Shares of Boyd Gaming Corp. declined Wednesday after the casino operator's second-quarter adjusted earnings results missed Wall Street expectations.
The company's income from continuing operations rose to $22.9 million, or 26 cents per share, from $12.4 million, or 14 cents per share.
Excluding various costs, charges and adjustments, adjusted earnings from continuing operations fell to $39.9 million, or 45 cents per share, versus $44.5 million, or 49 cents per share.
Analysts polled by Thomson Financial forecast a profit of 47 cents per share.
Goldman Sachs analyst Steven Kent said in a note to clients that investors might be modestly disappointed by the performance. While Boyd's Las Vegas locals and Midwest/South properties are potentially stabilizing, Borgata in Atlantic City, N.J. was hurt by higher costs and a competitive promotional environment, he said.
Similarly, Jake Fuller of Thomas Weisel Partners LLC said Boyd's results are still being squeezed by Las Vegas and Atlantic City competition.
"Although comparisons get easier in the third through fourth quarters, competition should continue to hurt results in Atlantic City," he wrote in a note.
Shares of Boyd Gaming shed $2.27, or 5.2 percent, to $41.83 in afternoon trading. The stock has traded between $33.10 and $54.22 over the past year.
The company's income from continuing operations rose to $22.9 million, or 26 cents per share, from $12.4 million, or 14 cents per share.
Excluding various costs, charges and adjustments, adjusted earnings from continuing operations fell to $39.9 million, or 45 cents per share, versus $44.5 million, or 49 cents per share.
Analysts polled by Thomson Financial forecast a profit of 47 cents per share.
Goldman Sachs analyst Steven Kent said in a note to clients that investors might be modestly disappointed by the performance. While Boyd's Las Vegas locals and Midwest/South properties are potentially stabilizing, Borgata in Atlantic City, N.J. was hurt by higher costs and a competitive promotional environment, he said.
Similarly, Jake Fuller of Thomas Weisel Partners LLC said Boyd's results are still being squeezed by Las Vegas and Atlantic City competition.
"Although comparisons get easier in the third through fourth quarters, competition should continue to hurt results in Atlantic City," he wrote in a note.
Shares of Boyd Gaming shed $2.27, or 5.2 percent, to $41.83 in afternoon trading. The stock has traded between $33.10 and $54.22 over the past year.
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