Caesars Entertainment recently completed a long cup base. If its luck holds it could break out from there. One bullish indicator is that on Wednesday the Relative Strength Rating for Caesars stock climbed to 71, up from 68. Its stock price is up about 67% in five months.
The 71 RS Rating means that Caesars stock tops more than 70% of all stocks on price performance. It's a good but not yet great rating. The best stocks to buy and watch often have an RS Rating north of 80 as they begin their largest climbs. See if Caesars Entertainment can continue to rebound and hit that benchmark.
Caesars Stock Other Ratings Mixed
Among its other principal ratings Caesars stock has a B- Accumulation/Distribution Rating on an A+ to E scale. The B- rating shows that more funds are buying its shares than selling. The leisure gaming group that it belongs to has an outstanding A+ A/D Rating.
Additionally, Reno, Nev.-based Caesars has a 74 Composite Rating and a 67 Earnings Per Share Rating.
The weak EPS Rating reflects erratic earnings growth. Last quarter it lost 70 cents per share, but that improved from a $2.07 per share loss the same quarter a year earlier, when Covid was still heavily impacting travel and leisure plans. Revenue last quarter grew 9% to $2.82 billion.
CEO: 'Significantly Improved' Results
CEO Tom Reeg said in the Feb. 21 fourth quarter earnings news release that results were greatly improved, especially for the company's Las Vegas casinos.
Additionally, "Caesars Sportsbook delivered significantly improved operating results during the fourth quarter which sets the foundation for a strong 2023," Reeg said. "Consumer demand remains strong in all of our verticals and we are optimistic for the year ahead."
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Now is not an ideal time to jump in since Caesars stock isn't near a proper buy zone, but see if the watchlist candidate stock goes on to offer and clear an appropriate buy point. Caesars stock shot up about 67% from a 31.31 low in early October. Wednesday afternoon Caesars was up slightly.
Caesars stock holds the No. 16 rank among its peers in the Leisure-Gaming/Equipment industry group. Switzerland-based Sportradar and Monarch Casino & Resort are among the group's highest-rated stocks.
IBD's proprietary rating measures share price performance with a 1 (worst) to 99 (best) score. The score shows how a stock's price behavior over the trailing 52 weeks holds up against all the other stocks in our database.
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