Monarch Casino & Resort (MCRI) AI Stock Analysis

• Market Cap: $1.59B
• Dividend Yield: 1.4%
• Average Volume (3M): 104.31K
• Price to Earnings (P/E): 16.9
• Beta (1Y): 0.82
• Revenue Growth: 4.65%
• EPS Growth: 24.60%
• Country: US
• Employees: 2,900
• Sector: Consumer Cyclical
• Sector Strength: 65
• Industry: Gambling, Resorts & Casinos
• EPS (TTM): 1.44
• Shares Outstanding: 18,466,406
• 10 Day Avg. Volume: 119,063
• 30 Day Avg. Volume: 104,306
• PEG Ratio: 6.40
• Price to Book (P/B): 2.97
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 9.68
• Enterprise Value/Market Cap: 0.96
• Enterprise Value/Revenue: 0.73
• Enterprise Value/Gross Profit: 5.92
• Enterprise Value/Ebitda: 2.48
• 1Y Price Target: $100.33
• Price Target Upside: -4.29% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3

• Rating: 76 Outperform
• Price Target: $118.00 ▲(12.56%Upside)

Monarch Casino & Resort's strong financial performance and positive corporate events are the primary drivers of the stock score. The technical analysis suggests caution due to potential overbought conditions, while valuation metrics indicate the stock is fairly valued. These factors combine to provide a robust overall score.

Positive Factors

Earnings

Black Hawk continues to benefit from high-end strength, driving stronger-than-expected EBITDA results.

Financial Performance

MCRI's balance sheet is robust, with $59m in cash and no debt, allowing flexibility for future investments.

Marketing Strategy

MCRI plans to launch a marketing initiative to drive visitation to Atlantis and showcase upgraded rooms following renovations.

Negative Factors

Competitive Pressures

Reno faces a highly competitive market with the challenge of new tribal casino supply in No. California, potentially pressuring GGR growth further.

Growth Prospects

MCRI's growth prospects are considered more muted compared to recent years, with limited upside potential.

Revenue Impact

Room construction disruption at Atlantis is expected to impact room revenues and modest growth prospects.

Monarch Casino & Resort Business Overview & Revenue Model

Company Description

Monarch Casino & Resort, Inc., through its subsidiaries, owns and operates the Atlantis Casino Resort Spa, a hotel and casino in Reno, Nevada. The company also owns and operates the Monarch Casino Resort Spa Black Hawk in Black Hawk, Colorado. As of December 31, 2021, its Atlantis Casino Resort Spa featured approximately 61,000 square feet of casino space; 818 guest rooms and suites; 8 food outlets; 2 gourmet coffee and pastry bars; a 30,000 square-foot health spa and salon with an enclosed pool; 2 retail outlets offering clothing and gift shop merchandise; an 8,000 square-foot family entertainment center; and approximately 52,000 square feet of banquet, convention, and meeting room space. The company's Atlantis Casino Resort Spa also featured approximately 1,400 slot and video poker machines; approximately 37 table games, including blackjack, craps, roulette, and others; a race and sports book; a 24-hour live keno lounge; and a poker room. In addition, its Monarch Casino Resort Spa Black Hawk featured approximately 60,000 square feet of casino space; approximately 1,100 slot machines; approximately 40 table games; 10 bars and lounges; 4 dining options; 516 guest rooms and suites; banquet and meeting room space; a retail store; a concierge lounge; an upscale spa and pool facility; and a nine-story parking structure with approximately 1,350 spaces, as well as valet parking with a total parking capacity to approximately 1,500 spaces. The company was founded in 1972 and is based in Reno, Nevada.

How the Company Makes Money

Monarch Casino & Resort generates revenue through several key streams. The primary source of income is the gaming operations at its casino properties, which include slot machines, table games, and sports betting. In addition to gaming, the company earns revenue from its hospitality services, including hotel accommodations, food and beverage sales, and entertainment offerings. The company's resorts feature upscale restaurants, bars, and event spaces that contribute significantly to its earnings. Monarch's strategic locations in popular tourist destinations and its commitment to maintaining high-quality facilities and services are crucial factors in attracting and retaining customers, thereby driving its financial performance.

Monarch Casino & Resort Financial Statement Overview

Summary

Monarch Casino & Resort demonstrates strong financial performance with consistent revenue growth, robust profit margins, and a solid balance sheet. The low debt-to-equity ratio highlights minimal leverage risk, and cash flow generation is efficient, supporting liquidity and investments.

Income Statement

The income statement shows a strong performance with consistent revenue growth. The TTM revenue increased by 0.72% compared to the previous year. Gross profit margin stands at 48.97% for TTM, indicating effective cost management. The net profit margin for TTM is 14.14%, showcasing profitability. EBIT and EBITDA margins are robust at 18.01% and 27.89% respectively, reflecting operational efficiency.

Balance Sheet

The balance sheet reflects a solid financial position with a low debt-to-equity ratio of 0.03 in TTM, highlighting minimal leverage risk. The equity ratio is strong at 75.23%, indicating financial stability. Return on Equity (ROE) is healthy at 13.88% in TTM, suggesting good returns for shareholders. The company's low debt levels enhance its ability to withstand financial fluctuations.

Cash Flow

Cash flow analysis reveals a significant increase in free cash flow by 76.34% in TTM, driven by strong operating cash flows. The operating cash flow to net income ratio is 2.13, demonstrating efficient cash generation relative to earnings. Free cash flow to net income ratio is 2.21, indicating substantial cash generation after capital expenditures.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	522.19M	501.48M	477.87M	395.38M	184.41M
Gross Profit	280.82M	269.18M	259.59M	217.66M	99.70M
EBITDA	143.86M	157.45M	154.88M	128.29M	32.59M
Net Income	72.77M	82.45M	87.48M	68.49M	23.68M
Balance Sheet
Total Assets	691.58M	680.87M	692.94M	690.46M	671.88M
Cash, Cash Equivalents and Short-Term Investments	58.76M	43.36M	38.78M	33.53M	28.31M
Total Debt	14.06M	20.42M	20.56M	102.39M	194.46M
Total Liabilities	173.84M	167.73M	153.99M	242.44M	303.81M
Stockholders Equity	517.75M	513.14M	538.95M	448.01M	368.07M
Cash Flow
Free Cash Flow	93.28M	124.04M	100.29M	81.17M	-57.22M
Operating Cash Flow	140.71M	173.05M	139.77M	128.10M	31.44M
Investing Cash Flow	-43.79M	-51.23M	-47.97M	-37.79M	-46.39M
Financing Cash Flow	-81.53M	-117.24M	-86.54M	-85.10M	-17.28M

Monarch Casino & Resort Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 104.83
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For MCRI, the sentiment is Positive. The current price of 104.83 is above the 20-day moving average (MA) of 88.18, above the 50-day MA of 84.86, and above the 200-day MA of 82.06, indicating a bullish trend. The MACD of 2.30 indicates Negative momentum. The RSI at 81.55 is Negative, neither overbought nor oversold. The STOCH value of 35.62 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MCRI.

Monarch Casino & Resort Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BYD	80 Outperform	$6.64B	13.33	35.62%	0.88%	6.06%	10.05%
MCRI	76 Outperform	$1.59B	16.92	19.27%	1.40%	4.65%	24.60%
RRR	66 Neutral	$5.90B	24.36	81.59%	1.80%	9.48%	-11.92%
CZR	64 Neutral	$6.20B	―	-5.56%	―	-1.25%	-130.83%
PENN	58 Neutral	$2.61B	―	-2.81%	―	5.51%	92.46%
Sector *	56 Neutral	HK$25.22B	4.10	-2.03%	6.15%	-0.31%	-67.64%
BALY	49 Neutral	$482.29M	―	-65.87%	―	-1.93%	15.16%

Monarch Casino & Resort Corporate Events

Monarch Casino Reports Record Q2 2025 Financial Results

On July 16, 2025, Monarch Casino & Resort announced record financial results for the second quarter of 2025, with net revenue increasing by 6.8% to $136.9 million, driven by a 12.1% rise in casino revenues. The company completed a $100 million redesign of hotel rooms at Atlantis, enhancing guest experiences and gaining market share. Monarch’s strategic focus on operational efficiencies led to a 16.8% increase in Adjusted EBITDA, and the company declared a cash dividend of $0.30 per share, payable in September 2025.

The most recent analyst rating on (MCRI) stock is a Hold with a $90.00 price target. To see the full list of analyst forecasts on Monarch Casino & Resort stock, see the MCRI Stock Forecast page.

Monarch Casino & Resort Holds Annual Stockholders Meeting

On June 6, 2025, Monarch Casino & Resort, Inc. held its Annual Meeting of Stockholders, where 88.1% of outstanding shares were represented. Stockholders elected two directors, Bob Farahi and Yvette E. Landau, to serve until the 2027 annual meeting and approved the executive compensation on a non-binding advisory basis.

The most recent analyst rating on (MCRI) stock is a Hold with a $90.00 price target. To see the full list of analyst forecasts on Monarch Casino & Resort stock, see the MCRI Stock Forecast page.