Factors Setting the Tone for Boyd Gaming (BYD) Q3 Earnings

Boyd Gaming (NYSE:BYD) Corporation BYD is scheduled to report third-quarter 2020 results on Oct 26. In the last-reported quarter, the company delivered an earnings surprise of 32.4%.

How Are Estimates Placed?

The Zacks Consensus Estimate for third-quarter earnings is pegged at 14 cents, indicating a decline of 64.1% from 39 cents reported in the year-ago quarter.

For revenues, the consensus mark stands at nearly $571 million, indicating a decline of 30.3% from the prior-year quarter.

Let's take a look at how things have shaped up in the quarter.

Boyd Gaming Corporation Price and EPS Surprise

Boyd Gaming Corporation price-eps-surprise | Boyd Gaming Corporation Quote

Factors at Play

Boyd Gaming’s financials in the third quarter of 2020 are likely to have been impacted by the coronavirus pandemic. Although majority of the properties have reopened, the company is facing dismal traffic compared to the pre-pandemic levels.

Notably, the Zacks Consensus Estimate for revenues (for the third quarter) at Las Vegas Locals, Downtown Las Vegas and Midwest and South segments is currently pegged at $133 million, $14.2 million and $396 million, indicating a decline of 37.6%, 76.8% and 27.5%, respectively, from the prior-year quarter.

However, efforts to expand portfolio and online offerings are likely to get reflected in the company’s results for the quarter. Notably, expansions with respect to the FanDuel partnership along with the launch of Stardust brand and social casino is likely to have aided the top line in the to-be-reported quarter.

What Our Model Says

Our proven model predicts an earnings beat for Boyd Gaming this time around. A stock needs to have a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) to beat earnings.

Earnings ESP: Boyd Gaming has an Earnings ESP of +125.52%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: The company has a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.

Stocks Poised to Beat Earnings Estimates

Here are some stocks from the Zacks Consumer Discretionary space that investors may consider as our model shows that these have the right combination of elements to post an earnings beat this quarter:

Camping World Holdings (NYSE:CWH), Inc. CWH has a Zacks Rank #1 and an Earnings ESP of +22.91%.

Brunswick (NYSE:BC) Corporation BC has a Zacks Rank #2 and an Earnings ESP of +2.75%.

Activision Blizzard (NASDAQ:ATVI), Inc. ATVI has a Zacks Rank #2 and an Earnings ESP of +2.20%.

5 Stocks Set to Double

Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.

Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.

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