Boyd Gaming (NYSE:BYD) Shares Gap Down After Earnings Miss

Key Points

• Boyd Gaming missed Q1 expectations, reporting $1.60 EPS vs. $1.76 expected and revenue of ~$997.4M vs. ~$1.04B, and the stock gapped down (closed $89.15, opened $82.55) on the news.
• Management is boosting shareholder returns—the board authorized a $500 million share buyback (about 7.7% of shares) and raised the quarterly dividend to $0.20 (annualized $0.80, ~0.9% yield).
• Near‑term risks remain as the company reiterated online EBITDAR guidance ($30–$35M) but outlined a $650–$700M 2026 capex plan and noted softer Las Vegas locals demand, while recent insider sales add to mixed sentiment.

Boyd Gaming Corporation (NYSE:BYD - Get Free Report)'s stock price gapped down prior to trading on Friday following a weaker than expected earnings announcement. The stock had previously closed at $89.15, but opened at $82.55. Boyd Gaming shares last traded at $84.74, with a volume of 180,360 shares.

The company reported $1.60 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.76 by ($0.16). Boyd Gaming had a return on equity of 30.14% and a net margin of 45.05%.The company had revenue of $997.36 million for the quarter, compared to the consensus estimate of $1.04 billion. During the same period in the prior year, the business earned $1.62 earnings per share. The firm's revenue for the quarter was up .6% on a year-over-year basis.

Boyd Gaming Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, April 15th. Stockholders of record on Monday, March 16th were given a $0.20 dividend. This is a boost from Boyd Gaming's previous quarterly dividend of $0.18. The ex-dividend date of this dividend was Monday, March 16th. This represents a $0.80 annualized dividend and a dividend yield of 0.9%. Boyd Gaming's dividend payout ratio is 3.52%.

Boyd Gaming declared that its board has authorized a stock buyback program on Thursday, April 23rd that allows the company to repurchase $500.00 million in shares. This repurchase authorization allows the company to purchase up to 7.7% of its shares through open market purchases. Shares repurchase programs are often an indication that the company's management believes its stock is undervalued.

More Boyd Gaming News

Here are the key news stories impacting Boyd Gaming this week:

• Positive Sentiment: Board authorized a $500 million share buyback (up to ~7.7% of shares), a signal management believes the stock is undervalued and a direct boost to EPS/float. Benzinga Article
• Neutral Sentiment: Results showed revenue roughly in line with last year (revenue ~ $997M) and some cash/liquidity metrics that remain healthy, but they did not exceed expectations enough to offset the miss. Press Release
• Neutral Sentiment: Company reiterated online EBITDAR guidance ($30M–$35M) and disclosed a $650M–$700M 2026 capex plan — important for medium-term growth but a mixed near-term signal because higher capex can pressure free cash flow. Seeking Alpha Article
• Negative Sentiment: Q1 EPS missed consensus — reported $1.60 vs. ~$1.76 expected — and revenue missed estimates (~$997.4M vs. ~$1.04B), the primary catalyst for the selloff. Zacks Article
• Negative Sentiment: Management highlighted softer results in Las Vegas locals — a core segment — which raises near-term demand concerns for one of Boyd’s key markets. MSN Article
• Negative Sentiment: Recent insider sales and mixed institutional flows / varied analyst targets add uncertainty to near-term sentiment (some large holders trimmed positions in recent quarters). Quiver Quant Article

Wall Street Analyst Weigh In

Several research analysts have recently weighed in on BYD shares. Morgan Stanley reissued a "mixed" rating on shares of Boyd Gaming in a research report on Wednesday, April 8th. Weiss Ratings reissued a "buy (b)" rating on shares of Boyd Gaming in a research report on Monday, December 29th. Citigroup lifted their price objective on Boyd Gaming from $86.00 to $90.00 and gave the stock a "neutral" rating in a research report on Thursday, April 16th. Wells Fargo & Company lowered their price objective on Boyd Gaming from $84.00 to $83.00 and set an "equal weight" rating for the company in a research report on Thursday, April 16th. Finally, Barclays set a $86.00 price objective on Boyd Gaming in a research report on Friday. Five research analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the company. According to MarketBeat.com, the company presently has an average rating of "Hold" and a consensus price target of $92.33.

Insider Activity

In other news, CFO Josh Hirsberg sold 23,924 shares of the firm's stock in a transaction dated Thursday, February 26th. The stock was sold at an average price of $85.86, for a total value of $2,054,114.64. Following the completion of the sale, the chief financial officer directly owned 435,746 shares in the company, valued at $37,413,151.56. This trade represents a 5.20% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, Director William R. Boyd sold 30,000 shares of the firm's stock in a transaction dated Wednesday, February 18th. The shares were sold at an average price of $84.84, for a total value of $2,545,200.00. Following the completion of the sale, the director owned 1,930,447 shares of the company's stock, valued at approximately $163,779,123.48. This represents a 1.53% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 73,454 shares of company stock worth $6,231,827 in the last three months. Company insiders own 22.82% of the company's stock.

Hedge Funds Weigh In On Boyd Gaming

Hedge funds have recently added to or reduced their stakes in the stock. Arrowstreet Capital Limited Partnership boosted its stake in shares of Boyd Gaming by 18.8% in the 4th quarter. Arrowstreet Capital Limited Partnership now owns 1,755,659 shares of the company's stock worth $149,652,000 after buying an additional 277,529 shares during the last quarter. Invesco Ltd. boosted its stake in shares of Boyd Gaming by 118.2% in the 4th quarter. Invesco Ltd. now owns 1,427,828 shares of the company's stock worth $121,708,000 after buying an additional 773,394 shares during the last quarter. Franklin Resources Inc. boosted its stake in shares of Boyd Gaming by 11.1% in the 4th quarter. Franklin Resources Inc. now owns 1,357,412 shares of the company's stock worth $115,706,000 after buying an additional 136,129 shares during the last quarter. Geode Capital Management LLC boosted its stake in shares of Boyd Gaming by 26.7% in the 4th quarter. Geode Capital Management LLC now owns 1,355,209 shares of the company's stock worth $115,537,000 after buying an additional 285,719 shares during the last quarter. Finally, Nuveen LLC boosted its stake in shares of Boyd Gaming by 10.6% in the 4th quarter. Nuveen LLC now owns 1,080,331 shares of the company's stock worth $92,087,000 after buying an additional 103,684 shares during the last quarter. Institutional investors and hedge funds own 76.81% of the company's stock.

Boyd Gaming Price Performance

The business has a 50 day moving average price of $83.79 and a two-hundred day moving average price of $83.49. The stock has a market cap of $6.37 billion, a PE ratio of 3.72, a P/E/G ratio of 1.80 and a beta of 1.19. The company has a debt-to-equity ratio of 0.78, a quick ratio of 0.52 and a current ratio of 0.54.

About Boyd Gaming

Boyd Gaming Corporation NYSE: BYD is a diversified hospitality and gaming company headquartered in Las Vegas, Nevada. The company develops, owns and operates a portfolio of branded gaming and entertainment properties, including casinos, hotels, restaurants and meeting facilities. Boyd Gaming's offerings range from slot machines and table games to live entertainment, dining concepts and convention space, designed to appeal to both regional and destination visitors.

Founded in 1975 by its namesake, William S.

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