Monarch Casino & Resort (NASDAQ:MCRI) Shares Gap Down – Should You Sell?

Shares of Monarch Casino & Resort, Inc. (NASDAQ:MCRI) gapped down before the market opened on Tuesday . The stock had previously closed at $124.38, but opened at $118.84. Monarch Casino & Resort shares last traded at $119.51, with a volume of 30,603 shares.

Analyst Upgrades and Downgrades

A number of equities research analysts recently issued reports on the company. Zacks Research lowered Monarch Casino & Resort from a “strong-buy” rating to a “hold” rating in a research note on Monday, June 22nd. Truist Financial increased their price target on Monarch Casino & Resort from $125.00 to $144.00 and gave the stock a “buy” rating in a research note on Monday. Wells Fargo & Company decreased their price objective on Monarch Casino & Resort from $116.00 to $114.00 and set an “equal weight” rating on the stock in a report on Tuesday. Wall Street Zen raised Monarch Casino & Resort from a “hold” rating to a “buy” rating in a research report on Saturday, April 25th. Finally, Jefferies Financial Group reaffirmed a “hold” rating on shares of Monarch Casino & Resort in a research report on Thursday, July 2nd. Two research analysts have rated the stock with a Buy rating and four have given a Hold rating to the company. According to data from MarketBeat.com, Monarch Casino & Resort presently has an average rating of “Hold” and an average target price of $124.40.

Monarch Casino & Resort Price Performance

The company has a market cap of $2.10 billion, a price-to-earnings ratio of 18.95 and a beta of 1.29. The company’s 50-day simple moving average is $124.48 and its 200-day simple moving average is $107.91.

Monarch Casino & Resort (NASDAQ:MCRI) last posted its quarterly earnings data on Monday, July 20th. The company reported $1.78 earnings per share for the quarter, beating analysts’ consensus estimates of $1.68 by $0.10. Monarch Casino & Resort had a net margin of 20.40% and a return on equity of 20.63%. The company had revenue of $142.60 million during the quarter, compared to analysts’ expectations of $142.85 million. The firm’s revenue was up 4.2% on a year-over-year basis. Equities analysts predict that Monarch Casino & Resort, Inc. will post 7.07 EPS for the current fiscal year.

Monarch Casino & Resort Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 15th. Investors of record on Tuesday, September 1st will be paid a $0.30 dividend. This represents a $1.20 dividend on an annualized basis and a dividend yield of 1.0%. The ex-dividend date is Tuesday, September 1st. Monarch Casino & Resort’s payout ratio is 19.23%.

Insider Activity

In other Monarch Casino & Resort news, CEO John Farahi sold 5,000 shares of the company’s stock in a transaction that occurred on Thursday, May 28th. The stock was sold at an average price of $120.84, for a total transaction of $604,200.00. Following the sale, the chief executive officer owned 616,556 shares in the company, valued at $74,504,627.04. This represents a 0.80% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Company insiders own 26.34% of the company’s stock.

Hedge Funds Weigh In On Monarch Casino & Resort

A number of large investors have recently bought and sold shares of the business. Osaic Holdings Inc. lifted its holdings in shares of Monarch Casino & Resort by 210.0% in the 2nd quarter. Osaic Holdings Inc. now owns 465 shares of the company’s stock worth $40,000 after purchasing an additional 315 shares during the last quarter. Kestra Advisory Services LLC acquired a new stake in Monarch Casino & Resort in the fourth quarter worth about $40,000. GAMMA Investing LLC lifted its stake in shares of Monarch Casino & Resort by 12.1% in the 4th quarter. GAMMA Investing LLC now owns 984 shares of the company’s stock worth $94,000 after acquiring an additional 106 shares during the period. Parallel Advisors LLC lifted its position in Monarch Casino & Resort by 191.3% in the first quarter. Parallel Advisors LLC now owns 1,136 shares of the company’s stock worth $109,000 after purchasing an additional 746 shares during the period. Finally, Tower Research Capital LLC TRC boosted its stake in Monarch Casino & Resort by 69.8% during the second quarter. Tower Research Capital LLC TRC now owns 1,275 shares of the company’s stock valued at $110,000 after buying an additional 524 shares in the last quarter. Institutional investors own 62.37% of the company’s stock.

About Monarch Casino & Resort

Monarch Casino & Resort, Inc is a publicly traded owner and operator of an integrated casino resort in Reno, Nevada. The company’s flagship property, the Atlantis Casino Resort Spa, features a full-service casino floor with table games, slot machines, and sports betting, complemented by a diverse portfolio of amenities. Guests can choose from over 800 rooms and suites, dine at multiple on-site restaurants and bars, unwind at the full-service spa and salon, or enjoy live entertainment in the property’s showroom.

Monarch’s revenue streams are diversified across gaming operations, hotel accommodations, food and beverage services, and convention and meeting facilities.