Red Rock Resorts, Inc.RRR
NasdaqGS•Consumer Cyclical•Resorts & Casinos
Red Rock Resorts, Inc., through its interest in Station Casinos LLC, develops and manages casino and entertainment properties in the United States. It owns and operates gaming and entertainment facilities, including Durango Casino & Resort and smaller casinos in the Las Vegas regional market. The company was formerly known as Station Casinos Corp. and changed its name to Red Rock Resorts, Inc. in January 2016. Red Rock Resorts, Inc. was founded in 1976 and is based in Las Vegas, Nevada.
Red Rock Resorts, Inc. (RRR) reported trailing twelve months revenue of $2.02B as of March 2026, a 3.7% increase year-over-year. Quarterly revenue reached $507.32M, reflecting continued top-line momentum.
Red Rock Resorts, Inc. generated $186.21M in TTM net income, with quarterly EBITDA of $199.53M. The operating margin contracted from 31.0% to 28.3%, suggesting rising cost pressures or pricing headwinds.
The spread between operating margin (28.3%) and net margin (8.5%) indicates significant non-operating expenses or interest burden. Net margin has narrowed from 9.0% a year ago, reflecting increased costs or interest expense.
RRR trades at a P/E of 18.5x (in line with broad market averages) and a P/S of 1.7x. The price-to-book ratio of 24.1x indicates a significant premium over book value.
The company generated $22.60M in free cash flow over the trailing twelve months, a 61.0% decrease year-over-year, indicating cash generation ability. The balance sheet shows $4.22B in total assets with $3.53B in long-term debt against $142.72M in stockholders equity for a debt-to-equity ratio of 24.7, a relatively leveraged position. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are stable at ~29.1%, suggesting durable pricing power and cost discipline.
Consistently high ROE averaging 91.2% suggests a durable competitive advantage and efficient capital allocation.
8 of the last 8 quarters generated positive FCF. The company generally funds itself but has occasional cash consumption quarters.
TTM revenue has grown consistently (7 of 7 quarters up), with ~9.3% growth over the period. Strong demand durability.
Data-driven red flags and warnings across 21 quarters
Margins are stable or improving at ~29.0% — no sign of cost or pricing stress.
FCF covers net income by 1.6x on average — earnings are well-supported by cash generation.
D/E ratio is 24.7 — dangerously high. The company is heavily leveraged and vulnerable to rising rates or cash flow dips.
Revenue is stable or growing over recent quarters — demand appears durable.
Free cash flow is consistently positive — the business self-funds without external capital reliance.
Share count is stable — no significant dilution or buyback activity.