{"id":3542,"date":"2024-10-09T20:24:01","date_gmt":"2024-10-09T20:24:01","guid":{"rendered":"http:\/\/restaurace-pohoda.eu\/?p=3542"},"modified":"2024-10-17T13:29:05","modified_gmt":"2024-10-17T13:29:05","slug":"red-rock-stock-could-feel-election-impact-says-analyst","status":"publish","type":"post","link":"http:\/\/restaurace-pohoda.eu\/index.php\/2024\/10\/09\/red-rock-stock-could-feel-election-impact-says-analyst\/","title":{"rendered":"Red Rock Stock Could Feel Election Impact, Says Analyst"},"content":{"rendered":"

Shares of Red Rock Resorts (NASDAQ: RRR) have recently scuffled, shedding almost 10% over the past 90 days. That could be the result of weak seasonality stemming from 2024 being a presidential election year.<\/p>\n

\"Green
Red Rock\u2019s Green Valley Ranch in Henderson, Nevada. An analyst said the stock could be affected by the presidential election. (Image: Green Valley Ranch)<\/figcaption><\/figure>\n

In a new report to clients, Deutsche Bank analyst Carlo Santarelli pointed out that in prior presidential election years, Red Rock\u2019s fourth-quarter gaming revenue was pinched to the tune of 1%, but in the same period in non-presidential years, the operator\u2019s top line grew by an average of 0.8%. Beyond that seasonal trend<\/a>, it\u2019s possible Red Rock could benefit from the no tax on tips policy<\/a> originally floated by former President Donald Trump (R) and later mimicked by Vice President Kamala Harris (D).<\/p>\n

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Anecdotally, we believe the \u2018no tax on tips\u2019 policy, should it ultimately become reality, would help [Red Rock] both from a revenue perspective, given the incremental discretionary spend potential of gaming customers in Las Vegas and the exposure to the service industry,\u201d noted Santarelli.<\/p>\n<\/blockquote>\n

The analyst added that if the policy is implemented, Red Rock could save as much as $3 million in yearly payroll costs.<\/p>\n

Examining Red Rock Expansion Plans<\/h2>\n

It\u2019s not clear if the election is affecting the operator\u2019s expansion efforts, but Santarelli anticipates there will be some shifts in Red Rock\u2019s plans in the Las Vegas Valley.<\/p>\n

\n

The analyst believes the gaming company\u2019s priorities for 2025 will be development of the new Cactus Lane casino hotel near the South Point and expansion at the Durango Casino & Resort in Southwest Las Vegas with the planned casino hotel in the Inspirada community in Henderson, Nev. behind the first two on the operator\u2019s priority list.<\/p>\n<\/div>\n

\u201cWe believe the primary drivers of the pecking order relate to population growth in the local zones around the development, as well as, to a lesser extent, the experience from Durango related to the cannibalization circles,\u201d added Santarelli.<\/strong><\/p>\n

The environment could be more favorable for Red Rock to add new venues and bolster established properties because the Federal Reserve lowered interest rates by 50 basis points last month<\/a> and is expected to pare borrowing costs by another 100 basis points by the second quarter of 2025.<\/p>\n

Red Rock Has Long-Term Catalysts<\/h2>\n

Red Rock stock has been a laggard this year, but it has longer-ranging catalysts, including the company\u2019s entry into the Las Vegas gaming tavern arena<\/a>, compelling Sin City demographics, and an attractive valuation.<\/p>\n

\u201cFor longer-term-oriented investors, we would note that this valuation methodology understates the equity value inherent in the likely development returns,\u201d observed Santarelli.<\/p>\n

The analyst also pointed out that Red Rock\u2019s management agreement pertaining to a Central California tribal casino could result in $40 million to $50 million in new annual revenue when that property ramps up. The North Fork Mono Casino & Resort in Madera, Calif. is under construction and is slated to open in 2026.<\/strong><\/p>\n

The post Red Rock Stock Could Feel Election Impact, Says Analyst<\/a> appeared first on Casino.org<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"

Shares of Red Rock Resorts (NASDAQ: RRR) have recently scuffled, shedding almost 10% over the past 90 days. That could be the result of weak seasonality stemming from 2024 being a presidential election year. Red Rock\u2019s Green Valley Ranch in Henderson, Nevada. An analyst said the stock could be affected by the presidential election. (Image:…<\/p>\n","protected":false},"author":1,"featured_media":3544,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[17],"tags":[],"_links":{"self":[{"href":"http:\/\/restaurace-pohoda.eu\/index.php\/wp-json\/wp\/v2\/posts\/3542"}],"collection":[{"href":"http:\/\/restaurace-pohoda.eu\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/restaurace-pohoda.eu\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/restaurace-pohoda.eu\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/restaurace-pohoda.eu\/index.php\/wp-json\/wp\/v2\/comments?post=3542"}],"version-history":[{"count":2,"href":"http:\/\/restaurace-pohoda.eu\/index.php\/wp-json\/wp\/v2\/posts\/3542\/revisions"}],"predecessor-version":[{"id":3545,"href":"http:\/\/restaurace-pohoda.eu\/index.php\/wp-json\/wp\/v2\/posts\/3542\/revisions\/3545"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/restaurace-pohoda.eu\/index.php\/wp-json\/wp\/v2\/media\/3544"}],"wp:attachment":[{"href":"http:\/\/restaurace-pohoda.eu\/index.php\/wp-json\/wp\/v2\/media?parent=3542"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/restaurace-pohoda.eu\/index.php\/wp-json\/wp\/v2\/categories?post=3542"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/restaurace-pohoda.eu\/index.php\/wp-json\/wp\/v2\/tags?post=3542"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}