Company Overview - Vici Properties is a real estate investment trust (REIT) focused on owning casinos, which is a specific niche that has shown to be attractive [1] - The company operates as a landlord, leasing out physical properties, primarily casinos that include gaming, hotels, retail, dining, and convention businesses [2] Business Model - Vici Properties employs a net lease model, where tenants are responsible for most property costs, reducing the company's operational risks and costs [3] - The REIT has grown from approximately 20 properties at its IPO in early 2018 to 93 assets by the end of 2024, with 54 classified as gaming properties [4] Performance During Adversity - The company maintained consistent results during the COVID-19 pandemic, increasing its dividend in 2020 despite tenant shutdowns [5] - Casino operators need to maintain access to properties, making rent payments essential even during difficult times [6] Lease Structure and Inflation Protection - Vici Properties has an average lease length of 40 years, significantly longer than most net lease REITs [7] - Currently, 42% of its rent is protected by inflation-linked rent escalators, with plans to increase this to at least 90% by 2035 [8] Future Growth Potential - While there is a limit to the number of casinos Vici Properties can acquire, the increasing role of inflation-linked leases provides a solid foundation for future growth [9] - The rent roll from casinos is expected to grow reliably, offering a long runway for dividend growth for investors [9]

Core Viewpoint - VICI Properties is highlighted as a significant position in the REIT sector, emphasizing the importance of dividend investing for financial freedom [1]. Company Overview - VICI Properties is a Real Estate Investment Trust (REIT) that has seen several additions to its position over the last couple of years [1]. - The company is involved in sectors such as tech, real estate, software, finance, and consumer staples, which form the core of the author's investment portfolio [1]. Investment Strategy - The focus on dividend investing is presented as a straightforward and accessible path to achieving financial freedom, with the aim of demystifying the process for others [1]. - The author emphasizes the role of dividends in building a solid financial foundation and long-term wealth [1].

Core Viewpoint - VICI Properties has demonstrated resilience amidst a downturn in tech stocks, potentially benefiting from its tariff-resistant nature and lease escalators that may gain from inflation [1] Company Analysis - VICI Properties is perceived as a strong investment due to its ability to withstand market fluctuations and capitalize on inflationary pressures [1] - The company is characterized by a robust balance sheet and effective management, which are critical for long-term growth [1] Investment Strategy - The investment approach focuses on identifying undervalued companies with secular growth potential, emphasizing the importance of strong financial health and management in sectors with extended growth opportunities [1]

Core Insights - The S&P 500 is nearing correction territory, while the Nasdaq 100 has already entered it, suggesting a challenging market environment for investors [1] - VICI Properties Inc. is highlighted as a potential investment opportunity, particularly due to its status as the primary owner of real estate along the Las Vegas strip [1] - The investment strategy focuses on acquiring companies with strong qualitative attributes at attractive prices based on fundamentals, with a long-term holding approach [1] Company Analysis - VICI Properties Inc. is positioned as a key player in the real estate market, specifically in the Las Vegas area, which may provide stability and growth potential amid market volatility [1] - The company is part of a concentrated portfolio strategy aimed at minimizing losses while maximizing exposure to high-performing investments [1] Investment Strategy - The investment philosophy emphasizes the importance of evaluating growth opportunities and downside risks, often leading to a 'Hold' rating for companies that do not meet specific growth thresholds [1]

Core Viewpoint - VICI Properties Inc. has demonstrated strong stock performance and growth potential, supported by strategic investments and a solid dividend history, making it an attractive option for dividend-focused investors [1][2][3]. Group 1: Financial Performance - VICI's stock has rallied 9.5% year-to-date, closing at $31.97, outperforming both the Zacks REIT and Equity Trust - Other industry and the S&P 500 [1]. - The company reported continued benefits from expansion efforts and strategic investments in its fourth-quarter and full-year 2024 results [2]. - VICI has increased its dividend five times in the last five years, with a five-year annualized dividend growth rate of 8.05% [3]. Group 2: Dividend and Income Stability - VICI Properties offers a compelling ~5.5% dividend yield, with a commitment to distributing 75% of its adjusted funds from operations (AFFO) to shareholders [7]. - The company has a diverse portfolio of 54 gaming and 39 experiential assets across North America, with a 100% occupancy rate and long-term triple-net leases averaging 40.7 years [9]. - For 2025, VICI expects 42% of its rent roll to have CPI-linked escalation, projected to rise to 90% by 2035, enhancing its revenue stability [10]. Group 3: Growth and Strategic Positioning - Since its founding in 2017, VICI has grown its adjusted EBITDA by 350%, diversifying beyond gaming properties to include experiential assets [11]. - The company has $3.3 billion in liquidity as of December 31, 2024, providing financial flexibility to navigate market fluctuations [11]. - VICI's properties are essential to its tenants, who face significant challenges if they relocate, reinforcing reliable rental income [9]. Group 4: Valuation and Market Position - VICI's stock is trading at a forward 12-month price-to-FFO ratio of 13.63X, below the REIT-Other industry average of 15.33X [18]. - The Zacks Consensus Estimate for 2025 adjusted funds from operations (AFFO) per share has seen a positive revision, indicating favorable market sentiment [14]. Group 5: Challenges and Considerations - Despite diversification efforts, gaming properties remain the primary revenue driver, exposing VICI to industry-specific risks [12]. - The company carries a significant debt load of approximately $17.1 billion as of December 31, 2024, which could impact its financial stability [13]. - VICI's performance is sensitive to interest rate movements, which can affect borrowing costs and the attractiveness of its dividend yield [13].

Group 1 - VICI Properties is the largest REIT holding in the portfolio and is expected to maintain this position in the near future [1] - The REIT owns iconic real estate across the United States, indicating a strong asset base [1] - The strategy of dividend investing is highlighted as an effective method for acquiring quality companies at favorable prices while generating cash flow [1] Group 2 - The individual is building a portfolio focused on dividend growth stocks, aiming for future financial independence through dividend income [1] - The article is shared on platforms like Seeking Alpha, Twitter, and YouTube, indicating a broad audience engagement [1] - There is a beneficial long position in VICI shares, suggesting confidence in the company's performance [1]

Core Viewpoint - VICI Properties Inc. is expected to show positive earnings growth in its upcoming report, with a projected EPS increase and revenue growth compared to the previous year [2][3]. Group 1: Stock Performance - VICI Properties Inc. closed at $32.38, reflecting a -0.92% change from the previous day, which is less than the S&P 500's daily gain of 1.08% [1]. - Over the past month, VICI shares have gained 7.64%, outperforming the Finance sector's loss of 4.3% and the S&P 500's loss of 8.26% [1]. Group 2: Earnings Estimates - The upcoming earnings report is anticipated to show an EPS of $0.58, representing a 3.57% increase year-over-year [2]. - The revenue forecast for the same quarter is $985.12 million, indicating a 3.54% growth compared to the prior year [2]. - For the entire year, earnings are projected at $2.33 per share and revenue at $3.99 billion, reflecting changes of +3.1% and +3.53% respectively [3]. Group 3: Analyst Revisions and Rankings - Recent revisions to analyst forecasts for VICI Properties Inc. are being monitored, as they reflect near-term business trends and analysts' positive outlook on the company's operations [4]. - The Zacks Rank system, which includes estimate changes, currently ranks VICI Properties Inc. at 3 (Hold) [6]. Group 4: Valuation Metrics - VICI Properties Inc. has a Forward P/E ratio of 14.04, which is a premium compared to the industry's average Forward P/E of 11.09 [7]. - The company has a PEG ratio of 4.17, significantly higher than the average PEG ratio of 2.28 for the REIT and Equity Trust - Other stocks [8].

Company Performance - VICI Properties Inc. ended the recent trading session at $31.55, showing a -1.68% change from the previous day's closing price, which was less than the S&P 500's daily loss of 0.91% [1] - The company's shares gained 7.72% over the previous month, outperforming the Finance sector's loss of 5.01% and the S&P 500's loss of 7.38% [1] Earnings Projections - The upcoming earnings disclosure for VICI is projected to show earnings per share (EPS) of $0.58, reflecting a 3.57% increase from the same quarter last year, with quarterly revenue expected to be $985.12 million, up 3.54% from the year-ago period [2] - Full-year Zacks Consensus Estimates predict earnings of $2.33 per share and revenue of $3.99 billion, representing year-over-year changes of +3.1% and +3.53%, respectively [3] Analyst Estimates - Recent changes to analyst estimates for VICI indicate a favorable outlook on the company's business health and profitability, with upbeat changes suggesting positive near-term business trends [4] - The Zacks Rank system, which assesses these estimate changes, currently ranks VICI Properties Inc. at 3 (Hold) [6] Valuation Metrics - VICI Properties Inc. is trading with a Forward P/E ratio of 13.79, which is a premium compared to the industry's average Forward P/E of 11.12 [7] - The company has a PEG ratio of 4.1, while the REIT and Equity Trust - Other industry holds an average PEG ratio of 2.25 [7] Industry Context - The REIT and Equity Trust - Other industry is part of the Finance sector and has a Zacks Industry Rank of 133, placing it in the bottom 48% of all 250+ industries [8]

Core Insights - VICI Properties Inc. is an experiential REIT that owns iconic assets on the Las Vegas Strip, receiving positive analyst sentiment but disappointing investors [1]. Group 1 - Analysts express a favorable view of VICI Properties, indicating strong support for the stock [1]. - Despite analyst enthusiasm, investor sentiment appears to be less optimistic, suggesting a disconnect between market perception and analyst recommendations [1]. - The company is positioned to benefit from its high-quality, dividend-paying assets, appealing to long-term investors seeking income [1].

VICI Properties Inc. (VICI) , which specializes in gaming and entertainment properties, reported its fourth-quarter and full-year 2024 results late in February. The company continued to benefit from its expansion efforts and strategic investments.VICI’s fourth-quarter 2024 adjusted funds from operations (AFFO) per share of 57 cents came in line with the Zacks Consensus Estimate. Moreover, the figure increased 3.6% from the prior-year quarter. Results reflected a year-over-year rise in revenues, mainly drive ...