Compared to Estimates: Caesars Entertainment (CZR) Third Quarter Earnings: A Look at Key Metrics

Caesars Entertainment (CZR) reported revenue of $2.99 ​​billion for the quarter ended September 2023, up 3.7% year over year. Earnings per share for the same period were $0.34, compared to $0.24 a year ago.

The reported revenue represents a surprise of +2.79% versus the Zacks Consensus Estimate of $2.91 billion. Since the consensus EPS estimate was $0.27, the EPS surprise was + 25.93%.

As investors closely scrutinize year-over-year sales and earnings changes and how they compare to Wall Street’s expectations to determine their next move, some key metrics always provide a more accurate picture of a company’s financial health.

Since these key figures influence sales and profit development, a comparison with the previous year’s figures and analysts’ estimates helps investors to predict the price development of a stock more accurately.

Here’s how Caesars Entertainment performed in the just-reported quarter in terms of the metrics most commonly watched and predicted by Wall Street analysts:

  • Las Vegas – Hotel occupancy: 96.6% versus two analysts’ average estimate of 95.8%.
  • Las Vegas – Table Game Drop: $840 million versus two analysts’ average estimate of $896.07 million.
  • Caesars Digital – iGaming Handle: $2.47 billion versus two analysts’ average estimate of $2.38 billion.
  • Las Vegas – Slot Handle: $2.72 billion versus an average of $2.68 billion estimated by two analysts.
  • Net Sales – Caesars Digital: $215 million versus six analysts’ average estimate of $224.84 million. The reported figure represents a change of +1.4% compared to the previous year.
  • Net sales – regional: $1.57 billion versus an average of $1.52 billion estimated by six analysts. Compared to the same quarter last year, this figure represents a change of +2.3%.
  • Net Sales – Las Vegas: $1.12 billion versus six analysts’ average estimate of $1.10 billion. The reported figure represents a change of +4% compared to the previous year.
  • Net Revenue – Managed and Branded: $45 million versus an average of $73.23 million estimated by six analysts.
  • Net Income – Corporate and Other: -$4 million versus five analysts’ average estimate of $2.21 million. The reported number represents a +100% change from the previous year.
  • Net Income – Other: $378 million versus an average of $330.12 million estimated by two analysts. Compared to the same quarter last year, this figure represents a change of +15.6%.
  • Net Sales – Hotel: $553 million compared to the average estimate of $525.58 million based on two analysts. The reported figure represents a change of +1.7% year-on-year.
  • Net Income – Casino: $1.62 billion versus two analysts’ average estimate of $1.63 billion. The reported figure represents a change of +0.9% compared to the previous year.

You can find all important company figures for Caesars Entertainment here>>>

Shares of Caesars Entertainment have returned -14.5% over the past month, while the Zacks S&P 500 Composite has seen a change of -2.8%. The stock currently has a Zacks Rank #2 (Buy), which suggests it could outperform the broader market in the near term.

Zacks Names “Single Best Pick to Double”

From thousands of stocks, 5 Zacks experts each picked their favorite that will skyrocket +100% or more in the coming months. Of these five, research director Sheraz Mian picks one that has the most explosive upward trend of all.

It’s a little-known chemical company that’s up 65% over last year, but is still dirt cheap. With continued demand, rising 2022 earnings estimates and $1.5 billion to buy back shares, retail investors could jump in at any time.

This company could compete with or outperform other Zacks stocks that are set to double recently, such as Boston Beer Company, which gained +143.0% in just over 9 months, and NVIDIA, which gained +143.0% in a year increased by +175.9%.

Free: See our top stock and 4 runners-up >>

Want the latest recommendations from Zacks Investment Research? Today you can download the 7 best stocks for the next 30 days. Click here to get this free report

Caesars Entertainment, Inc. (CZR): Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Leave a Comment

Your email address will not be published. Required fields are marked *

%d bloggers like this: