Updated from 7:06 a.m. EDT

Station Casinos' ( STN) third-quarter earnings trounced Wall Street estimates, but the company offered fourth-quarter guidance that was merely in line with expectations.

The company, whose Las Vegas casinos attract many local residents, said the city's economy remained strong. Despite that bullish assessment, Station shares fell 86 cents, or 1.3%, to $66.22, and most other gaming shares were in negative territory.

Gaming investors have grown extremely pessimistic in recent months, and even with the earnings beat, they may be disappointed the company didn't lift its guidance.

Station earned $39 million, or 56 cents a share, up from the year-ago $29 million, or 43 cents a share. Revenue rose to $276 million from $243 million a year earlier and exceeded the $266 million consensus estimate from Thomson First Call. Earnings before interest, taxes, depreciation and amortization rose 30% from a year ago to $118 million.

Excluding nonrecurring items and development expenses, adjusted earnings totaled 63 cents a share, 7 cents better than the average Wall Street estimate for 56 cents. This marks a return to big earnings wins for the company, which disappointed investors when its second-quarter results beat the consensus by only a penny.

Same-property revenue rose 16%, while EBITDA from those operations increased 30%.

"Our seventh consecutive quarter of double-digit same-store revenue growth was driven by the continued strength of the Las Vegas economy," said Lorenzo J. Fertitta, vice chairman and president.

"We have not seen changes in consumer behavior in the Las Vegas local's market," he continued. "All of the key metrics that influence our business were very robust during the third quarter including population growth, new job creation and extensive commercial and residential construction."

The company guided toward a fourth-quarter profit of 59 cents to 64 cents a share on EBITDA of $115 million to $120 million. Analysts were looking for a 64-cent profit.

If you liked this article you might like

Jim Cramer -- Netflix Shares Can Go Higher, Amazon Can Raise Prices

Jim Cramer Says Take-Two, Akamai Deserve to Go Higher

Networking Expert Explains How to Meet 'Big Game' Like Elon Musk