
MCRI Stock Forecast & Price Target
MCRI Analyst Ratings
Bulls say
Monarch Casino & Resort Inc is positioned favorably due to its strong pricing power within a stable competitive landscape, as evidenced by an 8.3% year-over-year increase in consolidated hotel revenues in the fourth quarter, alongside an expansion of hotel operating margins by 110 basis points. The company's revenue growth in Black Hawk, particularly within the hotel segment, has contributed to better-than-expected consolidated Adjusted EBITDA margins, which exceeded both internal models and consensus estimates by 150 basis points and 260 basis points, respectively. Management's strategic initiatives targeting high-value Denver-based players and effective cost controls amid wage inflation further enhance the outlook for sustained revenue and profitability growth.
Bears say
Monarch Casino & Resort Inc's financial performance shows signs of strain, as evidenced by flat year-over-year EBITDA in Q3 and a decline in Food & Beverage operating margins by 160 basis points. The company faces multiple downside risks, including an uncertain consumer spending outlook, aggressive promotional activity from competitors in Reno, and potential new tribal competition from California that may affect visitation. Furthermore, wage inflation and the potential for a gaming tax increase in Monarch's markets, coupled with weather-related disruptions, contribute to a challenging operating environment for the company.
This aggregate rating is based on analysts' research of Monarch Casino & Resort and is not a guaranteed prediction by Public.com or investment advice.
MCRI Analyst Forecast & Price Prediction
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