The sentiment on Boyd Gaming remains muted as its two major markets -- Las Vegas locals and Atlantic City -- continue to struggle.
In February, Nevada gaming revenue dropped 6.8% to $881.8 million. Clark County, which includes downtown Las Vegas as well as the Strip, fell 7% to $769.5 million. The locals market, which is defined as North Las Vegas, Boulder Strip and Balance of Country line, was flat, but the Boulder Strip dropped 5.2% year-over-year."That is important for Boyd as its largest locals casino is included in that number," ITG Investment Research analyst, Matthew Jacob, wrote in a note. "Our research has indicated declines at Boyd's Las Vegas locals properties, which we believe will lead to downside versus Street revenue expectations in the first quarter." In Atlantic City, where Boyd co-owns the Borgata with MGM Resorts, gaming revenue in March slipped 6.7% to $280.5 million. This marked the 31st consecutive month of gross gaming revenue declined in the New Jersey gambling hub. Boyd is slated to report its first-quarter results on May 3. Wall Street predicts a profit of a penny on revenue of $569.4 million.