10Y annualized return is
positive but below market average
at 3.9% per year
VICI has met or exceeded earnings expectations in
all
recent quarters (2/2)
Attractive P/E Ratio
Reasonable Price-to-Book Ratio
Strong Profit Margins
Good Return on Equity
Excellent Liquidity Ratios
Manageable Debt Levels
🏢 Strong Portfolio and Strategic Relationships
📈 Financial Resilience and Growth Potential
🔮 Pipeline of Opportunities and Expanding TAM
High Price-to-Sales Ratio
High EV/EBITDA Ratio
📉 Limited Acquisition Opportunities
VICI Properties demonstrates a strong business model with strategic partnerships and a solid financial foundation, positioning it well for future growth. However, the company faces challenges in acquiring new assets in a competitive market.
Analysis Date: February 21, 2025
Last Updated: April 12, 2025
Past performance does not guarantee future results. The data presented is indicative and may not be updated in real-time.
VICI Properties Inc. is a company that buys and manages properties where people go for fun and entertainment, like casinos and hotels. They own famous places, including Caesars Palace, and have a lot of hotel rooms and restaurants for visitors. Instead of running these businesses themselves, they lease the properties to well-known operators who take care of the day-to-day activities. Essentially, VICI earns money by owning valuable real estate that attracts visitors looking for entertainment and hospitality.
Streams of revenue
Geographic Distribution
Estimations for reference only
Core Products
Business Type
Business to Business
Competitive Advantages
Key Business Risks
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Trailing Twelve Months (TTM) values provide a view of the company's performance over the last year.
Benjamin Graham's value investing approach focuses on finding stocks with a significant margin of safety between their intrinsic value and market price.
Intrinsic Value
Estimated fair value based on Graham's formula
$97.76
Current Market Price: $30.64
IV/P Ratio: 3.19x (>1.0 indicates undervalued)
Margin of Safety
Gap between intrinsic value and market price
69.0%
Graham recommended a minimum of 20-30% margin of safety
Higher values indicate a greater potential discount to fair value
Graham Criteria Checklist
Benjamin Graham's value investing checklist for VICI
Positive earnings (5+ years)
Dividend history (5+ years)
P/E ratio ≤ 20 (12.05)
P/B ratio ≤ 1.5 (1.22)
Current ratio ≥ 2.0 (27.92x)
Long-term debt < Net current assets (0.00x)
Margin of safety (69.0%)
VICI meets all Graham criteria
Trailing Twelve Months (TTM) values provide a view of the company's performance over the last year.
Profitability metrics measure a company's ability to generate earnings relative to its revenue, operating costs, and other relevant metrics. Higher values generally indicate better performance.
Return on Equity (ROE)
Measures how efficiently a company uses its equity to generate profits
10.32%
Higher values indicate better returns for shareholders
TTM (as of 2025-04-30)
Gross Profit Margin
Percentage of revenue retained after accounting for cost of goods sold
99.28%
Higher values indicate better efficiency in production
TTM (as of 2025-04-30)
Net Profit Margin
Percentage of revenue retained after accounting for all expenses
69.59%
Higher values indicate better overall profitability
TTM (as of 2025-04-30)
VICI exhibits impressive profit margins, including a gross profit margin of 99.28%, indicating highly efficient cost management and strong pricing power.
The return on equity (ROE) of 10.32% suggests that VICI effectively utilizes shareholder equity to generate profits.
Financial health metrics assess a company's ability to meet its financial obligations and its overall financial stability.
Debt to Equity Ratio
Total debt divided by total equity
0.65x
Lower values indicate less financial leverage and risk
Less than 1.0 is conservative, 1.0-2.0 is moderate, >2.0 indicates high risk
Q4 2024
Current Ratio
Current assets divided by current liabilities
27.92x
Higher values indicate better short-term liquidity
Less than 1.0 is concerning, 1.0-2.0 is adequate, greater than 2.0 is good
Q4 2024
With a current ratio of 27.92 and a quick ratio of 27.92, VICI demonstrates exceptional liquidity, indicating a strong ability to cover short-term liabilities.
The debt-to-equity ratio of 0.67 indicates that VICI has a moderate level of debt compared to its equity, which is within a healthy range for the industry.
The EV/EBITDA ratio of 14.40 suggests that the company might be overvalued in terms of its earnings before interest, taxes, depreciation, and amortization.
Meeting Expectations
Higher values indicate better execution and credibility
Recent Results
EPS
VICI Properties has a robust portfolio with high-quality assets, particularly in Las Vegas, and has successfully formed strategic partnerships, such as with Cain International and Eldridge Industries. This collaboration is expected to yield new investment opportunities in differentiated experiences, showcasing VICI’s focus on high-quality real estate.
The company has demonstrated strong financial performance with an increase in AFFO per share by 5.1% for the year. The ability to maintain a strong balance sheet and achieve high margins in a competitive market underlines the quality of the business model.
VICI’s partnership with Cain and Eldridge signifies a strong pipeline of experiential investment opportunities, indicating potential for growth beyond traditional gaming assets. The company is also exploring international markets and new development avenues.
In 2024, VICI noted a lack of compelling high-quality real estate acquisition opportunities, which could limit growth if the trend continues. The competitive landscape remains intense, making it challenging to secure attractive deals.