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Boyd Gaming (BYD) to Report Q2 Earnings: What's in the Cards?

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Boyd Gaming Corporation (BYD - Free Report) is scheduled to report second-quarter 2021 results on Jul 27. In the last reported quarter, the company delivered an earnings surprise of 111.4%.

How are Estimates Placed?

The Zacks Consensus Estimate for second-quarter earnings is pegged at 88 cents, indicating growth of 189.8%, year over year. In the prior-year quarter, the company had reported a loss per share of 98 cents.

For revenues, the consensus mark is pegged at $770.3 million, which suggests a surge of 267% from the prior-year quarter’s figure.

Let's take a look at how things have shaped up in the quarter.

Boyd Gaming Corporation Price and EPS Surprise

 

Boyd Gaming Corporation Price and EPS Surprise

Boyd Gaming Corporation price-eps-surprise | Boyd Gaming Corporation Quote

 

Factors at Play

Boyd Gaming’s second-quarter 2021 performance is likely to have benefitted from strengthening consumer confidence, other entertainment options and disciplined operating strategy. As vaccinations continue to roll out, customers are growing more comfortable with resuming their pre-pandemic activities. Although guest counts from destination travelers are likely to remain below the pre-pandemic levels, higher rate oh hotel reservations coupled with pent-up demand for non-gaming amenities indicate revival of growth.

The Zacks Consensus Estimate for second-quarter room revenues is currently pegged at 33.7 million, suggesting a rise from $6.9 million reported in the year-ago quarter. Meanwhile, food and beverage and other revenues are pegged at $67 million and $44 million, calling for an increase from $10.7 million and $7.2 million reported in the prior-year quarter, respectively.

Moreover, efforts to expand portfolio and online offerings are likely to get reflected in the company’s performance for the quarter. Notably, expansions related to FanDuel, Stardust and B Connected Sports along with a surge in new player sign-ups are likely to have contributed to second-quarter top line. Also, initiatives regarding the integration of digital technology and traditional casino entertainment experience along with easing of travel restrictions are likely to get reflected in the company’s second-quarter performance. The Zacks Consensus Estimate for second-quarter gaming revenues is currently pegged at $624 million compared with $185.1 million reported in the year-ago quarter.

What Our Model Says

Our proven model predicts an earnings beat for Boyd Gaming this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat.

Earnings ESP: Boyd Gaming has an Earnings ESP of +54.29%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: The company sports a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.

Other Stocks Poised to Beat Earnings Estimates

Here are some other stocks from the Zacks Consumer Discretionary space that investors may consider as our model shows that these also have the right combination of elements to post an earnings beat this quarter:

Golden Entertainment, Inc. (GDEN - Free Report) sports a Zacks Rank #1 and has an Earnings ESP of +5.22%.

Churchill Downs Incorporated (CHDN - Free Report) has a Zacks Rank #2 and an Earnings ESP of +7.42%.

Caesars Entertainment, Inc. (CZR - Free Report) has a Zacks Rank #2 and an Earnings ESP of +265.6%.


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