JPMorgan Chase & Co. Increases Boyd Gaming (NYSE:BYD) Price Target to $93.00

Key Points

• JPMorgan raised Boyd Gaming’s price target from $90 to $93 while keeping a neutral rating, implying about 7.8% upside from the previous close.
• Analyst sentiment remains mixed: the stock has a Hold consensus rating, with an average price target of $93.77 and several firms recently adjusting their targets or ratings.
• Boyd Gaming recently missed quarterly earnings and revenue estimates, but it also announced a $500 million share buyback authorization, which may signal management sees the stock as undervalued.

Boyd Gaming (NYSE:BYD - Get Free Report) had its price target boosted by JPMorgan Chase & Co. from $90.00 to $93.00 in a note issued to investors on Wednesday,Benzinga reports. The firm presently has a "neutral" rating on the stock. JPMorgan Chase & Co.'s price objective would suggest a potential upside of 7.82% from the stock's previous close.

A number of other equities analysts also recently commented on BYD. Weiss Ratings upgraded Boyd Gaming from a "buy (b-)" rating to a "buy (b)" rating in a report on Thursday, June 4th. Susquehanna reduced their price objective on shares of Boyd Gaming from $89.00 to $87.00 and set a "neutral" rating on the stock in a research report on Tuesday, April 7th. Wells Fargo & Company raised their target price on shares of Boyd Gaming from $81.00 to $88.00 and gave the stock an "equal weight" rating in a research report on Tuesday. The Goldman Sachs Group initiated coverage on shares of Boyd Gaming in a research note on Friday, June 26th. They set a "neutral" rating and a $91.00 target price on the stock. Finally, Citigroup increased their price target on shares of Boyd Gaming from $86.00 to $90.00 and gave the stock a "neutral" rating in a research note on Thursday, April 16th. One research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and ten have issued a Hold rating to the stock. According to MarketBeat, the stock presently has a consensus rating of "Hold" and an average price target of $93.77.

Boyd Gaming Stock Performance

Shares of NYSE:BYD opened at $86.26 on Wednesday. The company has a current ratio of 0.60, a quick ratio of 0.58 and a debt-to-equity ratio of 0.90. The company has a 50-day moving average price of $85.00 and a 200-day moving average price of $84.75. The company has a market cap of $6.41 billion, a price-to-earnings ratio of 3.78, a price-to-earnings-growth ratio of 2.00 and a beta of 1.07. Boyd Gaming has a 12 month low of $76.33 and a 12 month high of $91.00.

Boyd Gaming (NYSE:BYD - Get Free Report) last posted its earnings results on Thursday, April 23rd. The company reported $1.60 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.76 by ($0.16). The business had revenue of $997.36 million during the quarter, compared to the consensus estimate of $1.04 billion. Boyd Gaming had a return on equity of 25.63% and a net margin of 44.84%.The firm's revenue for the quarter was up .6% compared to the same quarter last year. During the same period in the previous year, the business earned $1.62 earnings per share. As a group, equities analysts anticipate that Boyd Gaming will post 7.32 EPS for the current year.

Boyd Gaming announced that its Board of Directors has approved a share buyback plan on Thursday, April 23rd that allows the company to buyback $500.00 million in outstanding shares. This buyback authorization allows the company to reacquire up to 7.7% of its stock through open market purchases. Stock buyback plans are often an indication that the company's management believes its stock is undervalued.

Insider Transactions at Boyd Gaming

In related news, Chairman Marianne Boyd Johnson sold 62,914 shares of the stock in a transaction dated Tuesday, May 5th. The shares were sold at an average price of $84.03, for a total value of $5,286,663.42. Following the completion of the transaction, the chairman directly owned 1,609,808 shares in the company, valued at $135,272,166.24. This trade represents a 3.76% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Keith Smith sold 100,000 shares of the stock in a transaction dated Wednesday, June 3rd. The stock was sold at an average price of $85.90, for a total transaction of $8,590,000.00. Following the completion of the transaction, the chief executive officer owned 996,981 shares of the company's stock, valued at approximately $85,640,667.90. The trade was a 9.12% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 200,000 shares of company stock worth $17,038,987 over the last ninety days. Insiders own 22.82% of the company's stock.

Hedge Funds Weigh In On Boyd Gaming

Large investors have recently made changes to their positions in the business. Arrowstreet Capital Limited Partnership increased its position in Boyd Gaming by 18.8% during the 4th quarter. Arrowstreet Capital Limited Partnership now owns 1,755,659 shares of the company's stock valued at $149,652,000 after buying an additional 277,529 shares in the last quarter. Invesco Ltd. grew its stake in shares of Boyd Gaming by 118.2% in the fourth quarter. Invesco Ltd. now owns 1,427,828 shares of the company's stock worth $121,708,000 after acquiring an additional 773,394 shares during the last quarter. Franklin Resources Inc. increased its holdings in shares of Boyd Gaming by 11.1% during the fourth quarter. Franklin Resources Inc. now owns 1,357,412 shares of the company's stock valued at $115,706,000 after acquiring an additional 136,129 shares in the last quarter. Geode Capital Management LLC increased its holdings in shares of Boyd Gaming by 26.7% during the fourth quarter. Geode Capital Management LLC now owns 1,355,209 shares of the company's stock valued at $115,537,000 after acquiring an additional 285,719 shares in the last quarter. Finally, Nuveen LLC raised its position 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 purchasing an additional 103,684 shares during the last quarter. 76.81% of the stock is currently owned by hedge funds and other institutional investors.

Boyd Gaming Company Profile

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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