Latest news with #VICI
Yahoo
2 days ago
- Business
- Yahoo
Vornado's Joint Venture Boosts Strength With $675M Refinancing
Vornado Realty Trust, Inc. VNO announced that its joint venture (JV), in which it holds a 50.1% stake, has completed a refinancing of $675 million for Independence Plaza, a residential complex comprising 1,328 units located in the Tribeca submarket of Manhattan. The five-year interest-only loan is set to mature in June 2030 and carries a fixed interest rate of 5.84%. This loan serves as a replacement for the previous $675 million loan, which had an interest rate of 4.25% and was due to mature in July 2025. This refinancing offers Vornado enhanced financial flexibility. The extended maturities of the assumed debt will help the company improve its maturity profile and enjoy greater liquidity for day-to-day operations. VNO makes efforts to boost its cash flow and alleviate bottom-line pressure. Further, it focuses on achieving greater financial flexibility and strengthening its balance sheet position. As of March 31, 2025, the company had $2.3 billion of liquidity, consisting of $807 million of cash and cash equivalents and restricted cash, and $1.5 billion available under its $2.2 billion revolving credit facilities. Over the past three months, shares of this Zacks Rank #3 (Hold) company have declined 1.6% compared with the industry's fall of 1.6%. Image Source: Zacks Investment Research Some better-ranked stocks from the broader REIT sector are VICI Properties VICI and W.P. Carey WPC, each currently carrying a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. The Zacks Consensus Estimate for VICI's 2025 FFO per share has moved one cent northward to $2.34 over the past two months. The consensus estimate for WPC's 2025 FFO per share has been revised upward by 1% to $4.88 over the past month. Note: Anything related to earnings presented in this write-up represents FFO, a widely used metric to gauge the performance of REITs. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Vornado Realty Trust (VNO) : Free Stock Analysis Report W.P. Carey Inc. (WPC) : Free Stock Analysis Report VICI Properties Inc. (VICI) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error 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
Yahoo
3 days ago
- Business
- Yahoo
VICI Properties Inc. (VICI) Ascends While Market Falls: Some Facts to Note
VICI Properties Inc. (VICI) closed at $31.45 in the latest trading session, marking a +0.22% move from the prior day. The stock exceeded the S&P 500, which registered a loss of 0.53% for the day. On the other hand, the Dow registered a loss of 0.26%, and the technology-centric Nasdaq decreased by 0.83%. Coming into today, shares of the company had lost 0.88% in the past month. In that same time, the Finance sector gained 3.08%, while the S&P 500 gained 5.17%. The investment community will be closely monitoring the performance of VICI Properties Inc. in its forthcoming earnings report. It is anticipated that the company will report an EPS of $0.59, marking a 3.51% rise compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $995.14 million, indicating a 3.99% growth compared to the corresponding quarter of the prior year. For the annual period, the Zacks Consensus Estimates anticipate earnings of $2.34 per share and a revenue of $3.98 billion, signifying shifts of +3.54% and +3.52%, respectively, from the last year. Any recent changes to analyst estimates for VICI Properties Inc. should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability. Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model. The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.17% higher. Right now, VICI Properties Inc. possesses a Zacks Rank of #2 (Buy). In terms of valuation, VICI Properties Inc. is currently trading at a Forward P/E ratio of 13.39. This indicates a premium in contrast to its industry's Forward P/E of 11.24. Meanwhile, VICI's PEG ratio is currently 2.91. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the REIT and Equity Trust - Other industry stood at 2.44 at the close of the market yesterday. The REIT and Equity Trust - Other industry is part of the Finance sector. This industry, currently bearing a Zacks Industry Rank of 130, finds itself in the bottom 48% echelons of all 250+ industries. The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Make sure to utilize to follow all of these stock-moving metrics, and more, in the coming trading sessions. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report VICI Properties Inc. (VICI) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error 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
Yahoo
28-05-2025
- Business
- Yahoo
Terreno Sells Property in Commerce, CA, Boosts Financial Flexibility
Terreno Realty Corporation TRNO announced the disposition of an industrial property located in Commerce, CA. The sale was carried out on May 22, 2025, for approximately $97 million. This move highlights the company's strategy of disposing of non-core assets and building a more robust portfolio, which will aid future growth. The property consists of five multi-tenant industrial buildings spanning around 545,000 square feet on 24 acres of land. It is 99% leased to 12 tenants. Terreno Realty had purchased the property on May 30, 2012, for $52.4 million. The investment yielded an unleveraged internal rate of 9.5% to the company. Terreno Realty's dispositions are an integral part of its ongoing efforts to optimize its portfolio and enhance its financial performance. Last week, the company sold an industrial property in Bellevue, WA, for $17.5 million. In the first quarter of 2025, Terreno Realty sold two properties with two industrial distribution buildings spanning around 88,000 square feet at an aggregate sale value of around $24.9 million. Moreover, the company remains focused on acquiring and operating its asset base in the six major coastal U.S. markets — Los Angeles, Northern New Jersey/New York City, San Francisco Bay Area, Seattle, Miami and Washington, D.C. — as demand for industrial real estate space remains buoyant. Over the past six months, shares of this Zacks Rank #3 (Hold) company have lost 5.8% compared with the industry's decline of 5.6%. Image Source: Zacks Investment Research Some better-ranked stocks from the broader REIT sector are VICI Properties VICI and W.P. Carey WPC, each currently carrying a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. The Zacks Consensus Estimate for VICI's 2025 FFO per share has moved one cent northward to $2.34 over the past month. The consensus estimate for WPC's 2025 FFO per share has been revised upward by 1% to $4.88 over the past month. Note: Anything related to earnings presented in this write-up represents FFO, a widely used metric to gauge the performance of REITs. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Terreno Realty Corporation (TRNO) : Free Stock Analysis Report W.P. Carey Inc. (WPC) : Free Stock Analysis Report VICI Properties Inc. (VICI) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error 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
Yahoo
23-05-2025
- Business
- Yahoo
Terreno Realty Witnesses Healthy Demand, Executes Lease in CA
Terreno Realty TRNO recently announced the execution of a 3.0-acre improved land parcel lease in Rancho Dominguez, CA. The new lease commenced on May 20, 2025, and is slated for expiry in May 2028. The lessee of the agreement is an environmental and regulated waste management services provider. TRNO, which acquires, owns and operates industrial real estate in six major coastal U.S. markets, has been experiencing healthy demand for its properties from both existing and new tenants. Apart from the above lease, recently, this real estate investment trust ('REIT') announced the execution of a lease renewal for 53,000 square feet with the United States Postal Service in Washington, D.C. Earlier in May, the company announced the execution of a 70,000-square-foot new lease in Woodinville, WA, with a designer and manufacturer of camera movement systems and stabilizers for unmanned aerial cinematography and remote-controlled vehicles. TRNO is experiencing healthy leasing activity, as evident in its performance in the first quarter of 2025. Its operating portfolio was 96.6% leased to 663 tenants as of March 31, 2025. TRNO's same-store portfolio of 15.6 million square feet was 97.4% leased as of March 31, 2025. For the company's improved land portfolio of 47 parcels spanning 150.6 acres, the leased rate was 95.1% as of March 31, 2025. Terreno Realty was able to lock in higher rents on new and renewed leases during the quarter. The cash rents on new and renewed leases commencing during the first quarter of 2025 climbed 34.2%. Moreover, the tenant retention ratio was 71.7% for the operating portfolio. With a solid operating platform, a healthy balance sheet position and strategic expansion moves, TRNO seems well-positioned to capitalize on long-term growth opportunities. However, in the past month, shares of this Zacks Rank #3 (Hold) company have lost 2.3% against the industry's growth of 3.2%. Image Source: Zacks Investment Research Some better-ranked stocks from the broader REIT sector are VICI Properties VICI and W.P. Carey WPC, each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. The Zacks Consensus Estimate for VICI's 2025 FFO per share is pinned at $2.34, implying year-over-year growth of 3.5%. The Zacks Consensus Estimate for WPC's 2025 FFO per share is pegged at $4.88, indicating an increase of 3.8% from the year-ago reported figure. Note: Anything related to earnings presented in this write-up represents funds from operations (FFO), a widely used metric to gauge the performance of REITs. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Terreno Realty Corporation (TRNO) : Free Stock Analysis Report W.P. Carey Inc. (WPC) : Free Stock Analysis Report VICI Properties Inc. (VICI) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
20-05-2025
- Business
- Yahoo
VICI Properties: A Unique REIT With Reliable Dividends
VICI Properties (NYSE:VICI) is a REIT that may put off some investors due to its peculiar characteristics, such as its high dependence on certain tenants like Caesars Entertainment (NASDAQ:CZR) and the gaming business, which also has different characteristics from the real estate industry in general. As it turns out, the particularity of this REIT can also be a benefit for diversification and exposure to a growing industry. Warning! GuruFocus has detected 5 Warning Signs with VICI. High Yield Dividend Stocks in Gurus' Portfolio This Powerful Chart Made Peter Lynch 29% A Year For 13 Years How to calculate the intrinsic value of a stock? Other than that, VICI's fundamentals are also very attractive, with a price-to-FFO below 12x and a dividend yield of almost 6%. These multiples tend to be even more attractive when the stock is around or below $30, as the projected dividend per share of just over $1.70 makes this dividend yield reach something close to 6%. Generally, when investing in REITs or real estate companies we look for characteristics that allow for a more predictable and reliable income, such as wide moats, good tenants, an interesting business model, and so on. Although VICI is a little different from the industry average, it still manages to deliver these characteristics with robust fundamentals, a triple-net lease model, and a strong track record. The characteristics say a lot, but the track record says even more and proves the company's ability to deliver shareholder value. VICI has gone from an EBITDA adj. of $690 million in 2017 to $3.1 billion in 2024, reflecting good capital allocation, contract readjustments, acquisitions, and property upgrades. Source: VICI Investor Presentation Gaming exposure can also be interpreted positively. Gaming is a growing market, even with the shift in consumer preference to online bets, the physical experience remains very strong, as shown by the increase in Las Vegas visitors, which in 2024 grew by 2.1% YoY. In addition, both Las Vegas and the VICI properties are not just about gaming, but also about experiences, sports, retail outlets, music, and leisure events. Apart from the market that can grow organically and the contracts that are adjusted (linked to inflation and similars), VICI has a robust pipeline, with potential investments for expansion, acquisition, and development of properties linked to resorts and other types of experiences, as shown in the table below. This becomes more reliable as VICI's capital allocation trajectory is positive. Source: VICI Investor Presentation Diversification also occurs geographically, with the company owning gaming properties in 15 states and 1 Canadian Province, with Las Vegas accounting for 48% of this share, and other experiential properties in 17 states. This portfolio totals more than 60,000 hotel rooms, more than 500 F&B outlets, around 500 retail outlets, more than 50 entertainment venues, not to mention gaming, which has more than 4.2 million square feet. This translates into competitive advantages and a unique position in these industries and geographies. Therefore, for the future we can expect VICI to be able to maintain the trend shown in the chart below. A growing revenue and consequently continue to be able to remunerate shareholders well via dividends and growth in fundamentals. Source: GuruFocus Because it has these characteristics, VICI also has specific risks. In my opinion, the main one is the large exposure to certain tenants. Ceasars is one of the leading names in the casino market, and can even be considered one of VICI's strengths since this partnership brings considerable brand power. The problem is that in % of Annualized Cash Rent Caesars represents 39% of the total, followed by 35% for MGM Resorts. In addition to this over-concentration, Caesars is a healthy company overall, but its balance sheet is not the most solid. For example, the company has a debt to EBITDA of 7x, and a revenue that has decreased YoY. Although far from being considered insolvent, it's an important thing to keep an eye on, as it could have a major impact on VICI properties until it finds another tenant should something happen. The same goes for MGM Resorts International (NYSE:MGM), which although healthy overall, has a financial strength of 3/10, with a debt to EBITDA of 13x. In addition to this main risk, it is possible to mention industry regulation, which increases the level of future uncertainty, especially when considering potential expansions. Despite this, this factor can also be considered an entry barrier, as it also decreases competition and makes VICI's positioning even more unique. Some other industry factors should also be monitored, such as the trend towards online gaming, which can take a share of the tenants' growth, but which can also be seen as complementary, since physical experiences should not be left aside. A less specific risk is macroeconomic factors, since like any REIT, VICI is sensitive to interest rates both because of its leveraged balance sheet due to its business model and because treasury rates are an alternative to income investing. Even so, VICI has a very reasonable debt profile, with leverage of just over 5x and a very long debt amortization schedule. In view of the above factors, I see the REIT as a good alternative for an income portfolio. The company has unique properties, competitive advantages, and risks which, although they must be monitored, do not pose an immediate danger. This makes its cash flow and prospects for this indicator attractive. The historical CAGR of VICI's annualized dividend per share since 2018 is 7%, while that of other REITs operating with triple net leases has been much lower, at around 2%. While this growth rate may not be sustainable indefinitely, considering that the last few years have seen more aggressive acquisitions and expansions, it is already a good indication to illustrate that VICI has generated value in recent years. Source: VICI Investor Presentation This $1.7 per share is even better when analyzed together with the payout, which was 66%, i.e. a very healthy payout that leaves room for both increased distribution and debt management and possible acquisitions. It's worth mentioning that the dividend yield of 5.5% over the last 12 months is both higher than the average for the last 5 years, which was 5%, and the average for the REIT industry. Source: Koyfin In short, VICI is an alternative that allows you to get exposure to the gaming and experience market through well-positioned properties in the sector and a company with a track record of generating positive shareholder value, which ultimately translates into a reliable option for dividend investing. But it's not without risks, so it's necessary both to keep the risks of dependence on certain tenants in mind and to follow the development of the thesis closely. This article first appeared on GuruFocus. Error 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
