62.74 USD
+0.69 (+1.11%)
62.74 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to RRR. RRR was compared to 133 industry peers in the Hotels, Restaurants & Leisure industry. While RRR has a great profitability rating, there are quite some concerns on its financial health. RRR has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
RRR had positive earnings in the past year.
RRR had a positive operating cash flow in the past year.
RRR had positive earnings in 4 of the past 5 years.
RRR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
RRR's Return On Assets of 4.64% is fine compared to the rest of the industry. RRR outperforms 64.66% of its industry peers.
RRR has a better Return On Equity (86.51%) than 93.23% of its industry peers.
The Return On Invested Capital of RRR (14.52%) is better than 82.71% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for RRR is above the industry average of 10.41%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.64% | ||
| ROE | 86.51% | ||
| ROIC | 14.52% |
ROA(3y)4.8%
ROA(5y)3.62%
ROE(3y)215.02%
ROE(5y)201.79%
ROIC(3y)15.17%
ROIC(5y)13.12%
1.3 Margins
RRR has a Profit Margin of 9.52%. This is in the better half of the industry: RRR outperforms 70.68% of its industry peers.
RRR's Profit Margin has declined in the last couple of years.
RRR has a better Operating Margin (30.65%) than 96.99% of its industry peers.
In the last couple of years the Operating Margin of RRR has grown nicely.
Looking at the Gross Margin, with a value of 62.23%, RRR is in the better half of the industry, outperforming 76.69% of the companies in the same industry.
In the last couple of years the Gross Margin of RRR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 30.65% | ||
| PM (TTM) | 9.52% | ||
| GM | 62.23% |
OM growth 3Y-5.04%
OM growth 5Y15.48%
PM growth 3Y-19%
PM growth 5YN/A
GM growth 3Y-2.19%
GM growth 5Y4.76%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), RRR is creating some value.
Compared to 1 year ago, RRR has more shares outstanding
The number of shares outstanding for RRR has been reduced compared to 5 years ago.
RRR has about the same debt/assets ratio as last year.
2.2 Solvency
RRR has an Altman-Z score of 2.04. This is not the best score and indicates that RRR is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.04, RRR is in line with its industry, outperforming 59.40% of the companies in the same industry.
RRR has a debt to FCF ratio of 10.24. This is a negative value and a sign of low solvency as RRR would need 10.24 years to pay back of all of its debts.
RRR has a Debt to FCF ratio (10.24) which is in line with its industry peers.
RRR has a Debt/Equity ratio of 15.23. This is a high value indicating a heavy dependency on external financing.
RRR has a worse Debt to Equity ratio (15.23) than 68.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 15.23 | ||
| Debt/FCF | 10.24 | ||
| Altman-Z | 2.04 |
ROIC/WACC1.67
WACC8.67%
2.3 Liquidity
A Current Ratio of 0.75 indicates that RRR may have some problems paying its short term obligations.
With a Current ratio value of 0.75, RRR is not doing good in the industry: 60.90% of the companies in the same industry are doing better.
RRR has a Quick Ratio of 0.75. This is a bad value and indicates that RRR is not financially healthy enough and could expect problems in meeting its short term obligations.
RRR has a Quick ratio of 0.70. This is in the lower half of the industry: RRR underperforms 61.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.7 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 8.02% over the past year.
RRR shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -25.80% yearly.
Looking at the last year, RRR shows a small growth in Revenue. The Revenue has grown by 4.69% in the last year.
Measured over the past years, RRR shows a small growth in Revenue. The Revenue has been growing by 0.87% on average per year.
EPS 1Y (TTM)8.02%
EPS 3Y-25.8%
EPS 5YN/A
EPS Q2Q%83.78%
Revenue 1Y (TTM)4.69%
Revenue growth 3Y6.22%
Revenue growth 5Y0.87%
Sales Q2Q%1.61%
3.2 Future
RRR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.82% yearly.
Based on estimates for the next years, RRR will show a small growth in Revenue. The Revenue will grow by 3.70% on average per year.
EPS Next Y20.36%
EPS Next 2Y14.16%
EPS Next 3Y12.82%
EPS Next 5YN/A
Revenue Next Year3.38%
Revenue Next 2Y3.42%
Revenue Next 3Y3.7%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 22.17, RRR is valued on the expensive side.
Based on the Price/Earnings ratio, RRR is valued a bit cheaper than 64.66% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.57. RRR is around the same levels.
Based on the Price/Forward Earnings ratio of 22.71, the valuation of RRR can be described as rather expensive.
The rest of the industry has a similar Price/Forward Earnings ratio as RRR.
RRR is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 24.04, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.17 | ||
| Fwd PE | 22.71 |
4.2 Price Multiples
RRR's Enterprise Value to EBITDA is on the same level as the industry average.
RRR's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. RRR is cheaper than 72.18% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.97 | ||
| EV/EBITDA | 12.23 |
4.3 Compensation for Growth
RRR's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
RRR has a very decent profitability rating, which may justify a higher PE ratio.
RRR's earnings are expected to grow with 12.82% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.09
PEG (5Y)N/A
EPS Next 2Y14.16%
EPS Next 3Y12.82%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.66%, RRR has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 1.52, RRR pays a bit more dividend than its industry peers.
RRR's Dividend Yield is comparable with the S&P500 average which is at 1.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.66% |
5.2 History
On average, the dividend of RRR grows each year by 36.35%, which is quite nice.
RRR has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of RRR decreased recently.
Dividend Growth(5Y)36.35%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
RRR pays out 63.27% of its income as dividend. This is not a sustainable payout ratio.
The dividend of RRR is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP63.27%
EPS Next 2Y14.16%
EPS Next 3Y12.82%
62.74
+0.69 (+1.11%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners84.4%
Inst Owner Change1.97%
Ins Owners1.81%
Ins Owner Change0.23%
Market Cap6.64B
Revenue(TTM)2.00B
Net Income(TTM)190.00M
Analysts80
Price TargetN/A
Short Float %6.62%
Short Ratio3.93
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.66% |
Yearly Dividend1.13
Dividend Growth(5Y)36.35%
DP63.27%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)68.03%
Min EPS beat(2)36.1%
Max EPS beat(2)99.96%
EPS beat(4)3
Avg EPS beat(4)41.6%
Min EPS beat(4)-1.23%
Max EPS beat(4)99.96%
EPS beat(8)5
Avg EPS beat(8)27.02%
EPS beat(12)9
Avg EPS beat(12)36.18%
EPS beat(16)11
Avg EPS beat(16)33.04%
Revenue beat(2)1
Avg Revenue beat(2)2.96%
Min Revenue beat(2)-1.33%
Max Revenue beat(2)7.25%
Revenue beat(4)1
Avg Revenue beat(4)1.27%
Min Revenue beat(4)-1.33%
Max Revenue beat(4)7.25%
Revenue beat(8)4
Avg Revenue beat(8)1.19%
Revenue beat(12)5
Avg Revenue beat(12)0.91%
Revenue beat(16)8
Avg Revenue beat(16)0.94%
PT rev (1m)1.2%
PT rev (3m)2.79%
EPS NQ rev (1m)5.46%
EPS NQ rev (3m)10.22%
EPS NY rev (1m)8.98%
EPS NY rev (3m)12.05%
Revenue NQ rev (1m)-0.03%
Revenue NQ rev (3m)-0.8%
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)-0.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.17 | ||
| Fwd PE | 22.71 | ||
| P/S | 3.33 | ||
| P/FCF | 19.97 | ||
| P/OCF | 11.05 | ||
| P/B | 30.24 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.23 |
EPS(TTM)2.83
EY4.51%
EPS(NY)2.76
Fwd EY4.4%
FCF(TTM)3.14
FCFY5.01%
OCF(TTM)5.68
OCFY9.05%
SpS18.85
BVpS2.07
TBVpS-0.53
PEG (NY)1.09
PEG (5Y)N/A
Graham Number11.49
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.64% | ||
| ROE | 86.51% | ||
| ROCE | 16.36% | ||
| ROIC | 14.52% | ||
| ROICexc | 15.04% | ||
| ROICexgc | 16.29% | ||
| OM | 30.65% | ||
| PM (TTM) | 9.52% | ||
| GM | 62.23% | ||
| FCFM | 16.67% |
ROA(3y)4.8%
ROA(5y)3.62%
ROE(3y)215.02%
ROE(5y)201.79%
ROIC(3y)15.17%
ROIC(5y)13.12%
ROICexc(3y)15.81%
ROICexc(5y)13.87%
ROICexgc(3y)17.28%
ROICexgc(5y)15.26%
ROCE(3y)17.1%
ROCE(5y)14.79%
ROICexgc growth 3Y-9.38%
ROICexgc growth 5Y17.38%
ROICexc growth 3Y-8.43%
ROICexc growth 5Y17.48%
OM growth 3Y-5.04%
OM growth 5Y15.48%
PM growth 3Y-19%
PM growth 5YN/A
GM growth 3Y-2.19%
GM growth 5Y4.76%
F-Score8
Asset Turnover0.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 15.23 | ||
| Debt/FCF | 10.24 | ||
| Debt/EBITDA | 4.15 | ||
| Cap/Depr | 138.85% | ||
| Cap/Sales | 13.46% | ||
| Interest Coverage | 3.04 | ||
| Cash Conversion | 74.67% | ||
| Profit Quality | 175.04% | ||
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.7 | ||
| Altman-Z | 2.04 |
F-Score8
WACC8.67%
ROIC/WACC1.67
Cap/Depr(3y)375.42%
Cap/Depr(5y)238.66%
Cap/Sales(3y)29.95%
Cap/Sales(5y)19.77%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)8.02%
EPS 3Y-25.8%
EPS 5YN/A
EPS Q2Q%83.78%
EPS Next Y20.36%
EPS Next 2Y14.16%
EPS Next 3Y12.82%
EPS Next 5YN/A
Revenue 1Y (TTM)4.69%
Revenue growth 3Y6.22%
Revenue growth 5Y0.87%
Sales Q2Q%1.61%
Revenue Next Year3.38%
Revenue Next 2Y3.42%
Revenue Next 3Y3.7%
Revenue Next 5YN/A
EBIT growth 1Y4.14%
EBIT growth 3Y0.87%
EBIT growth 5Y16.49%
EBIT Next Year45.97%
EBIT Next 3Y16.93%
EBIT Next 5YN/A
FCF growth 1Y236.75%
FCF growth 3Y-22.89%
FCF growth 5YN/A
OCF growth 1Y30.66%
OCF growth 3Y-3.49%
OCF growth 5Y11.61%
RED ROCK RESORTS INC-CLASS A / RRR FAQ
Can you provide the ChartMill fundamental rating for RED ROCK RESORTS INC-CLASS A?
ChartMill assigns a fundamental rating of 5 / 10 to RRR.
Can you provide the valuation status for RED ROCK RESORTS INC-CLASS A?
ChartMill assigns a valuation rating of 4 / 10 to RED ROCK RESORTS INC-CLASS A (RRR). This can be considered as Fairly Valued.
How profitable is RED ROCK RESORTS INC-CLASS A (RRR) stock?
RED ROCK RESORTS INC-CLASS A (RRR) has a profitability rating of 7 / 10.
What is the earnings growth outlook for RED ROCK RESORTS INC-CLASS A?
The Earnings per Share (EPS) of RED ROCK RESORTS INC-CLASS A (RRR) is expected to grow by 20.36% in the next year.
How sustainable is the dividend of RED ROCK RESORTS INC-CLASS A (RRR) stock?
The dividend rating of RED ROCK RESORTS INC-CLASS A (RRR) is 4 / 10 and the dividend payout ratio is 63.27%.