Hotel and casino entertainment company Caesars Entertainment (NASDAQ:CZR) will be reporting results tomorrow after the bell. Here’s what investors should know.
Caesars Entertainment missed analysts’ revenue expectations by 1.8% last quarter, reporting revenues of $2.87 billion, down 4% year on year. It was a slower quarter for the company, with a significant miss of analysts’ EPS estimates.
Is Caesars Entertainment a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Caesars Entertainment’s revenue to be flat year on year at $2.83 billion, in line with its flat revenue from the same quarter last year. Adjusted loss is expected to come in at -$0.12 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Caesars Entertainment has missed Wall Street’s revenue estimates four times over the last two years.
Looking at Caesars Entertainment’s peers in the casino operator segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Monarch delivered year-on-year revenue growth of 4.9%, beating analysts’ expectations by 4.4%, and Wynn Resorts reported flat revenue, topping estimates by 2.8%. Monarch traded up 8% following the results while Wynn Resorts was also up 10.4%.
Read our full analysis of Monarch’s results here and Wynn Resorts’s results here.
Stocks generally had a good 2024. The Fed fought high inflation and won without sending the economy into a recession, otherwise lovingly known as a soft landing. The US Central Bank is now cutting rates. That, plus the election of Donald Trump in November 2024, sent markets even higher, and while some of the casino operator stocks have shown solid performance, the group has generally underpeformed, with share prices down 2.4% on average over the last month. Caesars Entertainment is up 1.5% during the same time and is heading into earnings with an average analyst price target of $50.76 (compared to the current share price of $35.54).
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