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Gaming and Leisure (GLPI)
NASDAQ:GLPI
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Gaming and Leisure (GLPI) AI Stock Analysis

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GLPI

Gaming and Leisure

(NASDAQ:GLPI)

Rating:75Outperform
Price Target:
$53.00
▲(13.54%Upside)
Gaming and Leisure Properties earns a solid score due to its strong financial performance and reasonable valuation, despite mixed technical signals and some uncertainties from recent corporate events and earnings call highlights. The company's robust profitability and attractive dividend yield are significant strengths, though attention to operational expenses and strategic direction is advised.
Positive Factors
Dividend
The dividend was raised by 2.6%, providing an increased income return for investors.
Financial Flexibility
GLPI has ~$409m of unsettled proceeds anticipated to be settled soon, which could enhance financial flexibility.
Lease Extensions
GLPI successfully extended its Boyd Master and Belterra Park lease for an additional 5 years, now set to expire April 2031, which is viewed positively due to strong lease coverage.
Negative Factors
Investment Delays
The new investment guide of $375m is lower, likely due to delays on Bally's Chicago, reflecting potential challenges in meeting investment expectations.
Project Delays
The delay of the flagship project of Bally's Chicago has impacted growth expectations, reducing the projected growth rate to below the group average.
Strategic Concerns
The position of SVP and Chief Investment Officer was eliminated, raising questions about the company's strategic leadership.

Gaming and Leisure (GLPI) vs. SPDR S&P 500 ETF (SPY)

Gaming and Leisure Business Overview & Revenue Model

Company DescriptionGLPI is engaged in the business of acquiring, financing, and owning real estate property to be leased to gaming operators in triple-net lease arrangements, pursuant to which the tenant is responsible for all facility maintenance, insurance required in connection with the leased properties and the business conducted on the leased properties, taxes levied on or with respect to the leased properties and all utilities and other services necessary or appropriate for the leased properties and the business conducted on the leased properties.
How the Company Makes MoneyGLPI makes money primarily by leasing its properties to gaming operators under long-term triple-net lease agreements. In these leases, the tenants are responsible for paying property taxes, insurance, and maintenance costs, in addition to rent. This model provides GLPI with a steady and predictable revenue stream. The company also benefits from the growth in the gaming industry as it allows them to potentially increase rents or expand their property portfolio. Significant partnerships with major gaming operators, such as Penn National Gaming, contribute to its earnings stability. Additionally, GLPI may engage in strategic acquisitions to expand its portfolio, further enhancing revenue potential.

Gaming and Leisure Earnings Call Summary

Earnings Call Date:Jul 24, 2025
(Q1-2025)
|
% Change Since: -1.00%|
Next Earnings Date:Oct 23, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mix of strong financial performance and strategic growth initiatives, alongside challenges such as project delays and increased expenses. While the company showed resilience and a strategic approach to growth, uncertainties in guidance and future developments were noted.
Q1-2025 Updates
Positive Updates
Significant Increase in Real Estate Income
Total income from real estate exceeded the first quarter of 2024 by over $19 million, driven by increases in cash rent of over $26 million.
Strong Rent Coverage Ratios
Rent coverage ratios remain strong, ranging from 1.73 to 2.51 times on master leases as of the end of the prior quarter.
Healthy Leverage and Prefunding Strategy
Leverage is healthy at 4.7 times annualized net debt to EBITDA, with maturities well laddered and a prefunding capital strategy reducing risk and maximizing flexibility.
Progress on Chicago Project
Significant progress on Chicago project with 272 out of 331 caissons completed and steel ordered for July.
Resilient Cash Flows Amid Market Conditions
Despite macro uncertainty, cash flows remain steady and resilient, supported by a strategic approach focusing on long-term value.
Negative Updates
Delays in Chicago Project
The Chicago project experienced delays due to environmental issues and the complexity of the site, resulting in a delay in the project's progression.
Increase in Operating Expenses
Operating expenses increased by $18 million, mainly due to a non-adjustment in the provision for credit losses amid a pessimistic economic forecast.
Guidance Reduction
Updated full-year 2025 guidance is slightly reduced at the high end due to the assumption that the escalation on the Pinnacle lease will not be achieved.
Uncertainty in New Developments
Potential deals and developments face uncertainty, with timing and finalization being unpredictable.
Company Guidance
During the first quarter of 2025, Gaming and Leisure Properties reported a notable increase in total income from real estate, exceeding the first quarter of 2024 by over $19 million. This growth was primarily driven by an increase in cash rent of over $26 million, stemming from acquisitions and escalations. Notable contributions included $5 million from the acquisition of Valley Chicago Land, $1 million from Tropicana funding, and $8 million from Kansas City and Shreveport. Additionally, strategic acquisitions increased cash income by $2.3 million, while escalators and percentage rent adjustments added approximately $6.7 million. Operating expenses rose by $18 million due to a non-adjustment in the provision for credit losses. The company's updated full-year 2025 guidance forecasts a range of $3.84 to $3.87 per diluted share in OP units, with a reduction at the high end due to the assumption that the escalation on the Pinnacle lease will not be achieved. Rent coverage ratios remained strong, ranging from 1.73 to 2.51 times on master leases.

Gaming and Leisure Financial Statement Overview

Summary
Gaming and Leisure demonstrates strong financial health with high profitability, as evidenced by a robust net profit margin and effective cost management. The balance sheet is stable with low leverage, though there is potential for improving free cash flow generation.
Income Statement
85
Very Positive
Gaming and Leisure has shown robust financial growth with a strong gross profit margin of 93.4% for TTM (Trailing-Twelve-Months) and a net profit margin of 51.8%, indicating high profitability. The revenue growth rate over the past year was slightly negative at -2.3%, but the company maintains a solid EBIT margin of 75.9% and an EBITDA margin of 90.0%, signaling effective cost management and operational efficiency.
Balance Sheet
72
Positive
The company exhibits a moderate debt-to-equity ratio of 0.07 and a return on equity (ROE) of 18.4% for TTM, reflecting a healthy balance between debt and equity financing and decent returns to shareholders. The equity ratio stands at 34.7%, indicating a stable financial structure. However, attention should be given to leverage ratios to ensure long-term financial health.
Cash Flow
80
Positive
Gaming and Leisure demonstrates strong cash flow management with a free cash flow to net income ratio of 1.00 and an operating cash flow to net income ratio of 1.05 for TTM, highlighting excellent cash conversion capabilities. The free cash flow growth rate was -24.9% year-over-year, suggesting room for improvement in generating cash from operations.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue1.53B1.44B1.31B1.22B1.15B
Gross Profit1.48B1.39B1.26B1.13B1.07B
EBITDA1.40B1.34B1.22B1.07B1.01B
Net Income784.62M734.28M684.65M534.05M505.71M
Balance Sheet
Total Assets13.33B11.81B10.93B10.69B9.03B
Cash, Cash Equivalents and Short-Term Investments1.02B683.98M239.08M724.60M486.45M
Total Debt8.04B6.88B6.36B6.79B5.91B
Total Liabilities8.43B7.30B6.81B7.30B6.36B
Stockholders Equity4.27B4.16B3.78B3.19B2.68B
Cash Flow
Free Cash Flow1.03B961.93M896.10M787.58M424.47M
Operating Cash Flow1.07B1.01B920.13M803.78M428.08M
Investing Cash Flow-1.61B-650.83M-354.49M-1.03B-9.49M
Financing Cash Flow311.82M86.35M-1.05B443.07M63.17M

Gaming and Leisure Technical Analysis

Technical Analysis Sentiment
Negative
Last Price46.68
Price Trends
50DMA
46.63
Positive
100DMA
47.31
Negative
200DMA
47.41
Negative
Market Momentum
MACD
0.08
Positive
RSI
45.57
Neutral
STOCH
37.44
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GLPI, the sentiment is Negative. The current price of 46.68 is below the 20-day moving average (MA) of 47.43, above the 50-day MA of 46.63, and below the 200-day MA of 47.41, indicating a neutral trend. The MACD of 0.08 indicates Positive momentum. The RSI at 45.57 is Neutral, neither overbought nor oversold. The STOCH value of 37.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GLPI.

Gaming and Leisure Risk Analysis

Gaming and Leisure disclosed 21 risk factors in its most recent earnings report. Gaming and Leisure reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 3 New Risks
1.
Our charter restricts the ownership and transfer of our outstanding stock, which may have the effect of delaying, deferring or preventing a transaction or change of control of our company. Q4, 2024
2.
Pennsylvania law and provisions in our charter and bylaws may delay or prevent takeover attempts by third parties and therefore inhibit our shareholders from realizing a premium on their stock. Q4, 2024
3.
The market price of our common stock may be volatile, and holders of our common stock could lose a significant portion of their investment if the market price of our common stock declines. Q4, 2024

Gaming and Leisure Peers Comparison

Overall Rating
UnderperformOutperform
Sector (70)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
$12.80B30.7238.18%4.92%3.58%-15.47%
77
Outperform
$4.41B35.646.25%5.97%0.69%-19.22%
75
Outperform
$12.96B16.6916.52%6.49%6.14%4.09%
74
Outperform
$3.72B10.3718.78%12.22%12.61%111.99%
70
Outperform
¥236.19B14.5410.69%3.77%18.33%21.20%
64
Neutral
$3.20B68.992.31%4.42%10.86%6.72%
63
Neutral
$18.63B51.802.85%3.19%-6.56%-54.29%
* Real Estate Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GLPI
Gaming and Leisure
46.68
0.19
0.41%
LAMR
Lamar Advertising
125.42
10.94
9.56%
PCH
PotlatchDeltic
40.68
-0.61
-1.48%
RYN
Rayonier
24.12
-2.97
-10.96%
WY
Weyerhaeuser
26.47
-4.26
-13.86%
EPR
EPR Properties
57.23
15.02
35.58%

Gaming and Leisure Corporate Events

Executive/Board ChangesBusiness Operations and Strategy
Gaming and Leisure Restructures Leadership with Key Departure
Negative
Jul 18, 2025

On July 18, 2025, Gaming and Leisure Properties, Inc. announced the elimination of the Senior Vice President and Chief Investment Officer position, affecting Matthew J. Demchyk. A separation agreement was reached, with Mr. Demchyk’s last day set for August 1, 2025. The agreement includes a cash severance package totaling $6,250,000, distributed over a period extending to August 2026, along with continued medical benefits for up to 24 months. This restructuring move may impact the company’s investment strategies and operational focus, potentially influencing stakeholder perceptions.

The most recent analyst rating on (GLPI) stock is a Hold with a $52.00 price target. To see the full list of analyst forecasts on Gaming and Leisure stock, see the GLPI Stock Forecast page.

Shareholder MeetingsBusiness Operations and Strategy
Gaming and Leisure Shareholders Approve Incentive Plan Amendments
Positive
Jun 16, 2025

On June 12, 2025, during its Annual Meeting of Shareholders, Gaming and Leisure Properties, Inc. received approval for amendments to its 2013 Long-Term Incentive Compensation Plan, including an increase in reserved shares and changes to share provisions. Additionally, all director nominees were re-elected, and Deloitte & Touche LLP was ratified as the independent registered public accounting firm for 2025. These approvals and re-elections strengthen the company’s governance framework and support its strategic objectives, potentially impacting shareholder value and operational efficiency.

The most recent analyst rating on (GLPI) stock is a Hold with a $54.00 price target. To see the full list of analyst forecasts on Gaming and Leisure stock, see the GLPI Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 24, 2025