 26 U.S. states and one Canadian province. These assets are under long-term triple-net leases with initial terms ranging from 15 to 32 years and extension options pushing average lease terms to more than 40 makes VICI especially compelling is its 100% occupancy rate and the mission-critical nature of its assets — tenants cannot easily relocate without incurring significant costs or regulatory hurdles. About 74% of rent roll comes from S&P 500 tenants, underscoring the creditworthiness and transparency of its income stream. Furthermore, 42% of leases are CPI-linked in 2025, set to rise to 90% by 2035, providing built-in inflation concentration risks from major tenants like Caesars and MGM, VICI is actively diversifying beyond gaming. Acquisitions of experiential assets such as Bowlero and Chelsea Piers, alongside a $300 million strategic loan tied to One Beverly Hills, show its capability to deploy capital across stable, non-gaming segments. VICI also holds an investment-grade rating from all three major agencies and maintains $3.2 billion in liquidity with a targeted net leverage ratio of a 7.4% CAGR in dividends since 2018 and a strong commitment to returning 75% of AFFO to shareholders, VICI offers a secure and growing income stream. The Zacks Consensus Estimate for Realty Income's 2025 sales and funds from operations (FFO) per share implies year-over-year growth of 6.48% and 2.15%, respectively. Also, FFO per share estimates for 2025 and 2026 have been revised marginally northward over the past 30 days. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)For Realty Income: Image Source: Zacks Investment Research The Zacks Consensus Estimate for VICI Properties' 2025 sales and FFO per share implies year-over-year growth of 3.5% and 3.54%, respectively. What is also encouraging is that FFO per share estimates for 2025 and 2026 have been trending northward over the past 60 days. For VICI Properties: Image Source: Zacks Investment Research Year to date, Realty Income shares have risen 8.1%, while VICI Properties stock has gained 11.2%. In comparison, the S&P 500 composite has risen 1.8% in the same time frame. Image Source: Zacks Investment Research O is trading at a forward 12-month price-to-FFO, which is a commonly used multiple for valuing REITs, of 13.30X, ahead of its one-year median of 13.14X. Meanwhile, VICI is presently trading at a forward 12-month price-to-FFO of 13.63X, which is closer to its one-year median of 13.60X. O carries a Value Score of D, while VICI has a Value Score of C. Image Source: Zacks Investment Research While Realty Income remains a stalwart in the net lease space with unmatched scale and reliability, VICI Properties offers a superior income safety profile in 2025. Its longer lease durations, mission-critical assets, inflation-protected rent escalators, and highly creditworthy tenant base give it the edge. Moreover, VICI's strategic diversification beyond gaming and strategic capital deployment further reduces risk. For investors seeking a potentially growing income stream amid macroeconomic uncertainties, VICI Properties stands out as the better net lease REIT VICI carries a Zacks Rank #2 (Buy), O has a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks Anything related to earnings presented in this write-up represent funds from operations (FFO) — a widely used metric to gauge the performance of REITs. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Realty Income Corporation (O) : Free Stock Analysis Report VICI Properties Inc. (VICI) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
06-06-2025
- Business
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VICI Properties Inc. (VICI) Ascends While Market Falls: Some Facts to Note
VICI Properties Inc. (VICI) closed at $31.45 in the latest trading session, marking a +0.22% move from the prior day. The stock exceeded the S&P 500, which registered a loss of 0.53% for the day. On the other hand, the Dow registered a loss of 0.26%, and the technology-centric Nasdaq decreased by 0.83%. Coming into today, shares of the company had lost 0.88% in the past month. In that same time, the Finance sector gained 3.08%, while the S&P 500 gained 5.17%. The investment community will be closely monitoring the performance of VICI Properties Inc. in its forthcoming earnings report. It is anticipated that the company will report an EPS of $0.59, marking a 3.51% rise compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $995.14 million, indicating a 3.99% growth compared to the corresponding quarter of the prior year. For the annual period, the Zacks Consensus Estimates anticipate earnings of $2.34 per share and a revenue of $3.98 billion, signifying shifts of +3.54% and +3.52%, respectively, from the last year. Any recent changes to analyst estimates for VICI Properties Inc. should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability. Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model. The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.17% higher. Right now, VICI Properties Inc. possesses a Zacks Rank of #2 (Buy). In terms of valuation, VICI Properties Inc. is currently trading at a Forward P/E ratio of 13.39. This indicates a premium in contrast to its industry's Forward P/E of 11.24. Meanwhile, VICI's PEG ratio is currently 2.91. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the REIT and Equity Trust - Other industry stood at 2.44 at the close of the market yesterday. The REIT and Equity Trust - Other industry is part of the Finance sector. This industry, currently bearing a Zacks Industry Rank of 130, finds itself in the bottom 48% echelons of all 250+ industries. The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Make sure to utilize to follow all of these stock-moving metrics, and more, in the coming trading sessions. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report VICI Properties Inc. (VICI) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
02-05-2025
- Business
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VICI Properties Inc. (VICI): Among the Cheap Dividend Stocks Being Targeted by Short Sellers
We recently published a list of the 25 Cheap Dividend Stocks Being Targeted by Short Sellers. In this article, we are going to take a look at where VICI Properties Inc. (NYSE:VICI) stands against other cheap dividend stocks. Short sellers — investors who profit from falling stock prices —are seeing a surge in success in 2025. They gained $159 billion in paper profits over just six trading sessions as escalating trade tensions triggered a drop of more than 10% in the US stock market. The sharp market decline, the steepest since 2022, followed President Donald Trump's announcement of broad global tariffs. According to S3 Partners LLC, the most lucrative short position during this period was against the SPY ETF, which tracks the S&P Index. Traders betting against this fund have racked up over $6.1 billion in paper gains so far this month, based on an April 8 report from S3. Short sellers could profit from the sharp intraday market swings that wiped out trillions in value, though their actual gains will depend on when they close their positions. S3 data showed that another $46 billion in new short bets were added in April, raising the risk that these bearish positions could intensify the market's next major move, particularly if the current downturn reverses and pushes major indexes higher. Ihor Dusaniwsky, managing director of predictive analytics at S3, made the following comment: 'Overall, the short side was an extraordinarily profitable trade up and down the market during this correction. 81% of every short trade was profitable and 97% of every dollar shorted was a profitable trade.' Another report from S&P Dow Jones Indices noted that the average short interest in US stocks rose to 87 basis points over the past month. The biggest jumps were observed in the Automobiles sector, which climbed by 11 basis points, followed by a 10 basis-point increase in the Commercial and Professional Services sector, and a 9 basis-point rise in the Food and Beverage sector. Although dividend-paying stocks are generally considered more stable than growth stocks, they have still been subject to short selling throughout history. In their 1998 study Who Trades Around the Ex-Dividend Day?, Jennifer Lynch Koski and John T. Scruggs found unusual trading patterns leading up to the ex-dividend date. They suggested that security dealers might short a stock while it still includes the dividend and then repurchase it after the ex-dividend date if they expect the stock's price drop to be larger than the dividend amount. Similarly, in their research paper Tax-Induced Trading Around Ex-Dividend Days, Josef Lakonishok and Theo Vermaelen observed unusual levels of short selling on and shortly after the ex-dividend date. They found that this activity tends to be more pronounced in stocks offering higher dividend yields. Their findings suggest that short sellers aim to minimize the typical price drop that often follows the ex-dividend date. A business executive in a sharp suit shaking hands on a real estate deal. For this article, we screened for dividend stocks with more than 3% of their float sold short, using data from Yahoo Finance recorded on April 15. From that group, we picked stocks with dividend yields above 3%, as of April 28. Companies offering high dividend yields are often more likely to attract the attention of short sellers. The stocks are ranked in ascending order of their short % of float. At Insider Monkey, we are obsessed with hedge funds. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (). Short % of Float as of April 15: 3.03% Dividend Yield as of April 28: 5.40% VICI Properties Inc. (NYSE:VICI) is an American real estate investment trust company that invests in casinos and entertainment properties. The stock is often targeted by short sellers, largely because of its high dividend yield, significant dependence on the gaming sector, and sensitivity to changes in interest rates. Although its strong ties to the gaming industry could seem like a risk, casinos have generally proven to be resilient even in tough economic times. The company further strengthens its position by locking in tenants with long-term leases, while the strict regulations governing the gaming industry make it difficult for tenants to move elsewhere, providing additional stability. This strategy has allowed VICI Properties Inc. (NYSE:VICI) to achieve full occupancy since its 2018 IPO, even through challenges such as the COVID-19 pandemic, which heavily affected the travel, hospitality, and casino industries. In addition, many of VICI's leases are tied to the consumer price index (CPI), enabling rental increases that help offset inflation. Since the start of 2025, the stock has surged by over 11%. In the latest quarter, VICI Properties Inc. (NYSE:VICI) showcased a strong financial position, finishing fiscal 2024 with $524.6 million in cash. The company also returned $456.7 million to shareholders through dividends during the fourth quarter. Since establishing its dividend policy in 2018, VICI has consistently raised its dividend each year. The company offers a quarterly dividend of $$0.4325 per share and has a dividend yield of 5.4%, as of April 28. Overall, VICI ranks 25th on our list of the dividend stocks targeted by short sellers. While we acknowledge the potential of VICI as an investment, our conviction lies in the belief that some deeply undervalued dividend stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for a deeply undervalued dividend stock that is more promising than VICI but that trades at 10 times its earnings and grows its earnings at double digit rates annually, check out our report about the . READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at . Sign in to access your portfolio
