Yahoo Finance What's in Store for Caesars Entertainment (CZR) in Q1 Earnings?
Caesars Entertainment, Inc. CZR is scheduled to report first-quarter 2023 results on May 2, after the closing bell. In the last reported quarter, the company delivered an earnings surprise of 38.9%.
The Trend in Estimate Revision
The Zacks Consensus Estimate for the first-quarter bottom line is pegged at 6 cents per share. In the prior year quarter CZR incurred a loss of $2.11.
For revenues, the consensus mark is pegged at $2,740 million, suggesting an increase of 19.5% from the year-ago quarter’s reported figure.
Let's take a look at the factors that might have shaped CZR’s performance in the quarter under review.
Factors to Note
Caesars Entertainment’s first-quarter performance is likely to have benefited from pent-up demand, expansion of retail sports betting and property development initiatives. Also, improvement of group and convention trends in Las Vegas and international travel recovery are likely to have aided the company’s performance in the quarter to be reported.
CZR is optimistic about the booking trends as it is witnessing increased bookings for banquets and convention room nights. Management anticipates an uptrend in bookings to continue in 2023 and beyond.
Caesars Entertainment revealed that it began witnessing the pre-COVID return of conventions and groups to Las Vegas. It expects this trend to continue and strengthen the market with several upcoming new high-profile events in 2023.
In first-quarter 2023, our model predicts, total Las Vegas revenues to increase 11.9% year over year to $1,023 million. We expect regional revenues to gain 12.1% year over year to $1,528 million.
However, increased investments in digital business (concerning product enhancements), competitive pricing strategies and lower hold in certain markets are likely to have impacted the company’s performance in the first quarter.
Caesars Entertainment, Inc. Price and EPS Surprise
Caesars Entertainment, Inc. price-eps-surprise | Caesars Entertainment, Inc. Quote
What Our Model Indicates
Our proven model predicts an earnings beat for Caesars Entertainment this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat.
Earnings ESP: Earnings ESP for CZR is +85.29%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: CZR currently carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.
Other Stocks Poised to Beat Earnings Estimates
Here are some other stocks from the Zacks Consumer Discretionary sector that investors may consider as our model shows that these too have the right combination of elements to post an earnings beat in the quarter to be reported:
Wynn Resorts, Limited WYNN has an Earnings ESP of +111.38% and a Zacks Rank #2.
Shares of Wynn Resorts have gained 58% in the past year. WYNN’s earnings beat estimates in two of the trailing four quarters and missed twice, the average surprise being 0.6%.
Playa Hotels & Resorts N.V. PLYA has an Earnings ESP of +40.22% and a Zacks Rank #1.
Shares of Playa Hotels & Resorts have increased 0.8% in the past year. PLYA’s earnings beat estimates in each of the trailing four quarters, the average surprise being 419.4%.
Hyatt Hotels Corporation H has an Earnings ESP of +56.57% and a Zacks Rank #3.
Shares of Hyatt Hotels have increased 20.4% in the past year. H’s earnings beat estimates in each of the trailing four quarters, the average surprise being 1,380.7%.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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
Hyatt Hotels Corporation (H) : Free Stock Analysis Report
Wynn Resorts, Limited (WYNN) : Free Stock Analysis Report
Caesars Entertainment, Inc. (CZR) : Free Stock Analysis Report
Playa Hotels & Resorts N.V. (PLYA) : Free Stock Analysis Report
