Boyd Gaming Corporation BYD is benefiting from higher visitation and strong results in the Downtown Las Vegas and Midwest & South segments. Investments in property upgrades and expansions support growth. Solid performance in Online and Managed businesses further adds to its strength. However, elevated expenses are a concern.
Strong visitation in Las Vegas continues to support Boyd Gaming’s performance. Increased airport traffic and growing airline capacity contribute to steady customer activity. Las Vegas visitation remains strong, rising more than 2% from the prior year to nearly 42 million in 2024. The airline capacity is projected to grow 3% in the first quarter of 2025.
The company’s Las Vegas Locals and Downtown Las Vegas segments benefit from property enhancements and stable demand. In 2024, BYD’s Las Vegas Locals segment recorded its strongest year-over-year performance, despite ongoing market competition. Core customer activity increased, while retail customer engagement improved.
Boyd Gaming is driving growth through capital investments and new development projects. The company is upgrading properties, expanding hotel offerings and introducing new casino projects. Ongoing renovations and large-scale expansions in key markets reflect its commitment to long-term growth. The company reported strong performance in 2024, generating $96 million in EBITDAR, mainly from management fees at Sky River Casino. The property continues to perform exceptionally well, with a major expansion already underway.
Going forward, Boyd Gaming plans to redevelop the Par-A-Dice riverboat casino in Central Illinois into a modern entertainment venue. Construction is expected to begin in early 2026, pending regulatory approvals. The company is also moving ahead with a $750 million resort in Norfolk, VA, as part of its expansion into the Mid-Atlantic gaming market. The project is scheduled for completion in late 2027.
Boyd Gaming — which shares space with MGM Resorts International MGM, Las Vegas Sands Corp. LVS and Wynn Resorts, Limited WYNN in the Zacks Gaming industry — is also benefiting from the increase in online segment revenues. In the fourth quarter of 2024, the online segment’s revenues were $188.8 million compared with $124.1 million reported in the prior-year quarter. BYD’s online segment contributed significantly to overall growth, generating $76 million in EBITDAR for 2024, excluding one-time fees. The segment benefited from market access agreements, primarily with FanDuel, and Boyd’s emerging online gaming business. For 2025, EBITDAR from this segment is projected to be between $80 million and $85 million.
Boyd Gaming continues to face cost pressures despite efforts to improve margins. Although expense pressures have moderated compared with previous years, rising operational costs continue to pose challenges. In the fourth quarter of 2024, selling, general and administrative expenses increased to $111.5 million from $90.6 million in the prior-year quarter.
MGM Resorts is poised to benefit from solid performances at regional properties in Las Vegas and MGM China. During the fourth quarter, net revenues from Regional operations totaled $931.6 million, compared with $873.4 million reported in the prior-year quarter. The increase was primarily backed by higher casino revenues, partially benefiting from the impact of the union strike at MGM Grand Detroit in the previous year. Increased focus on property enhancements and strategic partnerships bodes well. The company’s digital segment is on an upward trajectory. It expects BetMGM in North America to be profitable in 2025.
Las Vegas Sands is benefiting from a strong recovery in Macau, strategic investments in Singapore and robust capital return initiatives. Also, increased market visitation and travel and tourism recovery added to the positives. During the fourth quarter of 2024, total gaming revenues in the market increased 6% year over year. Mass gaming revenues also saw a 5% year-over-year rise. Backed by long-term commitment investments, Las Vegas Sands aims to capitalize on the likely structural growth in Macao in the coming years to stay ahead of the curve in terms of the quality and scale of its products and amenities.
Wynn Resorts has been benefiting from strong mass gaming wins in Macau and solid non-gaming performance in Las Vegas. In fourth-quarter 2024, it reported a robust non-gaming business. Wynn Resorts continues to introduce innovative non-gaming investments that boost tourism and strengthen shareholder returns. The company is positioning itself for long-term growth through disciplined cost management, high-quality offerings and expansion into high-growth markets.
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