VICI Properties Inc. VICI is slated to report second-quarter 2026 earnings results on July 29, after the closing bell. Its quarterly results are expected to have exhibited 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 61 cents, meeting the Zacks Consensus Estimate. The quarter featured steady rent-led growth and active capital deployment.
Over the preceding four quarters, the company’s AFFO per share met the Zacks Consensus Estimate on one occasion and surpassed it in the remaining three quarters, the average surprise being 0.42%. This is depicted in the graph below:
VICI Properties Inc. Price and EPS Surprise
VICI Properties Inc. price-eps-surprise | VICI Properties Inc. Quote
Factors at Play & Projections for VICI
In the second quarter, VICI's long-term triple-net leases with its established operators are likely to have contributed to stable revenue generation, supporting its top-line growth.
VICI Properties’ lease agreements feature a rent roll with CPI-linked escalations. This structure is expected to have ensured the company’s cash flow growth alongside inflation.
VICI Properties has diversified its portfolio beyond gaming, which includes investments in other non-gaming experiential assets like Chelsea Piers and Lucky Strike Entertainment. Its ability to execute growth strategies effectively is likely to have demonstrated strong management and positioned the company for sustained success, yielding revenue growth.
The Zacks Consensus Estimate for quarterly revenues is pegged at $1.04 billion, which suggests growth of 4.1% from the prior-year quarter’s reported figure.
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 increased a cent to 62 cents over the past three months. The figure indicates growth of 3.3% from the year-ago quarter’s reported figure.
However, VICI Properties’ high debt and interest expenses are expected to have cast a pall on the company’s performance to some extent.
What Our Quantitative Model Predicts for VICI
Our proven model does not conclusively predict 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 not the case here.
VICI Properties currently has an Earnings ESP of -0.35% 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.
Stocks That Warrant a Look
Here are two stocks from the broader REIT industry — Extra Space Storage EXR and Host Hotels & Resorts HST — that you may want to consider, as our model shows that these have the right combination of elements to report a surprise this quarter.
EXR, which is scheduled to report quarterly results on July 28, has an Earnings ESP of +0.39% and a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.
Host Hotels is slated to report quarterly numbers on Aug. 5. HST has an Earnings ESP of +1.73% 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.
Zacks' Research Chief Names "Stock Most Likely to Double"
Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.
This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.Free: See Our Top Stock And 4 Runners Up
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
Host Hotels & Resorts, Inc. (HST): Free Stock Analysis Report
Extra Space Storage Inc (EXR): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research