One-glance verdict
Undervalued
$77.10 our estimate vs market $39.04
Wall Street consensus: $48.93 (-36.5% lower than our fair-value estimate)
49% below our estimate, below the bear case
Fundamentals snapshot
Gaming and Leisure Properties, Inc.
GLPI · NMS · Real Estate · REIT - Specialty
Current price
$39.04
52-week range
$37.33 - $49.95
Market cap
$11.69B
Balance sheet
Stretched
3.23x Stretched
Net debt $8.22B. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
2 Risks
3 rewards · 2 risks
- Reward Revenue grew 6.2% last year.
- Reward Returns 18.7% on equity, ahead of 83% of its peers.
- Risk Net debt grew 18.9% over 3 years.
- Risk Operating margin compressed from 73.4% to 69.6% over 3 years.
What this company does
Gaming and Leisure Properties, Inc.
Gaming and Leisure Properties, Inc. owns buildings and leases them out to casino companies, meaning their main income comes from rent paid by these casinos. This business model is appealing because it often involves long-term leases where the casino tenant pays for most of the building's upkeep and costs, creating a steady stream of predictable income for Gaming and Leisure Properties. This makes it easier to understand how much money the company will likely make in the future.
How the company got here
Gaming and Leisure Properties, Inc. (GLPI) was established in 2013 as a spin-off from Penn National Gaming, a company that operates casinos. The idea was to create a separate entity focused solely on owning the real estate where casinos are located. This structure allowed GLPI to benefit from certain tax advantages available to Real Estate Investment Trusts (REITs), which are companies that own income-producing real estate. By separating the real estate from the casino operations, GLPI could provide a stable income stream through rent, while the casino operators could focus on running their businesses and potentially use the sale of their real estate to fund other ventures. GLPI was the first publicly traded REIT specifically focused on gaming properties. Since its inception, GLPI has expanded its portfolio by acquiring more casino properties and entering into sale-leaseback agreements with various gaming operators.
What it actually does
GLPI is essentially a landlord for the casino industry. It owns the physical buildings and land where casinos operate and leases these properties to gaming companies. GLPI does not operate the casinos itself; instead, it collects rent from the gaming companies that use its properties. These leases are typically long-term and structured as 'triple-net leases,' meaning the tenant (the gaming company) is responsible for all property expenses, including maintenance, insurance, and taxes. This business model provides GLPI with a steady and predictable income stream, as its revenue is primarily derived from rental payments rather than the fluctuating performance of casino operations.
Casino Property Leasing
This is GLPI's sole business segment. The company acquires, finances, and owns real estate properties that are then leased to gaming operators. These properties include casinos and related entertainment facilities. GLPI acts as the property owner, handling the real estate aspect, while the tenant companies manage and operate the actual gaming and hospitality businesses within these properties. The revenue generated from this segment comes from the rental income received from these long-term, triple-net leases. This segment represents the entirety of GLPI's operations, as it is a specialized real estate investment trust focused exclusively on gaming-related real estate.
What management is betting on now
GLPI's management is focused on growing the company by acquiring more gaming real estate and expanding its portfolio through strategic transactions. A key strategy involves entering into sale-leaseback agreements, where gaming operators sell their owned real estate to GLPI and then lease it back, allowing the operators to access capital while GLPI secures new rental income. Management also aims to diversify its tenant base, reducing reliance on any single operator and broadening the opportunities for future deals. The company is also looking to fund development and expansion projects for gaming operators, further solidifying its role as a capital partner in the industry. This approach is designed to provide consistent growth in rental income and support dividend increases for shareholders.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2024 Q4
$276.61M
FY2025 Q1
$239.62M
FY2025 Q2
$272.31M
FY2025 Q3
$183.01M
FY2026 Q1
$158.75M
Revenue
$435.45M
Net income
$207.64M
Diluted EPS
0.71
Operating cash flow
$279.69M
Free cash flow
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Sources
Revenue
$430.52M
Net income
$228.42M
Diluted EPS
0.80
Operating cash flow
$349.60M
Free cash flow
—
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Sources
Revenue
$419.99M
Net income
$231.83M
Diluted EPS
0.82
Operating cash flow
$270.23M
Free cash flow
$158.75M
Fetching…
Sources
Revenue
$407.03M
Net income
$267.30M
Diluted EPS
0.96
Operating cash flow
$343.24M
Free cash flow
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Sources
Revenue
$397.61M
Net income
$241.19M
Diluted EPS
0.85
Operating cash flow
$240.31M
Free cash flow
$183.01M
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Sources
Revenue
$394.88M
Net income
$151.44M
Diluted EPS
0.54
Operating cash flow
$293.38M
Free cash flow
$272.31M
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Sources
Revenue
$395.24M
Net income
$165.18M
Diluted EPS
0.60
Operating cash flow
$252.49M
Free cash flow
$239.62M
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Sources
Revenue
$389.62M
Net income
$217.21M
Diluted EPS
0.79
Operating cash flow
$292.41M
Free cash flow
$276.61M
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Sources
Is it cheap or expensive?
Fair value $77.10 vs current price $39.04
Wall Street consensus is the average analyst price target: $48.93 (-36.5% lower than our fair-value estimate).
Our most-likely fair value is $77.10 a share — about 97.5% above today's price of $39.04, so the stock currently looks cheap (undervalued).
Is it drowning in debt?
Stretched
Net debt $8.2B. Interest coverage 3.2x.
Net debt
$8.22B
Interest coverage
3.23x
Gaming and Leisure Properties, Inc.'s profit covers its interest bill about 3.2 times over. which is stronger than most peers shown here.
Stretched
Worse cushion
Baseline
Better cushion
GLPI
BASELINE
Gaming and Leisure Properties, Inc.
Total debt $8.38B Interest coverage 3.23x This is the baseline the peer rows are being compared against.
Total debt $17.83B Interest coverage 4.33x +34% vs GLPI Carries about 1.3x more debt cushion than GLPI.
Total debt $3.59B Interest coverage 3.02x -6% vs GLPI Has roughly the same debt cushion as GLPI.
Total debt $5.65B Interest coverage 3.54x +9% vs GLPI Has roughly the same debt cushion as GLPI.
Total debt $32.11B Interest coverage 2.34x -27% vs GLPI Carries about 1.4x less debt cushion than GLPI.
Total debt $8.78B Interest coverage 2.99x -7% vs GLPI Has roughly the same debt cushion as GLPI.
What you should know
The case for and against GLPI
3 Rewards
2 Risks
Rewards
-
Revenue grew 6.2% last year.
-
Returns 18.7% on equity, ahead of 83% of its peers.
-
Free cash flow was positive in 10/10 years.
Risks
-
Net debt grew 18.9% over 3 years.
-
Operating margin compressed from 73.4% to 69.6% over 3 years.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
11.90x
Forward P/E
11.81x
P/B
2.29x
P/S
6.90x
EV/EBITDA
12.44x
PEG ratio
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Profitability
How much profit each dollar creates
Gross margin
97.8%
Operating margin
69.6%
Net margin
55.2%
ROE
18.7%
ROA
6.2%
Health
Liquidity and balance-sheet strength
Debt / equity
1.57x
Current ratio
34.39x
Quick ratio
31.07x
Total debt
$8.38B
Total cash
$165.75M
Growth
How the business has been compounding
Revenue TTM
$1.69B
Revenue 5Y CAGR
7.0%
EPS TTM
3.28
EPS 5Y CAGR
3.0%
Cash flow
How much cash the business throws off
Operating CF TTM
$1.24B
Free CF TTM
$1.07B
FCF margin
63.4%
Dividend
Shareholder payout
Yield
8.3%
Payout ratio
97.6%
Last ex-div date
2026-09-11