Jim Cramer’s Latest Lightning Rounds: 15 Stocks to Watch

7. VICI Properties Inc. (NYSE:VICI)

Number of Hedge Fund Holders: 33

VICI Properties Inc. (NYSE:VICI) is an S&P 500 experiential real estate investment trust. It has an extensive portfolio that includes some of the most renowned destinations in Las Vegas, such as Caesars Palace, MGM Grand, and the Venetian Resort. It has a total of 93 experiential assets and its portfolio includes 54 gaming facilities and 39 other venues spread across the United States and Canada. The properties are operated by leading companies in the industry, all of which are secured under long-term, triple-net lease agreements. Discussing the company, Cramer said “you got a 5% yield, so it’s a little bit better than treasuries. It’s a well-run company.” He reiterated that the stock is “fine”.

The primary source of revenue for VICI Properties Inc. (NYSE:VICI) is from the gaming properties, many of which include associated hotels. Importantly, the company does not own the casinos. Instead, it leases the land to operators, ensuring a steady and growing stream of rental income.

The business model has proven effective, as evidenced by the company’s financial performance. In the most recent quarter, it reported revenue of $957 million, which is a 6.6% increase despite the current economic challenges. Per-share earnings also rose from $0.69 to $0.71.

VICI Properties Inc. (NYSE:VICI) has a strong history of dividend growth, further affirmed by a 4.2% increase in its quarterly dividend to $0.4325 announced on September 5. It is payable by October 3 to stockholders of record as of September 18.

The company is committed to returning capital to shareholders and is focused on ongoing expansion plans, including a commitment to invest up to $950 million this year. A significant portion of this investment will go toward renovations and enhancements at The Venetian Resort Las Vegas, along with a recently closed loan secured by several Great Wolf Resorts.