Boyd Gaming Soars with $1.03B Revenue, Strong Growth

Boyd Gaming has delivered a standout financial performance, achieving a record $3.9 billion in revenue for 2024, with the fourth quarter surpassing $1 billion for the first time. The company’s strategic investments and operational excellence underscore its strong positioning across diverse regional markets, notably in Illinois and Las Vegas.

Key Takeaways:

• Boyd Gaming posted adjusted earnings per share of $1.87 this quarter, reflecting robust profitability.
• The Las Vegas Locals segment achieved operating margins near 50%, its best in over two years.
• Significant growth in the Midwest and South, especially at Treasure Chest Casino, has contributed to overall earnings momentum.
• In Illinois, Boyd is modernizing the Par-A-Dice Riverboat Casino, transitioning to a state-of-the-art entertainment facility to capture evolving consumer trends.
• Illinois gaming tax revenue hit a record $1.7 billion in 2024, driven by the expansion of video gaming terminals, sportsbooks, and digital platforms.
• Workforce engagement is strong, with Par-A-Dice reporting a 91% job satisfaction rate, setting a benchmark within the company’s portfolio.
• The sale of Boyd’s FanDuel stake has provided liquidity for property upgrades and new business ventures, enhancing future growth capacity.
• Analysts maintain a ‘buy’ rating, supported by a forward P/E ratio of 12 and a median target stock price of $86.50.

Market and Industry Outlook:

The casino gaming market is on an upward trajectory, with revenues forecasted to grow from $138.26 billion in 2024 to $165.72 billion by 2028, driven by innovations in mobile and online gaming. Boyd Gaming is well-positioned to capitalize on these trends by integrating traditional gaming with digital platforms and emerging technologies, such as cryptocurrency. This evolution reflects global shifts, similar to those in international markets such as Japan.

Boyd Gaming’s comprehensive strategy strikes a balance between operational strength, regional expansion, and forward-looking innovation, making it a dynamic leader in today’s competitive gaming landscape.