Should VICI Stock Be in Your Portfolio Pre-Q4 Earnings?

VICI Properties Inc. VICI is slated to report fourth-quarter 2025 earnings results on Feb. 25, after the closing bell. Its quarterly results are expected to exhibit growth in revenues and adjusted funds from operations (AFFO) per share.

In the last reported quarter, this New York-based experiential REIT, which owns the portfolios of market-leading gaming, hospitality and entertainment destinations, reported an AFFO per share of 60 cents, beating the Zacks Consensus Estimate of 59 cents.

Over the preceding four quarters, the company’s AFFO per share surpassed the Zacks Consensus Estimate on one occasion and met in the remaining quarters, the average surprise being 0.42%. This is depicted in the graph below:

VICI Properties Inc. Price and EPS Surprise

VICI Properties Inc. price-eps-surprise | VICI Properties Inc. Quote

Factors at Play and Projections for VICI

In the fourth quarter, VICI's long-term triple-net leases with its established operators are likely to have contributed to stable revenue generation during the quarter, supporting its top-line growth.

VICI Properties’ lease agreements feature a rent roll with CPI-linked escalations. This structure ensures the company’s cash flow growth alongside inflation.

VICI Properties has diversified its portfolio beyond gaming, which includes investments in other non-gaming experiential assets like Chelsea Piers and Bowlero. Its ability to execute growth strategies effectively demonstrates strong management and positions the company for sustained success, yielding revenue growth.

The Zacks Consensus Estimate for quarterly revenues is pegged at $1.02 billion, which suggests growth of 4.08% from the prior-year quarter’s reported figure.

The Zacks Consensus Estimate for income from sales-type leases is currently pegged at $535.49 million, which indicates an increase from $524.69 million in the year-ago quarter.

Income from lease financing receivables and loans is estimated at $449.02 million, up from $420.74 million in the year-ago period.

The Zacks Consensus Estimate for revenues from golf operations stands at $11.27 million, up from $11.15 million reported in the year-ago period.

The consensus mark for other income is currently pegged at $19.51 million, up from $19.47 million in the prior-year period.

The company’s activities during the to-be-reported quarter were inadequate to garner analysts’ confidence. The Zacks Consensus Estimate for the quarterly AFFO per share has remained unchanged at 60 cents for more than three months. The figure indicates growth of 5.26% from the year-ago quarter’s reported figure.

What Our Quantitative Model Predicts for VICI

Our proven model does not conclusively predict a surprise in terms of AFFO per share for VICI Properties this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an AFFO beat, which is not the case here.

VICI Properties currently has an Earnings ESP of 0.00% and carries a Zacks Rank of 4 (Sell). You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Performance of Other REITs

Digital Realty Trust DLR reported fourth-quarter 2025 core FFO per share of $1.86, beating the Zacks Consensus Estimate of $1.83. FFO also increased 7.5% year over year.

Results reflected steady leasing momentum with better rental rates amid rising demand.

W.P. Carey WPC reported fourth-quarter 2025 AFFO per share of $1.27, topping the Zacks Consensus Estimate of $1.26. The figure improved 5% from the year-ago quarter.

Results highlighted higher revenues, aided by strong investment activity and improved rents.

Note: Anything related to earnings presented in this write-up represents funds from operations (FFO), a widely used metric to gauge the performance of REITs.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research