Is Red Rock Resorts, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for Red Rock Resorts, Inc. has moved from very expensive to fair. The company appears to be fairly valued at this time. Key valuation ratios include a P/E ratio of 17, an EV to EBITDA of 11.16, and a Price to Book Value of 21.48. In comparison, peers such as Norwegian Cruise Line Holdings Ltd. have a P/E of 14.40, while Wyndham Hotels & Resorts, Inc. has a higher P/E of 20.98, indicating that Red Rock is positioned competitively within the industry.
Recent stock performance shows that Red Rock Resorts, Inc. has outperformed the S&P 500 over the year-to-date period, with a return of 26.88% compared to the S&P 500's 13.30%. However, over the longer term, the company's 3-year return of 48.68% lags behind the S&P 500's 81.19%, suggesting potential challenges in maintaining growth relative to broader market trends.