Alphanso’s AI Stock Research picked VICI as one of the top stocks of the year.
Alphanso rating: 9/10
Return potential: 21%
This pick stands out because despite headwinds, VICI delivered strong H1 results, raised FY23 guidance, and made strategic investments, bolstered by a solid balance sheet.
Fundamental Metrics:
- The free-cash-flow yield of 7.5% trading at 11 PE (fwd) vs sector median 26, indicates the company’s ability to generate cash flows making it a very sustainable business trading at a relatively low price.
- Revenue growth (fwd) of 35% vs sector median of 7.5% and EBITDA growth (fwd) of 34% vs sector median of 11.5% indicates strong market positioning and increasing market share
- Operating margin of 87% vs. sector median 21% and EBITDA margin of 87% vs. sector median of 54% suggests strong pricing power and economies of scale
- ROE of 35% vs sector median of 7.5% signifies effective management and shareholder focus
- $VICI has beaten earning expectations 100% of the time in the last 8 years
Technical Metrics:
Based on the Alphanso model, the stock is trading below the expected channel (range) of $34.2 – $35.3
