Latest news with #GLPI
Globe and Mail
25-07-2025
- Business
- Globe and Mail
Gaming And Leisure Properties Beats Q2
Key Points - Adjusted Funds from Operations (AFFO) per share rose to $0.96, surpassing both analyst expectations and prior-year levels in Q2 2025. - Net income and GAAP earnings per share fell sharply, with net income (GAAP) down 27.2% year over year. - Quarterly dividend increased to an annualized $3.12 per share, maintaining the company's REIT distribution strength as of Q2 2025. These 10 stocks could mint the next wave of millionaires › Gaming And Leisure Properties (NASDAQ:GLPI), a real estate investment trust specializing in gaming properties, reported Q2 2025 results on July 25, 2025. The most notable headline from the release was the company's record-high non-GAAP earnings per share, which beat analyst expectations in Q2 2025. AFFO per share reached $0.96. However, the period also saw a significant year-over-year drop in GAAP net income, with net income per share falling to $0.54 compared to the prior-year $0.77. Revenue for the quarter was $394.9 million, coming in just below the consensus GAAP revenue estimate of $397.0 million, a 3.8% increase compared to Q2 2024. In summary, the quarter showcased robust cash flow and leasing growth, but also highlighted rising credit loss provisions and softness in headline net income. Metric Q2 2025 Q2 2025 Estimate Q2 2024 Y/Y Change EPS – Net income, per diluted common share $0.54 $0.75 $0.77 (29.9 %) Revenue $394.9 million $397.0 million $380.6 million 3.8 % AFFO per diluted common share and OP/LTIP units (Non-GAAP) $0.96 $0.94 2.1 % Adjusted EBITDA $361.5 million $340.4 million 6.2 % Net income $156.2 million $214.4 million (27.2 %) Source: Analyst estimates provided by FactSet. Management expectations based on management's guidance, as provided in Q1 2025 earnings report. Business Overview and Key Focus Areas Gaming And Leisure Properties is a real estate investment trust (REIT) that owns and leases out casino properties across the United States. Its business model centers on acquiring gaming-related real estate and leasing these properties to leading gaming operators through long-term, triple-net leases. In these leases, tenants handle property taxes, insurance, and maintenance, which supports predictable cash flow for the company. The company's recent strategy has concentrated on portfolio diversification, both geographically and by operator, as well as disciplined capital deployment through development funding and sale-leaseback transactions. Key factors for success are stable lease structures, strong tenant rent coverage, ongoing property development, and full occupancy. Effective management of variable-rate debt and adherence to REIT tax rules are also critical. Quarter in Review: Financial and Operational Highlights AFFO per diluted share and OP/LTIP units (non-GAAP) reached a new high at $0.96, up 2.1% from the previous year and Non-GAAP EPS was above analyst expectations. AFFO is a non-GAAP measure frequently used by REITs to track core cash flows, important for assessing dividend strength. Adjusted EBITDA, another key performance indicator measuring recurring earnings before noncash charges and interest expenses, also set a record at $361.5 million, Adjusted EBITDA was $361.5 million, up 6.2% compared to Q2 2024. While revenue (GAAP) climbed 3.8% year over year, net income saw a sharp decline. Net income (GAAP) fell to $156.2 million, a 27.2% decrease compared to Q2 2024, and net income per diluted share (GAAP) dropped to $0.54. This drop reflected higher non-cash provisions for credit losses: $53.7 million compared to a net benefit in Q2 2024. According to company management, these credit reserves arose from a 'more pessimistic forward-looking economic forecast' in Q1 2025. The lease portfolio and rent coverage ratios remained a focus for stability. Gaming and Leisure Properties holds 68 facilities in 20 states as of June 30, 2025 and has leased them to eight different operating partners, such as PENN, Bally's, Caesars, and Boyd. For the period, occupancy was 100% as of December 31, 2024. Lease structures commonly feature annual escalators. Recent master lease coverage ratios remained solid, though the Pinnacle Master Lease at 1.69x as of March 31, 2025, edged closer to escalation thresholds set in the agreements. On the development side, the company advanced several sale-leaseback and funding projects. These included continuing funding toward new ventures like Bally's Chicago casino, with project oversight ongoing due to construction complexity. Funding also supported the Ione Band tribal gaming project and the landside redevelopment at Bally's Belle of Baton Rouge. As of June 30, 2025, the company listed over $740 million in growth commitments not yet fully drawn. The Hollywood Casino Joliet move, with $130 million in funding at a 7.75% cap rate, remained on schedule for an August 2025 opening. Competition in the gaming REIT sector stayed strong, with larger rivals, such as VICI Properties, positioned to influence future deal flow and acquisition pricing. Management reported 'renewed interest' from potential partners, as volatility in capital markets increased counterparty engagement in deal discussions. In terms of risk management, the company remained vigilant regarding ongoing state-level gaming and iGaming legislative developments. Management emphasized the importance of bricks-and-mortar operations for rent stability and was 'hard against iGaming.' Financially, the company's capital structure remained robust. Net debt to EBITDA was reported at 4.7x, within the company's comfort range in Q1 2025. Significant transactions included a $404.0 million forward equity sale in Q2 2025 and the start of a $1.25 billion at-the-market equity offering program to provide liquidity. Debt maturities are well staggered, averaging 6.1 years with a weighted average interest rate of 5.064% as of June 30, 2025. Dividend management is a key part of the company's REIT obligations. The annualized dividend climbed to $3.12 per share, a 2.6% increase from $3.04 in Q2 2024, maintaining a payout yield of 6.7% at period end. Outlook and What to Watch For fiscal 2025, management updated Adjusted Funds from Operations (non-GAAP) guidance to a range of $1.112 billion to $1.118 billion, or $3.85 to $3.87 per diluted share and OP/LTIP units. This range represents a slight increase at the low end of previous AFFO guidance. The forecast factors in anticipated funding for major projects, including Hollywood Casino Joliet and second-half 2025 development commitments totaling $338 million. Management noted that AFFO (Adjusted Funds From Operations, a non-GAAP metric) at the lower end of this full-year guidance would assume no escalations on variable-rate master leases and a meaningful rise in variable interest rates. No other significant changes to fiscal year guidance were given, and management made it clear that future acquisitions or other major deals are not included in the AFFO forecast. Leadership remains focused on measured capital allocation and solid underwriting, carefully monitoring tenant performance and rent coverage ratios as economic conditions develop. Dividend growth and the stability of rental cash flows, through escalated lease terms and diversification, are expected to remain central priorities. Revenue and net income presented using U.S. generally accepted accounting principles (GAAP) unless otherwise noted. Where to invest $1,000 right now When our analyst team has a stock tip, it can pay to listen. After all, Stock Advisor's total average return is 1,040%* — a market-crushing outperformance compared to 182% for the S&P 500. They just revealed what they believe are the 10 best stocks for investors to buy right now, available when you join Stock Advisor. *Stock Advisor returns as of July 21, 2025
Business Insider
21-07-2025
- Business
- Business Insider
Gaming and Leisure Properties downgraded to Hold from Buy at Stifel
Stifel analyst Simon Yarmak downgraded Gaming and Leisure Properties (GLPI) to Hold from Buy with a price target of $51.25, down from $57.50. Elevate Your Investing Strategy: Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week. Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Yahoo
03-07-2025
- Business
- Yahoo
Stifel Maintains Buy Rating on Gaming and Leisure Properties (GLPI)
Gaming and Leisure Properties, Inc. (NASDAQ:GLPI) is one of the most undervalued stocks. On June 5, Stifel analysts maintained a Buy rating on GLPI, assigning a price target of $57.50. The company's projected 2025 spending includes $130 million for the Juliette project, a move analysts say will likely yield more visible results later in the year. Moreover, analysts clarified that Aurora project's capital requirements will not affect GLPI's 2025 performance, as they are slated for 2026 planning. The analysts also highlighted the Lincoln asset and Chicago project milestones as important elements shaping the company's outlook. An interior shot of a gaming operators facility, gaming machines reflecting the lights. Gaming and Leisure remains confident in its management of the Lincoln asset but does not expect prioritizing it in the short term. These projects are being monitored within the context of the company's growth framework. Analysts' continued Buy rating and target price reflect a bullish stance on Gaming and Leisure's short and long-term opportunities. Investors also remain interested, driven by the firm's well-positioned growth strategies and project execution. GLPI is a real estate investment trust that specializes in acquiring, financing, and owning real estate assets leased to gaming operators. While we acknowledge the potential of GLPI as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: and . Disclosure. None. Sign in to access your portfolio
Yahoo
03-07-2025
- Business
- Yahoo
Stifel Maintains Buy Rating on Gaming and Leisure Properties (GLPI)
Gaming and Leisure Properties, Inc. (NASDAQ:GLPI) is one of the most undervalued stocks. On June 5, Stifel analysts maintained a Buy rating on GLPI, assigning a price target of $57.50. The company's projected 2025 spending includes $130 million for the Juliette project, a move analysts say will likely yield more visible results later in the year. Moreover, analysts clarified that Aurora project's capital requirements will not affect GLPI's 2025 performance, as they are slated for 2026 planning. The analysts also highlighted the Lincoln asset and Chicago project milestones as important elements shaping the company's outlook. An interior shot of a gaming operators facility, gaming machines reflecting the lights. Gaming and Leisure remains confident in its management of the Lincoln asset but does not expect prioritizing it in the short term. These projects are being monitored within the context of the company's growth framework. Analysts' continued Buy rating and target price reflect a bullish stance on Gaming and Leisure's short and long-term opportunities. Investors also remain interested, driven by the firm's well-positioned growth strategies and project execution. GLPI is a real estate investment trust that specializes in acquiring, financing, and owning real estate assets leased to gaming operators. While we acknowledge the potential of GLPI as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: and . Disclosure. None.
Yahoo
16-05-2025
- Business
- Yahoo
Gaming and Leisure Properties, Inc. Declares Increased Second Quarter 2025 Cash Dividend of $0.78 Per Share
WYOMISSING, Pa., May 16, 2025 (GLOBE NEWSWIRE) -- Gaming and Leisure Properties, Inc. (NASDAQ: GLPI) (the 'Company'), announced today that at its meeting yesterday the Company's Board of Directors declared the second quarter 2025 cash dividend of $0.78 per share of its common stock, marking an increase of $.02 per share per quarter from the prior level. The dividend is payable on June 27, 2025 to shareholders of record on June 13, 2025. The second quarter 2024 cash dividend was $0.76 per share of the Company's common stock. Based on yesterday's closing price of $46.89 per share of common stock, on an annualized basis, the new dividend payout reflects a yield of 6.65%. While the Company intends to pay regular quarterly cash dividends for the foreseeable future, all subsequent dividends will be reviewed quarterly and declared by the Board of Directors at its discretion. About Gaming and Leisure Properties GLPI is engaged in the business of acquiring, financing, and owning real estate property to be leased to gaming operators in triple-net lease arrangements, pursuant to which the tenant is responsible for all facility maintenance, insurance required in connection with the leased properties and the business conducted on the leased properties, taxes levied on or with respect to the leased properties and all utilities and other services necessary or appropriate for the leased properties and the business conducted on the leased properties. Forward-Looking Statements This press release includes 'forward-looking statements' within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including our expectations regarding the payment of future cash dividends. Forward-looking statements can be identified by the use of forward-looking terminology such as 'expects,' 'believes,' 'estimates,' 'intends,' 'may,' 'will,' 'should' or 'anticipates' or the negative or other variation of these or similar words, or by discussions of future events, strategies or risks and uncertainties. Such forward-looking statements are inherently subject to risks, uncertainties and assumptions about GLPI and its subsidiaries, including risks related to the following: the potential negative impact of inflation on our tenants' operations; the availability of and the ability to identify suitable and attractive acquisition and development opportunities and the ability to acquire and lease those properties on favorable terms; the ability to receive, or delays in obtaining, the regulatory approvals required to own and/or operate its properties, or other delays or impediments to completing acquisitions or projects; the effect of pandemics, such as COVID-19, on GLPI as a result of the impact such pandemics may have on the business operations of GLPI's tenants and their continued ability to pay rent in a timely manner or at all; GLPI's ability to maintain its status as a REIT; our ability to access capital through debt and equity markets in amounts and at rates and costs acceptable to GLPI; the impact of our substantial indebtedness on our future operations; changes in the U.S. tax law and other state, federal or local laws, whether or not specific to REITs or to the gaming or lodging industries; and other factors described in GLPI's Annual Report on Form 10-K for the year ended December 31, 2024, Quarterly Reports on Form 10-Q and current Reports on Form 8-K, each as filed with the Securities and Exchange Commission. All subsequent written and oral forward-looking statements attributable to GLPI or persons acting on GLPI's behalf are expressly qualified in their entirety by the cautionary statements included in this press release. GLPI undertakes no obligation to publicly update or revise any forward-looking statements contained or incorporated by reference herein, whether as a result of new information, future events or otherwise, except as required by law. In light of these risks, uncertainties and assumptions, the forward-looking events discussed in this press release may not occur as presented or at all. ContactGaming and Leisure Properties, Demchyk, Chief Investment Officer610/401-2900investorinquiries@ Investor RelationsJoseph Jaffoni, Richard Land at JCIR212/835-8500glpi@ in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
