VICI faces risks from macroeconomic volatility (inflation, interest rates, supply chain disruptions), tenant defaults, and challenges in obtaining future financing. High dependence on two major tenants (MGM and Caesars) and concentration in the Las Vegas market pose risks. Uncertainty about future transactions, regulatory approvals, and tenant lease renewals also present challenges. The company's substantial debt load and ability to service it, refinance, and meet obligations is a significant risk.
Financial Upside
VICI's long-term triple-net leases provide predictable revenue streams with potential for growth. Geographic diversification limits market-specific risks. The company anticipates tenant investments in properties will enhance value. Recent acquisitions and the Venetian Capital Investment offer potential for increased rent and returns. The at-the-market offering program and debt issuances provide funding opportunities.
