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Red Rock ResortsRRR -0.37%81 Interest Coverage is 2.79 as of Jun. 2026, which is 5% below its 10-year median of 2.95. GuruFocus rates RRR with a GF Score™ of 81/100 and a GF Value™ of $79.03 (Modestly Undervalued). The stock has 8 warning signs investors should review. Among 616 Travel & Leisure companies, Red Rock Resorts ranks worse than 67.69% on this metric.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's
Operating Income
by its Interest Expense. Red Rock Resorts's
Operating Income
for the
three
months ended in Jun. 2026 was $139 Mil. Red Rock Resorts's Interest Expense for the
three
months ended in Jun. 2026 was $-50 Mil.
Red Rock Resorts's interest coverage for the quarter that ended in Jun. 2026 was 2.79.
The higher the ratio, the stronger the company's financial strength is.
Warning Sign:
Ben Graham prefers companies' interest coverage to be at least 5. Red Rock Resorts Inc interest coverage is 2.88, which is low.
The historical rank and industry rank for Red Rock Resorts's Interest Coverage or its related term are showing as below:
RRR'
s Interest Coverage Range Over the Past 10 Years
Min: 0.97 Med: 2.95 Max: 5.43
Current: 2.88
RRR's Interest Coverage is ranked worse than 67.69% of 616
companies
in the Travel & Leisure industry
Industry Median: 5.165
vs RRR: 2.88
Red Rock Resorts (NAS:RRR) Interest Coverage Explanation
Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.
Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .
Red Rock Resorts Interest Coverage Related Terms
Red Rock Resorts Interest Coverage Historical Data
* Premium members only.
The historical data trend for Red Rock Resorts's Interest Coverage can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.
RRR vs HGV, VAC, PENN: Interest Coverage Comparison
For the Resorts & Casinos subindustry, Red Rock Resorts's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Red Rock Resorts Interest Coverage vs Travel & Leisure Industry
For the Travel & Leisure industry and Consumer Cyclical sector, Red Rock Resorts's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Red Rock Resorts's Interest Coverage falls into.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Red Rock Resorts (RRR) has a Interest Coverage of 2.79 as of Jun. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Red Rock Resorts and its competitors. This is near median its historical median of 2.95. Over the past decade, Red Rock Resorts' Interest Coverage has ranged from 0.97 to 5.43. According to the industry distribution chart, Red Rock Resorts ranks #417 out of 616 companies in the Travel & Leisure industry, placing it in the top 67.7%.
Is Red Rock Resorts' Interest Coverage too high?
Red Rock Resorts' current Interest Coverage of 2.79 is near median its 10-year median of 2.95. Over the past 10 years, this metric has ranged from a low of 0.97 to a high of 5.43. The Travel & Leisure industry median Interest Coverage is 5.17. Red Rock Resorts' value of 2.79 is 46% below this industry median. Based on the distribution chart, Red Rock Resorts ranks #417 out of 616 companies in the Travel & Leisure industry, which is below the industry midpoint. Overall, Red Rock Resorts has a GF Score™ of 81/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Red Rock Resorts' Interest Coverage compare to HGV and VAC?
According to the Travel & Leisure industry distribution chart, Red Rock Resorts ranks #417 out of 616 companies for Interest Coverage. This places Red Rock Resorts in the lower half of its industry. The industry median Interest Coverage is 5.17. Red Rock Resorts' value of 2.79 is 46% below this benchmark. Historically, Red Rock Resorts' own Interest Coverage has ranged from 0.97 to 5.43 over the past decade. While the company's 10-year median is 2.95 vs. the industry median of 5.17, Red Rock Resorts has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Travel & Leisure company?
The median Interest Coverage among Travel & Leisure companies is 5.17, based on 616 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Red Rock Resorts's current Interest Coverage of 2.79 is 46% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Red Rock Resorts and its competitors. For the Travel & Leisure industry, the median Interest Coverage is 5.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Red Rock Resorts's current Interest Coverage is 2.79, which is near median its own 10-year median of 2.95. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Red Rock Resorts stock overvalued right now?
Based on GuruFocus' analysis, Red Rock Resorts (RRR) is currently considered Modestly Undervalued. The stock's GF Value™ is $79.03, compared to a current price of $61.25 — trading 22.5% below its estimated fair value. The current Interest Coverage is 2.79, which is near median its 10-year median of 2.95 and 46% below the Travel & Leisure industry median of 5.17. Red Rock Resorts' overall GF Score™ is 81/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Red Rock Resorts (RRR), the current Interest Coverage is 2.79 as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Red Rock Resorts (RRR) Overvalued in 2026?
Based on GuruFocus' analysis, Red Rock Resorts stock appears to be undervalued.
The current stock price of $61.25 is trading 22.5% below its estimated GF Value™ of $79.03.
GuruFocus considers Red Rock Resorts to be Modestly Undervalued.
Key valuation signals for RRR:
Interest Coverage: 2.79 (near median its 10-year median of 2.95)
GF Value™: $79.03 vs. price of $61.25 (22.5% below fair value)
Industry Position: 46% below the Travel & Leisure median (#417 of 616)
No single metric tells the full story. See the RRR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Red Rock Resorts Inc along with its subsidiary is a gaming, development and management company that develops and operates strategically-located casino and entertainment properties. Its casino properties are conveniently located throughout the Las Vegas valley and provide its customers a wide variety of entertainment and dining options. The majority of revenue is derived from Casinos, followed by Food and Beverages, Rooms and others.
81GF Score
Get the complete analysis for RRR
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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