Century Casinos (CNTY) Stock Forecast & Price Target

Century Casinos Inc. has demonstrated strong financial performance, particularly with a noteworthy 11% year-over-year increase in EBITDAR at the Cape Girardeau location, driven by enhanced hotel and food and beverage revenues. The company's recently acquired properties, Nugget Casino and Rocky Gap, are anticipated to contribute positively to growth, contributing to a total EBITDAR increase of 6% year-over-year from U.S. operations. Furthermore, the company's cash flow generation is projected to improve significantly by 2025, positioning it favorably despite current leverage constraints and prior financial setbacks.

Century Casinos Inc. is facing significant financial challenges, as evidenced by revenue declines primarily attributed to under-scheduling of group and convention bookings, as well as headwinds from the acquired Nugget Casino and Rocky Gap. The company's EBITDAR results were disappointing, missing projections by 5% and reflecting a 4% decline quarter-over-quarter and a substantial 17% decline year-over-year, indicating a weakness in high-end consumer spending. Furthermore, the increasing prevalence of iGaming has led to cannibalization of slot play, further exacerbating revenue pressures amid a slow deleveraging path expected to persist into 2026.