Stifel increased its price target for Boyd Gaming to $95.00 from $90.00 on Friday, while maintaining a Hold recommendation on the casino operator's shares. The new target remains under the average analyst high target of $110, and InvestingPro data show the company is trading at an attractive price-to-earnings ratio of 3.77.
The research note said Boyd Gaming's latest reported results would likely draw a "warm ovation" from investors, noting that the company outperformed expectations once weather-related headwinds and destination-traffic challenges were excluded from the comparison. Over the last twelve months Boyd reported revenue growth of 4.12%, evidence the business has held up through a mixed operating environment.
Stifel pointed to stronger-than-anticipated performance in Boyd's core operations, with margins beating the firm's forecasts after adjustments for weather impacts. Retail play was singled out as a continuing source of improvement, strengthening not only in the Las Vegas Locals market but also across the company's Midwest and South properties. That operational performance is reflected in a reported gross profit margin of 45.85%.
Beyond operational metrics, Stifel emphasized Boyd Gaming's balance sheet strength and signaled expectations that the company will be proactive in returning excess cash to shareholders. The report conveyed confidence that management will exercise discipline around acquisitions, avoiding any material deals without clear strategic justification.
InvestingPro data reinforce the shareholder-return narrative: management has been an active buyer of shares and has raised the dividend for four consecutive years, with a reported dividend growth rate of 5.88%. Stifel maintained a neutral stance on the stock, but indicated that any meaningful pullback in the share price would create a "compelling entry point" for investors. InvestingPro's Fair Value assessment also suggests Boyd Gaming may be undervalued at current market levels.
In corporate results disclosed for the fourth quarter of 2025, Boyd Gaming posted earnings per share of $2.21, surpassing the analyst consensus of $1.94. The company also recorded quarterly revenues of $1.1 billion, a company record. Despite those results, the stock experienced a modest decline in after-hours trading following the release.
The note also observed that analyst firms have not issued any recent upgrades or downgrades for Boyd Gaming. Investors looking for more in-depth analysis and additional metrics can consult InvestingPro for the company's Pro Research Report, which includes ProTips and expanded financial data for more than 1,400 U.S. equities.
Key takeaways from the Stifel update and recent company disclosures are clear: Boyd Gaming demonstrated operational resilience with positive revenue growth and margin expansion after weather adjustments; management appears committed to returning capital to shareholders through buybacks and dividend increases; and the company's latest quarterly results beat expectations on both EPS and revenue, even as near-term market reaction was muted.