A substantial insider sell was reported on November 21, by Keith Smith, President and CEO at Boyd Gaming BYD, based on the recent SEC filing.

What Happened: Smith’s recent move involves selling 30,000 shares of Boyd Gaming. This information is documented in a Form 4 filing with the U.S. Securities and Exchange Commission on Thursday. The total value is $2,153,100.

During Friday’s morning session, Boyd Gaming shares down by 2.29%, currently priced at $69.88.

About Boyd Gaming

Boyd Gaming Corp is a multi-jurisdictional gaming company. The company operates wholly-owned gaming entertainment properties (casino space, slot machines, table games, and hotel rooms) in Nevada, Illinois, Indiana, Iowa, Kansas, Louisiana, Mississippi, Missouri, Ohio, and Pennsylvania. Geographical regions separate its business segments: Las Vegas Locals, Downtown Las Vegas, Midwest and South, and Online. Midwest and South hold the key number of entertainment properties, and it generate the majority of sales for the company.

Boyd Gaming: Delving into Financials

Revenue Growth: Boyd Gaming displayed positive results in 3 months. As of 30 September, 2024, the company achieved a solid revenue growth rate of approximately 6.43%. This indicates a notable increase in the company’s top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Consumer Discretionary sector.

Navigating Financial Profits:

• Gross Margin: The company sets a benchmark with a high gross margin of 51.95%, reflecting superior cost management and profitability compared to its peers.

• Earnings per Share (EPS): Boyd Gaming’s EPS outshines the industry average, indicating a strong bottom-line trend with a current EPS of 1.43.

Debt Management: With a below-average debt-to-equity ratio of 2.35, Boyd Gaming adopts a prudent financial strategy, indicating a balanced approach to debt management.

Valuation Overview:

• Price to Earnings (P/E) Ratio: The current P/E ratio of 13.6 is below industry norms, indicating potential undervaluation and presenting an investment opportunity.

• Price to Sales (P/S) Ratio: The current P/S ratio of 1.78 is below industry norms, suggesting potential undervaluation and presenting an investment opportunity for those considering sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): Indicated by a lower-than-industry-average EV/EBITDA ratio of 9.05, the company suggests a potential undervaluation, which might be advantageous for value-focused investors.

Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.

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Understanding the Significance of Insider Transactions

Considering insider transactions is valuable, but it’s crucial to evaluate them in conjunction with other investment factors.

In the context of legal matters, the term “insider” refers to any officer, director, or beneficial owner holding more than ten percent of a company’s equity securities, as outlined by Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and significant hedge funds. Such insiders are obligated to report their transactions through a Form 4 filing, which must be completed within two business days of the transaction.

Pointing towards optimism, a company insider’s new purchase signals their positive anticipation for the stock to rise.

Despite insider sells not always signaling a bearish sentiment, they can be driven by various factors.

Exploring Key Transaction Codes

Navigating through the landscape of transactions, investors often prioritize those unfolding in the open market, precisely detailed in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C signals the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.

Check Out The Full List Of Boyd Gaming’s Insider Trades.

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This article was generated by Benzinga’s automated content engine and reviewed by an editor.