VICI Properties: Window of Opportunity Still Open for Investors.

VICI Properties' stock price has dropped below $30, making it a buying opportunity according to the author. The decision is based on psychological factors and a desire for a higher dividend yield. The article suggests that the window for buying VICI Properties is narrowing, but still open.

VICI Properties (NYSE: VICI) has seen its stock price drop below $30, presenting a potential buying opportunity according to recent analysis. The author of the analysis [1] suggests that this price point aligns with their preferred entry level, driven by psychological factors and the desire for a higher dividend yield. The stock's current price of $33, however, is still considered fair by the author, who acknowledges that the company's valuation has improved since the last analysis.

VICI Properties' Q1 earnings were robust, with Adjusted Funds from Operations (AFFO) growing by 3.6% year-over-year (YoY) to $0.58. The company's guidance for the year suggests a YoY growth rate of 3.8%, further reinforcing its solid financial performance. The company's portfolio, which includes properties in prime areas of Las Vegas, is considered resilient and has wide moats, contributing to a positive outlook.

One of the notable investments in the quarter was a $510M loan for the construction of a property in California, marking VICI's first gaming investment on tribal land. This partnership with Red Rock Resorts (RRR) is seen as a strategic move that aligns with the company's long-term growth goals. The growth prospects for Las Vegas, including population, employment, and income growth, also support VICI's outlook.

Despite the positive outlook, the author acknowledges that the window for buying VICI Properties is narrowing. The stock's valuation has improved, with the forward yield now just over 5% and the price-to-FFO ratio at 13x. While these metrics are still considered fair, the margin of safety has diminished compared to earlier levels. The author maintains a constructive view of the REIT, suggesting that there is shareholder value to be unlocked through long-term compounding.

Institutional investors, including hedge funds and asset management firms, have shown increased interest in VICI Properties. Bank of New York Mellon Corp, for instance, increased its stake by 0.4% in the first quarter [2]. Several analysts have also upgraded their ratings and price targets for the stock, with a consensus rating of "Moderate Buy" and a target price of $35.42.

In conclusion, VICI Properties presents a compelling investment case for long-term investors. While the window for buying the stock is narrowing, the company's solid financial performance, strategic investments, and growth prospects make it an attractive option for those willing to hold the stock for the long term.

References:
[1] https://seekingalpha.com/article/4800090-vici-properties-window-narrowing-but-still-open
[2] https://www.marketbeat.com/instant-alerts/filing-bank-of-new-york-mellon-corp-purchases-24076-shares-of-vici-properties-inc-nysevici-2025-07-08/