Caesars Entertainment Set to Announce Q1 Earnings, Analysts Project Loss

With a market capitalization of $5.4 billion, Caesars Entertainment, Inc. (CZR) operates in the gaming and hospitality sector, providing services such as casino gaming, hotel stays, dining, entertainment, and sports betting. The company, based in Reno, Nevada, is scheduled to release its fiscal Q1 earnings for 2025 after the market closes on Tuesday, April 29.

Projected Loss and Recent Performance

Analysts anticipate that this casino operator will report a loss of $0.16 per share, marking an improvement of 70.9% compared to a loss of $0.55 per share during the same quarter last year. Historically, CZR has struggled with earnings, missing Wall Street’s expectations in three of the last four quarters, while surpassing estimates just once. In its previous quarter, the company achieved an earnings per share (EPS) of $0.05, significantly exceeding consensus estimates by 133.3%.

Future Earnings Outlook

For the entire fiscal year, projections indicate that CZR will report EPS of $0.76, a notable increase of 238.2% from the previous year’s loss of $0.55 per share. Looking ahead, the EPS is expected to rise further by 119.7% year over year to reach $1.67 in fiscal 2026.

Stock Performance and Market Comparison

Over the last 52 weeks, CZR’s stock has decreased by 37.7%, underperforming both the S&P 500 Index, which has risen by 6.6%, and the Consumer Discretionary Select Sector SPDR Fund, which increased by 8.5% during the same period.

Recent Earnings and Analyst Sentiment

Caesars released its Q4 earnings on February 25, resulting in a small decline in share prices the next day following a mixed performance. The adjusted revenue stood at $2.8 billion, slightly down from the previous year and just below consensus forecasts due to intensified regional competition. However, the net income per share of $0.05 marks a significant improvement from a loss of $0.34 per share reported in the prior year, exceeding expectations. Notably, robust growth in the digital segment contributed positively to the overall profitability.

Wall Street’s outlook on CZR remains optimistic, with an overall “Strong Buy” rating from analysts. Out of 14 covering the Stock, 11 recommend “Strong Buy” while three suggest “Hold.” The average price target for CZR is set at $45.36, indicating a potential upside of 80.9% from current levels.

On the date of publication, Neharika Jain did not hold (either directly or indirectly) any positions in the securities mentioned in this article. All information and data presented herein are intended solely for informational purposes. Please refer to the Barchart Disclosure Policy here.

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