Author: David Mckee

Wall Street analysts loved up on Boyd Gaming following its 1Q23 earnings call. Boyd, Deutsche Bank analyst Carlo Santarelli wrote, “delivers another strong performance … the merits of the story remain compelling on a relative basis.” He pushed his price target to $78/share from $76, rating the stock a “Buy.” He added that “while a beat was expected,” investors had to be liking the Las Vegas locals upside, as well as the company’s digital performance and its handling of Sky River Casino in California. “As we previously noted, we did not expect the 1Q23 upside to come as a surprise, nor did we expect the quarter to serve as a meaningful near term catalyst for shares and we remain of this view.” Still he praised Boyd for its Downtown exposure and new amenities there, for its online and managed-casino revenue growth, its healthy balance sheet and for “Capital returns via dividends and buybacks.”

Continue reading Boyd praised; Graft at Wynn?; NFL hypocrisy

Casino winnings in Pennsylvania stuttered last month, hitting $311 million, flat with March 2022. Spreading more gaming wealth among a greater number of properties obviously isn’t helping on a same-store basis. Parx Casino maintained its supremacy with $53 million, despite a 5% slippage. Elsewhere in the Philadelphia area, Philadelphia Live jumped 5.5% to $22 million, besting nearby rival Rivers Philadelphia ($21.5 million, -6%). Harrah’s Philadelphia plunged 10% to $14 million, falling tantalizingly close to Valley Forge Resort, whose $13 million represented a 2.5% gain. In the Pittsburgh market, Rivers Pittsburgh was flat at a still-impressive $33.5 million. Rival Hollywood Meadows galloped 17.5% faster to hit $19 million while Pittsburgh Live gained 5% to reach $10.5 million.

As for the outstate casinos, Wind Creek Bethlehem dipped 1% to a massive $45 million, leaving behind Mohegan Sun Pocono ($19 million, -2%) and smoky Mount Airy ($16 million, +8%). Presque Isle Downs was down 11.5% to $9 million, Hollywood Penn National slipped 3.5% to $16.5 million and Lady Luck Nemacolin plunged 21% to $1.5 million. Amongst the satellites, Hollywood York leapt 14% to $9 million, Hollywood Morgantown vaulted 22.5% to $6.5 million and Parx Shippensburg booked $3 million.

Continue reading Pennsylvania, Lousiana flagging; All eyes on Macao

Ohio‘s gaming industry continues to experience woes. Former lottery director Pat McDonald claims to have resigned for reasons of health. Gov. Mike DeWine (R) cites “HR irregularities.” Either way, McDonald’s out abruptly. Top members of DeWine’s staff personally escorted him from the building. Now DeWine has to find a Mr. or Ms. FixIt and soon. For the time being aerospace specialist Michelle Gilchrist is the new occupant of the hot seat. We don’t envy her.

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Gambling revenues in Illinois were jolted 10% upward last month, hitting $131 million. This was driven by 15% greater visitation, customer spend being 4.5% lower. Most of the increase was driven by new product. Otherwise, the boost would have been only 4%. American Place improved markedly, reaching $7 million in its second month, putting it on par with Hard Rock Rockford ($6 million, +22.5%) but still trailing the rest of the Chicago market. Rivers Casino Des Plaines enjoyed a 9.5% bump to $48 million, while Grand Victoria slipped 6% to $13 million. Hollywood Joliet gained 10.5% to $8.5 million, Harrah’s Joliet slid 11% to $11 million and Hollywood Aurora was flat at $9 million. Full House Resorts seems to be executing on its Waukegan business plan to the extent of creating new gamblers, not so much at drawing business from outmoded rivals.

Continue reading Illinois leaps, Indiana falls; Japan awakens; PointsBet blunder