Core Viewpoint - Wall Street anticipates a year-over-year decline in earnings for Red Rock Resorts due to lower revenues, with a focus on how actual results compare to estimates impacting stock price [1][2]. Earnings Expectations - Red Rock Resorts is expected to report quarterly earnings of $0.40 per share, reflecting a year-over-year decrease of 32.2% [3]. - Revenues are projected to be $485.25 million, a slight decline of 0.2% from the previous year [3]. Estimate Revisions - The consensus EPS estimate has been revised 0.75% higher in the last 30 days, indicating a reassessment by analysts [4]. - Despite the upward revision, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -2.90%, suggesting a bearish outlook [12]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive or negative reading can predict deviations from consensus estimates, with positive readings being more reliable [9][10]. - Red Rock Resorts currently has a Zacks Rank of 3, making it challenging to predict an earnings beat [12]. Historical Performance - In the last reported quarter, Red Rock Resorts exceeded expectations with earnings of $0.80 per share, a surprise of +70.21% [13]. - The company has beaten consensus EPS estimates in each of the last four quarters [14]. Industry Comparison - Boyd Gaming, a competitor in the gaming industry, is expected to report earnings of $1.67 per share, a year-over-year increase of 5.7%, with revenues projected at $980.29 million, up 1.3% [18][19]. - Boyd Gaming has a positive Earnings ESP of +0.82% and has consistently beaten consensus EPS estimates in the past four quarters [19].
Earnings Preview: Red Rock Resorts (RRR) Q2 Earnings Expected to Decline