Boyd Gaming Corporation (BYD) Is Strong On High Volume Today
Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.
Trade-Ideas LLC identified
(
) as a strong on high relative volume candidate. In addition to specific proprietary factors, Trade-Ideas identified Boyd Gaming Corporation as such a stock due to the following factors:
- BYD has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $18.1 million.
- BYD has traded 484,331 shares today.
- BYD is trading at 4.82 times the normal volume for the stock at this time of day.
- BYD is trading at a new high 8.04% above yesterday's close.
'Strong on High Relative Volume' stocks are worth watching because major volume moves tend to indicate underlying activity such as M&A events, material stock news, analyst upgrades, insider buying, buying from 'superinvestors,' or that hedge funds and momentum traders are piling into a stock ahead of a catalyst. Regardless of the impetus behind the price and volume action, when a stock moves with strength and volume it can indicate the start of a new trend on which early investors can capitalize. In the event of a well-timed trading opportunity, combining technical indicators with fundamental trends and a disciplined trading methodology should help you take the first steps towards investment success.
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More details on BYD:
Boyd Gaming Corporation, together with its subsidiaries, operates as a multi-jurisdictional gaming company. It operates in five segments: Las Vegas, Downtown Las Vegas, Midwest and South, Peninsula, and Borgata. Currently there is 1 analyst that rates Boyd Gaming Corporation a buy, 1 analyst rates it a sell, and 9 rate it a hold.
The average volume for Boyd Gaming Corporation has been 1.5 million shares per day over the past 30 days. Boyd Gaming has a market cap of $1.5 billion and is part of the services sector and leisure industry. The stock has a beta of 1.55 and a short float of 6.9% with 4.47 days to cover. Shares are up 8.9% year-to-date as of the close of trading on Friday.
Analysis:
rates Boyd Gaming Corporation as a
. The company's strengths can be seen in multiple areas, such as its solid stock price performance, impressive record of earnings per share growth and compelling growth in net income. However, as a counter to these strengths, we find that revenues have generally been declining.
Highlights from the ratings report include:
- Looking at where the stock is today compared to one year ago, we find that it is not only higher, but it has also clearly outperformed the rise in the S&P 500 over the same period. Although other factors naturally played a role, the company's strong earnings growth was key. Despite the fact that it has already risen in the past year, there is currently no conclusive evidence that warrants the purchase or sale of this stock.
- BOYD GAMING CORP has improved earnings per share by 32.5% in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. This trend suggests that the performance of the business is improving. During the past fiscal year, BOYD GAMING CORP continued to lose money by earning -$0.48 versus -$0.87 in the prior year. This year, the market expects an improvement in earnings ($0.28 versus -$0.48).
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Hotels, Restaurants & Leisure industry. The net income increased by 31.5% when compared to the same quarter one year prior, rising from -$47.34 million to -$32.42 million.
- 40.12% is the gross profit margin for BOYD GAMING CORP which we consider to be strong. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of -6.09% is in-line with the industry average.
- BYD, with its decline in revenue, underperformed when compared the industry average of 7.6%. Since the same quarter one year prior, revenues fell by 22.0%. The declining revenue has not hurt the company's bottom line, with increasing earnings per share.
- You can view the full Boyd Gaming Corporation Ratings Report.
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