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Consumer Cyclical · Resorts & Casinos · RRR

What Red Rock Resorts Does & How It Makes Money (RRR)

Updated October 2026 · reflects Red Rock Resorts's latest reported financials

Las Vegas casino and resort operator for local residents. It makes money mainly from gaming at the casinos it owns, along with other spending at its entertainment facilities.

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How Red Rock Resorts makes money

It makes money mainly from gaming at the casinos it owns, along with other spending at its entertainment facilities. It also develops and manages casino and entertainment properties.

What Red Rock Resorts does

Red Rock Resorts, Inc. develops, owns and operates casino and entertainment properties in the United States through its interest in Station Casinos LLC. Its portfolio centers on the Las Vegas regional market and includes Durango Casino & Resort plus several smaller casinos. The company was founded in 1976 and is based in Las Vegas, Nevada. It was known as Station Casinos Corp. until January 2016, when it changed its name to Red Rock Resorts, Inc. Because its properties are concentrated in one region, results depend closely on the Las Vegas local economy.

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What is Red Rock Resorts worth?

On an owner-earnings DCF, Red Rock Resorts's most-likely value is about $27 versus a recent price near $50 (46% above fair value). But TacticScale only calls a stock undervalued when the price sits below its conservative no-growth floor (~$15) with a margin of safety — so the honest verdict here is “Fairly priced — no edge.” Fair value earns its keep only at the extremes, not in the wide middle.

Verdict: Fairly priced — no edge
Owner-earnings fair value · recent price ≈ $50
Fair value (most likely)
$27
Range
$20–$38
No-growth floor
$15
Price
~$50

Price sits in the normal range — fair value isn't actionable here; it earns its keep only when price drops below the no-growth floor, or runs to roughly double the optimistic case.

⚠ High leverage — net debt is 18.3× annual cash flow. Net debt is subtracted from this fair value, but refinancing at higher rates, principal timing, and share dilution aren’t modeled — the equity can be worth far less if cash flow weakens.

Analysis, not advice. Fair value is a margin-of-safety estimate from a deterministic owner-earnings DCF, not a price target or recommendation. See the full breakdown →

Sector Consumer Cyclical Industry Resorts & Casinos HQ United States Ticker RRR Official site

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