Red Rock Resorts rises after Mizuho upgrades to 'outperform', hikes PT

Red Rock Resorts

02/06/2025 12:55

** Shares of casino company Red Rock Resorts RRR.O rise 1.2% to $49 in premarket

** Mizuho upgrades stock to "outperform" from "neutral"

** Raises price target to $59 from $50; new PT at a premium of 22.7% to stock's last close

     ** Says it believes RRR could be a beneficiary of the proposed tax bill that eliminates taxes on tips and overtime

** Adds that no tax on overtime will benefit union workers, and unions are likely to negotiate for strong overtime hours

** Brokerage says when it downgraded co in Q4 2024, it felt street estimates did not reflect the underlying risk in the local markets and impact from construction in 2025; now this headwind is reflected in estimates

** Six of twelve brokerages rate the stock "buy", six "hold"; their median PT is $53 - data compiled by LSEG

** As of last close, stock had risen 6.2% YTD

(Reporting by Apratim Sarkar)

((Apratim.Sarkar@thomsonreuters.com))