Should You Invest in VICI Properties (VICI)?

Baron Funds, an investment management company, released its “Baron Real Estate Income Fund” fourth quarter 2022 investor letter. A copy of the same can be downloaded here. In the fourth quarter, the fund rose 2.10% (Institutional Shares) compared to a 4.90% return for the MSCI US REIT Index (the “REIT Index”). For 2022, the fund declined 27.47% underperforming the benchmark which declined 25.37%. In addition, please check the fund’s top five holdings to know its best picks in 2022.

Baron Real Estate Income Fund highlighted stocks like VICI Properties Inc. (NYSE:VICI) in the fourth quarter 2022 investor letter. VICI Properties Inc. (NYSE:VICI) is a real estate investment that acquires and develops gaming, hospitality, and entertainment properties. On March 13, 2023, VICI Properties Inc. (NYSE:VICI) stock closed at $31.93 per share. One-month return of VICI Properties Inc. (NYSE:VICI) was -6.58%, and its shares gained 18.35% of their value over the last 52 weeks. VICI Properties Inc. (NYSE:VICI) has a market capitalization of $32.047 billion.

Baron Real Estate Income Fund made the following comment about VICI Properties Inc. (NYSE:VICI) in its Q4 2022 investor letter:

“We remain optimistic about the Fund’s triple net gaming REIT investments in VICI Properties Inc. (NYSE:VICI) and Gaming and Leisure Properties, Inc. The companies primarily own quality casino and gaming real estate properties. They have attractive dividend yields in the 5% to 6% range that are well covered, accretive acquisition growth opportunities, and are, in our opinion, attractively valued.

We remain mindful of the rising interest rate environment and the possibility that higher debt costs and lower equity prices could negatively impact the ability for net lease REITs to invest in an accretive fashion.”

VICI Properties Inc. (NYSE:VICI) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 40 hedge fund portfolios held VICI Properties Inc. (NYSE:VICI) at the end of the fourth quarter which was 33 in the previous quarter.

We discussed VICI Properties Inc. (NYSE:VICI) in another article and shared the list of high growth real estate stocks that are profitable. In addition, please check out our hedge fund investor letters Q4 2022 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.