Back to top

Image: Bigstock

VICI Properties to Report Q2 Earnings: What to Expect From the Stock?

Read MoreHide Full Article

Key Takeaways

  • VICI's Q2 revenues are projected at $996.07M, implying a 4.08% increase from the prior-year period.
  • Long-term triple-net leases and operator partnerships may have supported stable top-line performance.
  • Investments in Chelsea Piers and Bowlero underscore VICI's non-gaming growth strategy.

VICI Properties Inc. (VICI - Free Report) is slated to report second-quarter 2025 earnings results on July 30, after the closing bell. Its quarterly results are expected to exhibit growth in revenues and adjusted funds from operations (AFFO) per share.

In the last reported quarter, this New York-based experiential REIT, which owns the portfolios of market-leading gaming, hospitality and entertainment destinations, reported an AFFO per share of 58 cents, in line with the Zacks Consensus Estimate.

Over the preceding four quarters, the company’s AFFO per share surpassed the Zacks Consensus Estimate on two occasions for as many in-line performances, the average surprise being 0.90%. This is depicted in the graph below:

VICI Properties Inc. Price and EPS Surprise

VICI Properties Inc. Price and EPS Surprise

VICI Properties Inc. price-eps-surprise | VICI Properties Inc. Quote

Factors at Play and Projections for VICI

In the second quarter, VICI Properties' performance is expected to have been influenced by the resurgence in demand for its gaming facilities and other hospitality and entertainment venues.

Further, the company stands to gain from its strong partnerships with top-tier experiential operators. The long-term triple-net leases with these operators are likely to have contributed to stable revenue generation during the quarter, supporting its top-line growth.

Moreover, VICI Properties has diversified its portfolio beyond gaming, which includes investments in other non-gaming experiential assets like Chelsea Piers and Bowlero. Its ability to execute growth strategies effectively demonstrates strong management and positions the company for sustained success, yielding steady revenue growth.

The Zacks Consensus Estimate for quarterly revenues is pegged at $996.07 million, which suggests growth of 4.08% from the prior-year quarter’s reported figure.

The Zacks Consensus Estimate for income from sales-type leases is currently pegged at $530.83 million, which indicates an increase from $528.60 million in the prior quarter and $512.29 million in the year-ago quarter.

Income from lease financing receivables and loans stands at $436.44 million, up from $426.48 million in the previous quarter and $413.74 million in the year-ago period.

The Zacks Consensus Estimate for revenues from golf operations stands at $11.52 million, up from $9.61 million in the prior quarter, but slightly down from $11.66 million reported in the year-ago period.

The consensus mark for other income currently stands at $19.50 million, remaining approximately unchanged from the prior quarter and the prior-year period.

The company’s activities during the to-be-reported quarter were adequate to garner analysts’ confidence. The Zacks Consensus Estimate for the quarterly AFFO per share has been revised upward by a cent to 60 cents over the past month. Moreover, the figure indicates growth of 5.26% from the year-ago quarter’s reported figure.

What Our Quantitative Model Predicts for VICI

Our proven model predicts a surprise in terms of AFFO per share for VICI Properties this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an AFFO beat, which is the case here.

VICI Properties currently has an Earnings ESP of +15.43% and carries a Zacks Rank of 3. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Other Stocks That Warrant a Look

Here are two stocks from the broader REIT sector — Welltower (WELL - Free Report) and American Tower (AMT - Free Report) — that you may want to consider, as our model shows that these also have the right combination of elements to report an earnings surprise this quarter.

Welltower, scheduled to report quarterly numbers on July 28, has an Earnings ESP of +16.19% and carries a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.

AMT, slated to release quarterly numbers on July 29, has an Earnings ESP of +0.95% and carries a Zacks Rank of 2 at present.

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.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


American Tower Corporation (AMT) - free report >>

Welltower Inc. (WELL) - free report >>

VICI Properties Inc. (VICI) - free report >>

Published in