I Don’t Gamble in Vegas I Collect Income From the Casinos Instead 🎰💰

Collect Cash Flow From Consumer Gambling

As you know by my name, I love dividends. And in addition to sharing on here, I write regularly on the investment platform- Seeking Alpha.

My goal there is to teach everyday investors about building wealth, so they won’t to need to work to traditional retirement age.

I want to help you take control of your life, have F.I.R.E.

Here at Dividend Collection Agency the goal is to give investors and/or readers a different perspective. We take a simple approach to building wealth. And although investing may seem easy, people often miss opportunities by over complicating it. But we are here to help.

As someone who visits Las Vegas three to four times a year, you’d probably assume I’m a big gambler.

The truth?

I rarely gamble.

On most trips, I take out $100, put it into a slot machine, and once it’s gone—I’m done.

Gambling has never appealed to me. While there is skill involved, outcomes are still largely driven by luck. Losing money hoping to get lucky isn’t something I enjoy.

But collecting income from the casinos themselves?

That’s a different story.

And that’s exactly why recent pullbacks in VICI Properties (VICI) and Gaming and Leisure Properties (GLPI) should have income investors paying close attention.

Both REITs currently offer yields above 6%, backed by long-term leases, strong cash flows, and durable fundamentals. For income-focused investors, this is the kind of volatility worth embracing.

Investing for Income in 2025 & Beyond 💰

Inflation has cooled from its 2023 peak, but it’s still well above historical norms.

I remember going to the base commissary and paying $7.01 for a pack of turkey that used to cost under $4. Prices have come down, but they haven’t gone back.

Meanwhile:

• The Fed has begun cutting rates again

• Yields on savings accounts, CDs, and money markets will trend lower

• Real purchasing power remains under pressure

Yes, consumer spending appears resilient on the surface. Black Friday spending hit a record, rising 9.1% year over year, helped by AI-driven promotions.

But underneath that headline:

• Consumers are increasingly financially constrained

• Buy Now, Pay Later (BNPL) usage surged 23%

• Over half of BNPL transactions came from millennials

• Companies like PayPal (PYPL) are seeing rapid adoption

This is why I believe everyone should have a dedicated income portfolio.

Whether through:

• Dividend-paying stocks

• REITs

• BDCs

• Covered-call ETFs

• Bonds or CEFs

Relying solely on the “4% rule” or fixed-income products in a declining-rate environment is increasingly risky.

For me, collecting high, well-covered yields from quality businesses remains one of the best ways to fight inflation.

#1 VICI Properties (VICI): A Quality 6%+ Yield 🏨

If you’ve followed me for a while, you know I’ve been bullish on VICI for years.

In my most recent article on Seeking Alpha back in November, I upgraded the stock from Hold to Buy when shares dipped below $30.

Why the Pullback? 📉

• Slowing Las Vegas traffic

• Tenant concentration risk with Caesars Entertainment (CZR)

Caesars accounts for ~39% of VICI’s rent roll, so investor concerns aren’t unfounded. If the economy weakens further, fears of tenant stress could drive continued volatility.

That said, VICI’s fundamentals remain strong.

Why I’m Still Bullish: 🐂

• 40+ year leases

• CPI-based rent escalators

• High-margin, triple-net business model

• Las Vegas traffic expected to rebound in 2026

While I remain cautious in the near term—especially with Canadian and European travel still muted—VICI’s balance sheet gives it plenty of staying power.

Q3 Highlights: 📋

• Full-year guidance raised for the third time

• AFFO expected: $2.36–$2.37 (+4.6% YoY)

• Quarterly AFFO: $0.60 (up from $0.57)

• Revenue surpassed $1 billion

• Liquidity: $3.1 billion

• Leverage reduced to 5.0x

• Dividend raised for the 8th consecutive year

At roughly $28/share, VICI trades at just 11.8x P/AFFO, well below the sector median of ~15x, while offering a 6%+ yield covered at ~75%.

#2 Gaming and Leisure Properties (GLPI): Yield Above 7% 🎰

GLPI is VICI’s closest peer and focuses more on regional casinos.

Like VICI, GLPI has pulled back due to tenant concerns:

• Roughly 88% of rent comes from Caesars, PENN, Boyd, and Bally’s

That concentration creates volatility—but history matters.

During COVID, both VICI and GLPI collected 100% of their rent.

I don’t expect this time to be different.

Why GLPI Stands Out: ☝️

• Forward P/AFFO: ~11.1x

• AFFO guidance: $3.86–$3.88

• Leverage: 4.4x

• No debt maturities until 2027

• $3B acquisition pipeline

• Dividend yield above 7%

• Payout ratio: ~80%

Growth is expected to be more modest (~2.6%), but GLPI’s balance sheet provides greater flexibility than VICI’s.

With a price target near $54, I see attractive upside alongside a very compelling income stream.

Risks to Watch ⚠️

No investment is without risk.

Key factors to monitor:

• Continued volatility in bond yields

• Slower-than-expected recovery in Las Vegas traffic

• Weakness in international travel

• Tenant performance at Caesars

Short-term price fluctuations are likely—but for income investors, that volatility creates opportunity.

Final Thoughts ✅

I don’t gamble in Las Vegas.

But I do like collecting income from the businesses that make money from those who do.

Both VICI and GLPI are well-positioned to weather near-term uncertainty, backed by long leases, strong tenants, and disciplined balance sheets.

With well-covered yields north of 6% and 7%, I think recent selloffs look more like opportunities than warnings for long-term, income-focused investors.

Happy Investing!

☎️ If you’re looking to create passive income and build your wealth from one of the top-rated analysts, book a call (Let’s Talk Investing or Detailed Portfolio Review) with me to get started.

If you’re looking to start investing check out our investment group over on Seeking Alpha. Click the Seeking Alpha link here. Click investing group, learn more, or the blue hyperlink in my bio.

Not financial advice. For educational purposes only. I am not a licensed professional. Do your own due diligence.

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